Companies’ Investments in TV are Huge, meanwhile Channels are in Debt

The FINANCIAL — The telecommunications company Geocell is the leader in terms of investments in TV commercials in September 2012.

The FINANCIAL — The telecommunications company Geocell is the leader in terms of investments in TV commercials in September 2012. Geocell’s investments in TV during September totalled USD 1,021,242.83. Caucasus Online invested USD 773,769.84 and Silknet – USD 260,515.74. The amount of Magticom’s investment totalled USD 57,909.27 and Beeline’s – USD 7,448.65. The vast majority of investments are made in pro-governmental TV channels.

Alexandre Khetaguri, the acting Minister of Finance (United National Movement), on 15 October announced that there would be a new tax amnesty for Georgian broadcasters. According to documents which became temporarily accessible to Transparency International from the website of the Revenue Service in July, Imedi TV owed some GEL 13.9 million and Rustavi 2 – GEL 5.5 million in taxes.

In June-July 2010, Parliament passed a tax amnesty for all Georgian TV stations, erasing GEL 36 million in unpaid debt off the books of TV outlets. No information about the companies benefiting from the amnesty was released but the step was widely believed to benefit mainly Rustavi 2 and Imedi.

According to IPM, from 8 to 14 October, 2012, VTB was leader of the list of the top 20 official investments in TV commercials with USD 124,419.49. Investment in TV commercials by Magti totalled USD 88,372.92, Magti Fix – USD 73,849.75, Beeline – USD 73,243.27, Jacobs 3in1 – USD 63,635.84, Geocell prize draw – USD 62,104.12, Eclipse – USD 62,012.87.

“Official investments put in TV commercials by the Georgian Lottery Company totalled USD 61,586.73, Zedazeni beer – USD 56,224.67, Ariel – USD 52,964.91, Vanish – USD 52,748.34, Barambo confectionary – USD 52,747.94, Korona – USD 50,349.24, Dirol – USD 49,971.34, Magti Sat – USD 49,290.54, Alpen Gold – USD 47,08.66, Savex – USD 46,894.49, Tuc – USD 46,460.25, Kubeti – USD 46,326.9, and Persil – USD 45,283.94.

“The top 20 brands in terms of the vast majority of commercials in radio from 2 to 7 October was Smart Supermarket with the amount of 537. Gorgia, Building Materials company had 462 commercials in radio, Techno Boom – 461, while Las Vegas Internet Casino adverts totalled 455. Socar Energy Georgia had 435 commercials on the radio, Schirnhofer – 364, Bosch – 363, German Butcher – 357, Goodwill – 354, and Zedazeni beer – 349,” IPM said.

The number of radio commercials of VTB Bank was 349, Georgian cinemas – 329, Bank Constanta deposit – 301, Las Vegas Slot Club – 287, Amboli auto parts shop – 271, Nabeglavi – 230, Saqkamaz auto centre – 230, G 12 developing company – 204, Isani trade centre – 185, and Smiley network – 183.

“Dirol had the biggest number of advertisements on TV, totalling 909 from 1 to 7 October, 2012. Snickers had 670 TV commercials, Bank of Georgia Express Card – 595, Kubeti – 498, Orbit – 483, Maretti – 481, Coca Cola – 433, Twix – 430, M&Ms – 425, Elit Electronics network – 419, Magti Sat – 409, Jacobs Mixes – 393, Papia – 382, Savex – 376, Magti Fix – 371, Bounty – 366, Persil – 357, McDonald’s – 320, Kitkat – 293, and Beeline – 275,” IPM said.

The share of ads in print media (during 8-14 October) is very small. Tbilmicrocredit leads with 10 commercials, Cartu Bank – 10, Swiss Capital – 8, Liberty Bank – 8, TBC Bank prize draw – 6, Bank Republic loan – 6, Rico Express – 5, Realcredit – 5,  Lider Credit – 5,  Georgian Capital – 5,  Credit Plus – 5, CFI Group – 5, Big Business investment group – 5, Georgian house – 5, Georgia building materials company – 5, Bank of Georgia Mortgage Loan – 5, Procredit Bank deposit – 5, Turkish Airlines – 5, TAV Georgia – 5, and Microinvest, Micro finance organization – 4.