MPLI shows demonstrable inflation in TV and print
SWA and LSA publish an annual update of the Media Price/Performance Index MPLI. As could be predicted at the end of 2021, prices for print and TV in particular rose again in 2022. What are the reasons for this?
Since 2017, the Swiss Advertisers Association SWA and Leading Swiss Agencies LSA have been collecting and publishing the meaningful price/performance index for media contacts.
Across all print publications evaluated, the cost per thousand (CPM) increased by 6 percent year on year. In the previous year, CPM inflation was already 10 percent. A reduction in advertising prices to Jan. 1, 2022 at 20 minutes (D+F), Swiss Illustrated, L'Illustré and Sunday View has helped to mitigate this increase slightly. Rising contact figures in print remain the exception, and many publications continue to struggle with falling figures. At the same time, most publishers have not adjusted their advertising rates. This has a negative impact on the index.
In TV, the plan TKP in the annual review in German-speaking Switzerland rose again significantly among younger target groups (15-49 year olds), with plus 9.3 percent compared to the previous year. The delayed introduction of Hi-Res TV - hybrid TV data - as of July 1 is cited as one of the reasons for this. Due to a corresponding price adjustment, plan TKPs remained relatively stable, especially among older target groups, but nevertheless rose among younger viewers. The general loss of reach from linear TV and a lack of experience with the new hi-res TV data continue to cause effective contact performance to deviate sharply from planned figures time and again.
The performance of "analog" out-of-home (OOH) offerings is stable to slightly declining year on year. However, DOOH has not yet been surveyed in the index. The survey of digital offerings is planned for 2023 in the index.
In cinema, the index increased by a low 0.9 points this year. Due to Corona, there was no MACH Cinema study for 2021 and therefore no contact data.
In radio, there was a general increase in prices due to declining audience numbers. Prices themselves remained largely stable.
With the regular publication of the Media Price/Performance Index, the two associations jointly make an important contribution to transparency in the Swiss media business.
