International Sales News - As Seen on TV Products

International news, issues, and trends for innovative consumer products in the direct response television industry (DRTV), as well as tips for export management & international product sales. This blog focuses on the As Seen on TV product category.

Thursday, July 24, 2008

TV Ads Soon To Be History in France

Last January President of France Nicolas Sarcozy first divulged his intention to develop a strategy to phase out all advertising on public television entirely by 2011. On June 25th of this year Sarcozy confirmed the reality of the plan, announcing that the phase out will begin as early as January 1, 2009.

The proposal to cut out advertising on public television channels came after TF1, the owner of France's most popular television channels petitioned the president to ban the use of advertising. The siginificant loss in advertising revenues for public broadcasters is said to be compensated for with a new tax placed on private broadcasters, telephone operators, and internet service providers.

The plan has become a highly controversial issue in France, with many claiming that the new tax is illegal and will actually cost the industry nearly 400 million euros per year. However, President Sarcozy explains that his plan will benefit the culture of France and revolutionize the entire public-television service.

The proposal will continue to be debated and drawn up into a law that will be up for vote by parliament this September.

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