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ABS-CBN rolls out new pricing model to advertisers

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ABS-CBN chairman Eugenio Lopez III (center) with hosts Kris Aquino and Boy AbundaABS-CBN chairman Eugenio Lopez III (center) with hosts Kris Aquino and Boy Abunda

ABS-CBN will begin implementing a more precise and fairer way of charging advertisers to bring about accountability as well as efficiency in the media-buying process.

In his speech during the Media Specialists Association of the Philippines 2015 media congress, ABS-CBN chairman Eugenio Lopez III (EL3) said the CPIRP (cost per individual rating point) pricing model is one of the innovations that the company hopes to carry out starting this May.

“Traditional media buying practice in the Philippines is one where we apply a fixed cost ABS-CBN rolls out new pricing model to advertisers regardless of the program performance,” he said. “Now, that will change with the CPIRP or cost per individual rating point scheme. It is based on the globally accepted and proven CTARP [cost per target audience rating point] model.”

Similar to websites, wherein the number of unique visitors, their location, what device was used, page views and time spent on each page can be measured accurately, CPIRP can do the same for TV advertising. CPIRP rates may vary each day based on the actual number of people reached by a TV show.

“We believe that precise measurement is the new norm in ensuring fairness, transparency and accountability. You pay for what you get,” he said. “If we fail to deliver, the advertiser saves his money. But when we hit the top of the chart, everybody wins. The advertiser gets the exposure he desires, the viewer gets to enjoy the shows that give them real delight.”

EL3 said this is part of ABSCBN’s focus on innovation, which can be seen in the launching of ABS-CBN TVplus, ABSCBNmobile and iWant TV in the last few years. (Story/photos by Kane Choa)

 
 

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