Leading broadcasters including Zee Telefilms and Sony Entertainment Television are contemplating a hike in advertising rates.
This comes close on the heels of Star Plus, the Rupert Murdoch owned Star Network, hiking advertisement rates. Star Plus raised its tariff between 15-40 per cent.
Abhijit Saxena, business head of Zee TV, said, "The rates in the Indian television industry are far lower than international rates. Eventually, we all have to increase our rates to sustain."
Although he declined to say when the hike would be effected, he confirmed that Zee is working on a revised ad rate card. The channel denied to be following the Star Plus way, which hiked its advertising rates.
Industry sources said that SET may also go for an ad rate increase. However, the company spokesperson was unavailable for comment.
Kevin Vaz, executive vice-president, advertising sales, Star India said, "The wonderful performance of the channel in the last eight weeks especially with serials such as Kyunki Saas Bhi Kabhi Bahu Thi gaining a TVR of 19.4 and also the improved ratings of the 9 pm band have prompted us to revise the tariff. Also, the initial response to our new programmes in the afternoon and night slots have been positive."
Vaz also mentioned that the dismal performance of the Indian cricket team has prompted many advertisers to flock to Star Plus, which they consider a consistent performing channel.
There are a new set of advertisers, which are eyeing general entertainment serials. Vaz sees an increase in the number of financial institutions such as banks, insurance companies and mutual funds along with pharma companies, which are more than willing to advertise on Star Plus.
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