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WFA priorities addressed in new EU wide TV advertising rules
Date: 30/11/2007
The European Parliament (EP) yesterday formally adopted the new ‘Audiovisual Media Services' (AMS) Directive, marking the conclusion of work on the Directive. The EP endorsed the ‘Common Position' adopted by the Member States last May, which had been pre-negotiated with the EP and the European Commission.
The new Directive will make EU broadcasting laws ‘future-proof" in the face of rapid technological developments, notably in the field of advertising. It will apply to all TV and TV-like services, including interactive TV, video-on-demand, IPTV, and mobile TV.
WFA, in close cooperation with the media and advertising sectors, has actively contributed to discussions on the Directive and is pleased to see key WFA priorities addressed:
- The principle of freedom to broadcast across borders is preserved.
- For the first time in EU legislation, the important role of self-regulation is fully recognised.
- Despite intense pressure, no new bans or restrictions on advertising are introduced.
- Rules on inserting ads into programmes become more flexible.
- For the first time in the EU, product placement is explicitly allowed subject to clear rules.
Following extensive efforts by WFA and its partners of the European Advertising Standards Alliance, and for the first time in EU legislation, the Directive recognises that self-regulation and co-regulation play an essential complementary role to statutory legislation and encourages EU Member States to make more use of such systems.
This move is underlined by the EU's rejection of calls for bans on food/drink and alcohol advertising. Instead, responsible food and drink advertising will be further promoted by encouraging industry to develop a voluntary code of conduct on ‘inappropriate commercial communications' of foods high in fat, salt and sugar to children.
There will for the first time be EU-wide rules governing product placement. While product placement is today subject to often conflicting and unclear national rules, it will in the future be allowed across the EU in movies, TV series, sports programmes and light entertainment programmes, unless explicitly banned at national level. Product placement will need to be identified before and after a programme, as well as after any ad breaks. Undue prominence of featured products and promotional references will be prohibited, as will product placement in children's programmes. A lighter regime applies where no payment has been made (e.g. for prizes and props), or where content has been acquired from third parties. The rules on product placement only cover content produced after they enter into force at national level.
Next steps:
The new Directive will shortly be published in the Official Journal of the European Communities and will enter into force the next day. Member States will be given 24 months to convert the new rules into national law, so that they will be fully applicable at the end of 2009. Commissioner Reding recently asked Member States to proceed with a ‘light touch' transposition of the Directive to avoid heavy-handed national provisions which could prevent further innovation in the audiovisual industries.
WFA's key priority will be to ensure that the Member States make full and consistent use of the call in the Directive to rely on self-regulatory systems, and to ensure consistent transposition of key provisions such as the country-of-origin principle and the product placement rules.
For more information please contact [email protected]
