 |
Poland's
a hot market
for commercial TV
Foreign
ownership caps protect local interests
By Simon Bond
Poland has a taste for
TV viewing that is fast rivaling that of the Italians, and a third
commercial broadcaster is planning to launch this month to help meet
demand.
In Poland viewers tune in for a massive three-and-a-half
hours a day on weekends and a further 12 hours across the week.
For advertisers, television is dominant among media
by far, reaching 74 percent of the population on weekdays and 78 percent
during the weekend.
In the early
1990s, TV advertising opportunities were limited to the two state-owned
channels, TVP 1 and 2.
However, with market deregulation in 1993, an
independent National Broadcast Council was established and began to
license independent commercial broadcasters.
The creation of
the council had a quick impact on the commercial radio sector that
almost immediately mushroomed into some 200 stations.
The TV market evolved more slowly, however.
The licensing of new TV stations was restricted by
limitations on foreign ownership. The first commercial station, Polsat,
did not face competition until 1997, when TVN, a second cable and
terrestrial station, was launched.
Although its reach was
limited to 65 percent of the country, TVN rapidly succeeded in gaining a
significant audience share and the ad revenues to match.
Now the market is set for further expansion with the
launch this month of a new network called Puls.
Puls promises
family-oriented viewing and hopes to make inroads into the 80 percent
market share held by TVP, Polsat and TVN. The remaining 20 percent of the
market is distributed across a range of cable, satellite and digital
pay-TV channels.
Analysts believe that
there is still room for further growth, particularly in the pay-TV market.
The pay channel, RTL7, was launched by the film and TV giant CLT-Ufa in
1997. It is based outside of Poland and distributed by satellite in order
to circumvent Polish restrictions on foreign ownership. Although it can
only muster an audience share in the low single digits, it could achieve
much more if it were broadcast terrestrially.
But this is not likely to happen unless the ownership laws
that bar foreign companies are changed. The National Broadcast Council is
sympathetic to the case and tried without success to raise the maximum
foreign ownership stake allowed from 33 percent to 49 percent.
Foreign investors are now waiting for Poland’s entry
in to the European Union, scheduled for 2003. As a EU member, Poland
will have to conform to European-wide media laws, and all ownership
restrictions will be lifted.
With big players like CLT-Ufa waiting on the sidelines,
the home-grown Polish broadcasters are making the most of their unfettered
access to domestic viewers while it lasts.
-Simon
Bond covers European media for Media Life, writing from outside of London.

Printer-Friendly
Version | Send
to a Friend
Cover Page | Contact
Us
© 2001 Media Life |
|
 |