IPA: Further Concerns Over TV Sales Ruling

The IPA has responded to the ITC’s invitation for further comments following its policy statement on 22 March by writing to express further concerns.

The IPA calls the ITC’s policy “gravely worrying”; the IPA looks to the ITC as the prime regulator to provide strong safeguards against exploitation, and makes the following points:

• Twenty five per cent of total UK television revenue must be the absolute limit of any individual’s influence in the market.

• There must be an ITC ruling which specifically prohibits any anti- competitive sales practice by any company in a dominant position which results in hardening the market against mainstream advertisers.

• There should be an ITC requirement for any divestment under its rules to be completed within a short time, preferably six months.

• No Channel 3 licensee should have any involvement in the selling of advertising for Channel 5.

The ITC is expected to make a final ruling on TV Sales on 21 April.

ADVERTISING EMPLOYEES DROP

The IPA has also released figures on numbers employed in member agencies; in 1993 there were an estimated 11,100 people employed, compared with 12,000 in 1992. The reductions in staff members was spread across large, medium and small size agencies, in and outside London.