Radio ads losing out to event marketing
Radio advertising prices will be cut between 10 per cent and 20 per cent this year amid decreasing ad spending on radio and high competition in the market.
Chate Mungkhalodom, managing director of Virgin BEC-Tero Radio (Thailand), said yesterday that businesses had begun to shift their advertising budget from radio to event marketing to attract target groups. According to the market trend, radio operators have cut advertising prices and are now offering special packages to ensure their earnings this year will match last year, Chate said. The value of the radio advertising market amounted to Bt3 billion last year. Chate said the market may stay stable at nearly Bt3 billion this year despite reductions in ad budgets to promote new products as businesses continue to be concerned about the political situation. Virgin BEC-Tero Radio (Thailand), which operates three radio stations - Virgin Hitz 95.5, Virgin Soft 103 and Easy FM 105.5 -has changed its business policy by offering both event marketing and advertising air time to create value-added services for customers. "We have to combine event marketing and radio advertising to promote our clients' products to their customer target groups," he said. Following the new marketing concept, Chate said the company expected total revenue of Bt525 million in this year, equal to last year. Of this, Bt280 million will come from Easy FM 105.5, Bt205 million from Virgin Hitz 95.5 and Bt40 million from Virgin Soft 103. Somluck Srimalee, The Nation
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