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Television Advertising breaks record

2 February 2006

Television Advertising breaks record for 5th year running

Television advertising revenue totalled $666.4 million ($643.0m in 2004) for the 12 months to 31 December 2005. This is an increase of $23.4 million or 3.6 per cent over the same period in 2004. It is the 5th annual increase since 2001 and is the highest total ever recorded for television advertising in New Zealand.

Revenue for the six months ending 31 December 2005 was $367.1 million compared to $362.5 million in the same six months in 2004, an increase of $4.6 million or 1.3 per cent. All revenue figures are for free to air and pay television.

The New Zealand Television Broadcasters’ Council said that the annual increase was the product of ongoing buoyancy in the economy and sustained audiences for television. However its executive director, Bruce Wallace noted that the increase in revenue was less than half for the previous year and reflected a slowdown in the economy. He said that the average time spent viewing for all people over the age of five years was 2 hours 47 minutes per day.

Mr Wallace said that some outstanding programmes contributed to the strength of the television including the launch of Desperate Housewives on TV2 and Dancing With The Stars on TVOne. CSI was TV3’s leading international show. Prime’s top series was Top Gear. Rugby continued to be a strong performer for SKY. The most watched programme across all channels in 2005 was TVOne’s Tribute to David Lange.

Kiwi content performed well with shows such as bro’Town on TV3, Fair Go and Off the Rails on TVOne and Shortland Street and NZ Idol on 2.

Spending on television advertising in 2005, as reported by Nielsen Media Research, increased in the categories of computers, government departments, home improvements, health/pharmaceuticals and telecommunications.

The NZTBC is made up of the three companies operating national broadcast television channels. They are CanWest TVWorks, Prime Television New Zealand and Television New Zealand.

ENDS

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