TV 2000 CONFERENCE: Inflation and convergence head the TV 2000 conference agenda

TV inflation and the need for agencies to change their approach to advertising dominated the debate that kicked off the TV 2000 conference in Lisbon last week.

TV inflation and the need for agencies to change their approach to

advertising dominated the debate that kicked off the TV 2000 conference

in Lisbon last week.



Oliver Cleaver, the European media director of Kimberly-Clark, said: ’In

the past three months we have seen the bogey of TV inflation coming

back ... TV is increasing in supply and reducing in quality.’



He added that inflation was being fuelled by dotcoms, which were

’messing up the market for the more traditional advertisers’.



John Billett, the chief executive of the Billett Consultancy, advocated

the use of a more media-neutral strategy by agencies to improve

advertising effectiveness.



Eric Salamon, the general manager corporate marketing at Heinz, said:

’We need an agency structure with a holistic view to media and

creativity without putting things in boxes, which is what agencies are

doing.’



In a speech on the convergence of TV with the internet, Mick Buckley,

the managing director of Turner Broadcasting UK, pointed to the

development of the US market where ’half of all online correspondents

surf the web and watch TV at the same time’. He said that this practice

would probably be confined to a subset of the audience but added that

convergence will have an early impact, prompted by technological

development.



Buckley predicted that broadcasting portals will become a major feature

as broadcasters combat the problem of viewers going direct to programmes

through electronic programme guides.



David Elstein, the chief executive of Channel 5, predicted that the BBC

licence fee will become irrelevant when the analogue TV signal is

switched off. ’When analogue is switched off, non-licence fee payers can

easily be switched off from the BBC digital signal and the licence fee

returns to what it used to be - a subscription to the BBC,’ he said.



Elstein warned that the 2006-2010 dates that have been set for analogue

switch off were too soon, given the mass of equipment that would need to

be replaced.



He said: ’The road to analogue switch off is a long one and there will

be many dates announced and abandoned as we travel along it.’



Perspective, p18.



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