Former Starcom Motive vice chairman, David Connolly, has been named as the independent adjudicator responsible for overseeing airtime sales at ITV following the merger of Carlton and Granada.
His appointment was made by Ofcom and the Independent Television Commission and is mandated by the Secretary of State for Trade and Industry as a pre-condition of the forthcoming merger (see
Government Formally Accepts Conditions Of ITV Merger).
Connolly, who takes up his position next week, will be responsible for implementing and overseeing the controversial contract rights renewal remedy, which allows advertisers to roll over the discounts on their current ITV contracts for the next three years.
The remedy is one of a number of initiatives suggested by the Competition Commission to ensure that a merged Carlton and Granada will not use its dominance of market for airtime sales to push up prices for advertisers and agencies.
Connolly will work out of Ofcom’s London’s headquarters, but will be entirely independent of both the regulator and all parties with an interest in the ITV advertising sales market. He will be given full access to Carlton and Granada’s airtime sales process and will be responsible for investigating any potential disputes with advertisers.
Commenting on the appointment, Ofcom chief executive, Stephen Carter, said: ”The contract rights renewal remedy remedy offers the advertising community a comprehensive range of protections, with the right of recourse to the adjudicator as a backstop.”
Connolly added: ”I believe the breadth and depth of those protections are likely to ensure that disagreements are few in number. However, when I am asked to intervene, I will do so quickly and on the basis of the detailed technical facts presented by each party.”
Potential candidates for the post were put forward by media buyers, advertisers, industry bodies and other broadcasters during meetings with Ofcom and the ITC. ISBA and the IPA also provided the regulators with significant input on the detailed practicalities of the role of the adjudicator.
Connolly, who left Starcom Motive in the summer, is a former joint media director at Leo Burnett and group head at IDK Media. He also spent four years in various sales roles with Scottish Television.
One of his earliest tasks as adjudicator will be to attend an industry seminar on the contract rights renewal remedy, organised by Carlton and Granada in conjunction with the ITC and Ofcom.
Ofcom and The ITC are currently in the process of conducting a wide ranging review of the television advertising sales market after the Competition Commission expressed ‘disquiet’ at the way the industry currently operates (see Television Advertising Market Set For Wide Ranging Review).
