HLL used to be the biggest advertiser on Star India but this will be history now as the advertising deal between the two has failed to take off. Both the companies had been talking on lowering the rates of advertisement following CAS rollout in major cities. HLL had been pressing for a thirty five percent discount on the existing ad rates but Star is in no mood to go beyond the mark of twenty five.
As a result HLL has stopped advertising on the Star channel and it is expected to lose a lucrative hundred crore deal as a result. Both the companies have refused to comment on this matter. Advertisers have been pushing for reduced rates following drop in channel viewership after implementation of CAS.
Due to implementation of CAS the industry is looking forward to move from CPRP system to cost per thousand system for linking of ad rates with the actual household reach so that a fair rate deal can be worked for both broadcasters and advertisers.
Via: business standard
