ITV leads rise in TV inflation

1996 TV advertising inflation raced ahead of general inflation due to a second year of increased demand and reduced impacts for ITV.

ITV’s inflation was ahead of TV as a whole at 11.4 per cent, compared with 9.5 per cent the previous year. Last year’s inflation was caused by a 6.1 per cent fall in impacts, combined with a revenue increase of 4.6 per cent to 1.6bn.

Inflation for all commercial TV in 1996 stood at 9.7 per cent, according to industry estimates. This was caused by a 7.2 per cent increase in demand that raised TV revenue to 2.4bn. At the same time total commercial impacts fell by 2.3 per cent.

Inflation affecting the 16- to 24-year-old sector across the whole ITV network was an estimated 27.5 per cent. TV’s inflation rate compares with a consumer prices rate of about 2.7 per cent during 1996. At the same time, retail sales by volume increased by only 4.1 per cent.

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