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Israel: Major competition issues found in how companies buy ad time

 |  February 6, 2013

A study conducted in Israel found that while competition is healthy in the advertising sector, there is an anticompetitive climate concerning the businesses that secure the airtime for those advertisements. According to a report, there is a significant threat to television broadcasters brought by the concentrated market power held by just a few media-buying agencies. The report found that “dozens” of agencies hold 40 percent aggregate market share, while dozens others held no more than 1 percent. According to a review of the report, those ad agencies band together to collectively buy media airtime. The report is also considered the cause for Antitrust Commissioner David Gilo’s recent decision against TMF and Zenith Israel from jointly buying airtime.

 

Full Content: Haaretz

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