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News

Printed and digital media will lose 2 billion rubles a year without alcohol and tobacco advertising

According to RBC daily’s data, printed and electronic media will lose about 2 billion rubles annually, if alcohol and cigarettes’ advertising are banned. Beer and spirits’ ads will disappear from the publications pages from January 1, 2013. The ban on tobacco advertising will come if Government approves today the Ministry of Health’s bill. But cigarette manufacturers and the media (except the specialized ones) are not too worried about it.

Currently cigarette and smoking accessories’ advertising has been already banned on radio and television, as well as in vehicles and outdoor. It is allowed to advertise these products in the printed media and the Internet with some caveats. For example, you cannot advertise tobacco products on the magazines’ covers, and at the first and last pages of newspapers. In addition, it is forbidden to use the images of minors or demonstrate the positive effects of smoking.

RBC daily found out, that cigarette manufacturers spend much less money than alcohol companies to promote their products. They have paid almost 497 million rubles for tobacco products’ advertising in the press over a period from January to August 2012. "If the trend of the previous year saves, by the end of 2012 advertising budgets will grow to 788 million rubles", says Anastasia Nikiforova, the CEO of PHD agency. “The web advertising will have 8-10% of this amount”.

At the same time, the amount of alcoholic market advertising in the printed media and the Internet in 2011, according to "Video International" data, made up 1.211 billion rubles. Estimated total advertising costs in printed and online media in 2012 are on the 42-43 billion rubles level. Thus, if media don’t receive revenue from alcohol and tobacco companies, they will lose only 4.5-5% of their current advertising revenues.

"The ban on tobacco advertising in the printed media and on the Internet is not catastrophic”, confirm Anatoly Vereshchagin, the PR-director of JTI. “Although we believe that the manufacturers should have a communication channel with grown-up consumers, who are entitled to receive information about the legally market product".

Source: RBK daily