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[Thai Economics Library | Archives| Currency Crisis 2007| Entrepreneurs]
July 30, 2008

Advertising free-for-all on Thai cable TV
before new law comes into effect

By Jon Fernquest

adsWhat do erectile dysfunction drugs, cancer-killing herbs, plastic surgery and sex toys all have in common?

These controversial products are now advertised regularly on Thai cable TV.

They used to be banned.

(See photo on right of sex toys imported from foreign countries to Thailand seized by Thailand's Food and Drug Administration (FDA))

Recently, local Thai cable TV has turned into a free-for-all of commercials for products such as these, products that most parents would not want their kids to know about, much less learn about through instructive cable advertisements.

Cable channels have taken advantage of a temporary absence in TV industry regulation to air these commercials.

The Public Relations Department of the Thai government used to regulate commercials under a 1992 law but the new 2008 Broadcasting Act, which took effect in March, has ended all ministerial announcements, including those for commercials.

Hopefully soon, when a new Frequency Allocation Act is passed in parliament, the National Broadcasting Commission (NBC) will be set up to regulate the industry once again.

New legal advertising oportunities for cable TV

There are two types of TV, traditional free-to-air TV and pay TV.

Free-to-air TV has always been allowed to advertise. For the first time laws allow pay TV operators such as cable TV channels to advertise. The new 2008 Broadcasting Act allows six minutes per hour of commercials and a total of 120 minutes per day. The new NBC may be restrictive and not allow this much advertising. NBC will also formulate an exact definition of what counts as advertising including ad tie-ins and product placements.

Over the last two years media buying agencies are the firms that have moved in to gain this new potential pay TV advertising income.

The fibre-optic technology used by cable channels has dropped in price recently. Pay TV penetration in Thailand could double to five million as a result. Pay TV channels could double to 100 next year, this is in addition to the expensive TrueVisions (IBC) that most people think of when they hear the words "pay TV."

Increased viewers and channels would translate into higher advertising revenues but not as high as traditional free-to-air TV, with pay TV ads worth 2.5 billion baht in the first years of operation, only a fraction (5%) of the lucrative 50 billion baht free-to-air TV ad expenditures.

(Source: Bangkok Post, 26-07-08, WORANUJ MANEERUNGSEE, page B1, temp-link)


Vocabulary:

erectile dysfunction - a sexual problem that men have when they are unable to "develop or maintain an erection of the penis," reasons range from cardiovascular leakage to diabetes, "many of which are medically treatable" (See Wikipedia) ปัญหาอวัยวะเพศชายไม่แข็งตัว

plastic surgery - surgery to restore injured body parts (reconstructive surgery) or improvement the appearance (cosmetic surgery) (See Wikipedia) ศัลยกรรมพลาสติก

sex toys, marital aids - any object or device used to provide human sexual pleasure (See Wikipedia) เครื่องมือช่วยหรืออุปกรณ์ช่วยสำเร็จความใคร่

controversial - people have very different opinions about them, create arguments ที่เป็นที่โต้เถียง

banned - not allowed ห้ามไม่ให้ออกอากาศ

Food and Drug Administration (FDA) - the government agency that regulates medicine (drugs) and food safety ....and sex toys องค์การอาหารและยา

have in common - similar features, features they share มีคุณสมบัติเหมือนกัน

cable TV, cable channels - television by underground cable to your apartment or home (most local provincial areas have channels like this) เคเบิลทีวี

a free-for-all - a disorganised and chaotic situation สถานการณ์ที่ไม่มีการควบคุม

absence - does not exist, does not have ปราศจาก

commercials - advertisements on radio or TV โฆษณาทีวี หรือวิทยุ

air commercials, broadcast commercials - show commercials on TV ออกอากาศโฆษณาทางทีวี

took effect - when a law becomes active มีผลบังคับใช้

2008 Broadcasting Act - Thailand's new laws regarding broadcasting กฎหมายโฆษณาปี 2551

take advantage of - use a situation for your own benefit ฉวยโอกาส

free-to-air TV - traditional broadcast TV (for example channel 3) โทรทัศน์ช่องปกติ

pay TV - cable or satellite TV ทีวีช่องที่รับสัญญาณผ่านเคเบิลหรือดาวเทียม เช่น    UBC Star TVเป็นต้น

formulate an exact definition - create an exact definition บัญญัติคำจำกัดความ

what counts as advertising - what sort of mentioning or showing of a product on air is defined to be advertising อะไรบ้างที่จัดว่าเป็นการโฆษณา

ad tie-ins - an authorized product based on a media property a company is releasing, such as a movie or video/DVD, computer game, or video game (See Wikipedia) สินค้าที่ตัดว่าเป็นทรัพย์สินหรือลิขสิทธิ์ของทางบริษัท

product placements - when a film becomes an advertisement, filmmakers agree to place a company's product or logo visibly within shots การลงโฆษณาสินค้าทางทีวี

media buying agencies - companies that purchase time or space ion different forms of media (TV, newspaper, magazine, internet) for client companies บริษัทโฆษณา โดยเฉพาะอย่างยิ่งทำหน้าที่ซื้อเวลาและจัดสินค้าลงตามสื่อต่างๆ

pay TV penetration - how many people or percentage of people in a population who own or watch pay TV จำนวนผู้ดูรายการ pay TV

would translate into - would lead to, would result in นำไปสู่

lucrative - profitable, can make a lot of money with  ทำกำไร



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