NEWS: Capital Radio faces 61 per cent limit on airtime sales share

The Institute of Practitioners in Advertising is poised to force the Capital Radio Group to cap its soaring share of national radio sales revenue as other media become increasingly worried that its dominant position could set a dangerous precedent.

The Institute of Practitioners in Advertising is poised to force the

Capital Radio Group to cap its soaring share of national radio sales

revenue as other media become increasingly worried that its dominant

position could set a dangerous precedent.



The IPA wants to cap Capital’s share at 61 per cent of national airtime

sales and is drawing up a list of additional undertakings that it may

require from Capital in order to safeguard against a possible abuse of

its market share.



The undertakings could jeopardise Capital’s current bid for the

Yorkshire regional licence. The move comes as the media industry grows

increasingly concerned about the recent consolidation in radio airtime

sales.



Last month, Emap Radio shifted all its sales into MS&M, effectively

giving the Capital Radio Group around 61 per cent of national revenue,

according to the IPA.



David Mansfield, general manager of Capital Radio, said: ‘Capital’s

position has always been that it competes for ad revenue with the whole

market, not just radio. Therefore, to segment the radio market into

national and local and amalgamate Capital and MS&M’s shares of that

market when they are sold separately is inappropriate.’



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