OTTAWA, Nov. 28, 2011 /CNW/ - A new study by Nordicity Group Ltd.
reveals that advertising does not detract from the public broadcaster's
mandate and that there is no good public policy reason to eliminate
advertising from its television services. In fact, most public
broadcasters around the world carry advertising or are engaged in
Removing ads from CBC/Radio-Canada's services would result in a
significant reduction of Canadian content and have serious consequences
for both the independent production sector and advertisers.
The study was released today by CBC/Radio-Canada in the context of the
International Institute of Communication's pre-conference on public
broadcasting, organized alongside the Corporation's 75th anniversary celebrations. Commissioned as part of the Corporation's
ongoing efforts to inform debate about the role and responsibility of
the public broadcaster, the findings will inform decisions as the
Corporation continues the implementation of its five-year strategy, 2015: Everyone, Every Way.
"Private and public broadcasters compete on many levels in our mixed
public-private system, but each has a contribution to make," said
Hubert T. Lacroix, President and CEO of CBC/Radio-Canada. "The national
public broadcaster has access to advertising revenues to help meet Broadcasting Act objectives, while private broadcasters have, most notably, access to
public subsidies to help them meet Canadian content requirements."
"The elimination of advertising revenues would seriously compromise the
Corporation's ability to fulfill its mandate and roll-out initiatives
planned under 2015: Everyone, Every Way," added Lacroix.
Nordicity estimates that the elimination of advertising from
CBC/Radio-Canada would result in a net financial impact of $533
million. That would translate into a $160 million reduction in Canadian
programming expenditures. CBC/Radio-Canada, alone, invests as much in
Canadian programming as all conventional private broadcasters combined
($696 million in broadcast year 2010).
In addition, Canadian businesses that rely on the public broadcaster as
an advertising vehicle, would suffer from the loss of CBC/Radio-Canada
as an option. This would mean fewer - if any - alternatives in smaller
markets. And because of reduced inventory, TV ad rates would invariably
be pushed up.
For further details, consult the Nordicity study here: http://cbc.radio-canada.ca/about/advertising.shtml
CBC/Radio-Canada is Canada's national public broadcaster and one of its
largest cultural institutions. The Corporation is a leader in reaching
Canadians on new platforms and delivers a comprehensive range of radio,
television, Internet and satellite-based services. Deeply rooted in the
regions, CBC/Radio-Canada is the only domestic broadcaster to offer
diverse regional and cultural perspectives in English, French and eight
Aboriginal languages, plus seven languages for international audiences.
In 2011, CBC/Radio-Canada is celebrating 75 years of serving Canadians
and being at the centre of the democratic, social and cultural life of
SOURCE Canadian Broadcasting Corporation
For further information:
Director, Communications Services and Corporate Spokesperson