TV ad cap removal may boost industry ad revenue by only 1-3%: Elara Securities

New Delhi [India], August 18 (ANI): The removal of the 12-minute-per-hour advertising cap for television channels may provide only a limited boost to the industry’s advertising revenue, with gains estimated at around 1-3 per cent even in a best-case scenario, according to an Elara Securities report.

The report said that while the regulatory change gives broadcasters greater flexibility to sell advertising inventory, the bigger challenge facing the television industry is weak advertiser demand and declining viewership rather than a shortage of advertising slots.