'Robust' deal talks hit TV3 ad revenue
TV3 Group's ad revenue is to take a hit this month following very difficult negotiations over advertising rates with one of the country's most powerful media buying agencies Core Media.
It is understood that the difficult nature of the talks over a new ad deal for 2017 impacted on Core's advance spending for March.
TV3, now owned by Virgin Media, is in the process of changing its advertising model, a move a number of agencies have resisted.
Eddie O'Mahony, chief trading officer of Core Media, confirmed that the agency's "committed spend" on TV3 stations would be down for March although he said all commercial arrangements were confidential.
But he said that negotiations with TV3, represented by Virgin Media Solutions, had been "very robust" and more challenging than in previous years. He said that the negotiations had now concluded and that advertising volumes for the full year would be unaffected.
"The deal is done," he said.
A spokesman for TV3 said there was no comment.
Advertising sources said that the TV market had a difficult start to 2017, although growth was still forecast for the full year.
Sunday Indo Business