Market Insights Advertising & Media Advertising TV & Video Advertising

Traditional TV Advertising - Czechia

Czechia

Ad spending in the Traditional TV Advertising market in Czechia is forecasted to reach US$407.80m in 2024.
The ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 0.39%, leading to a projected market volume of US$415.80m by 2029.
The average ad spending per TV Viewer in the Traditional TV Advertising market in Czechia is estimated to be US$49.04 in 2024.
The number of users in the Traditional TV Advertising market in Czechia is expected to reach 8.4m users by 2029.
In Czechia, Traditional TV Advertising remains a pivotal strategy for brands seeking broad audience reach despite the rise of digital advertising platforms.

Key regions: Germany, Europe, Japan, United Kingdom, Australia

Definition:
Traditional TV Advertising refers to ad spending on moving image formats broadcasted via traditional transmission channels such as terrestrial and digital terrestrial (DTTV, DTT, DTTB) TV, cable TV, satellite TV, and linear TV delivered via Internet Protocol television (IPTV). Terrestrial television uses traditional antennas that transmit analog signals. Analog terrestrial TV has undergone a digital switchover (DSO) to digital terrestrial TV in most parts of the world. For digital terrestrial TV, television broadcasting stations transmit TV content through radio waves to televisions in households in a digital format. Internet Protocol television (IPTV) refers to the delivery of television content via Internet Protocol networks. IPTV is used in subscriber-based telecommunications networks via set-top boxes or other customer-premises equipment (IPTV is included in the cable revenue split here). Traditional TV Advertising covers all ad spending on pay-TV operators and networks as well as free-to-air networks and free-to-air spin-off digital channels from terrestrial network operators. Usually, the distribution of advertising time in television programs is either carried out by the broadcasters themselves or by marketing agencies.

Structure:

Cable TV signals are transmitted through coaxial or fiber-optic cables directly to each household without the need for external antennas.
Satellite TV includes television programming with the use of communication satellites that transmit to satellite dishes. A dedicated satellite receiver (external set-top boxes or built into TV sets) decodes the television program.
Digital Terrestrial Television (DTT), sometimes known as direct-to-terrestrial television, is a type of television reception in which a signal is transmitted directly to a viewer's antenna rather than through a cable or satellite system. As a rule, HDTV signals are available through digital terrestrial television, and this type of television also makes better use of the radio spectrum.

Additional information:
Traditional TV Advertising comprises advertising spending, users, average revenue per user, and user demographic. The market only displays B2B spending and users. Figures are based on Traditional TV Advertising spending and exclude agency commissions, rebates, production costs, and taxes. For more information on the data displayed, use the info button right next to the boxes.

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Analyst Opinion

The Traditional TV Advertising market in Czechia has been experiencing significant growth in recent years.

Customer preferences: Czech consumers still have a strong preference for traditional TV advertising. Despite the rise of digital platforms and streaming services, many viewers in Czechia continue to watch traditional television, providing advertisers with a large and captive audience. This preference for traditional TV is driven by several factors, including the availability of a wide range of channels and programs, as well as the convenience of accessing content through a single device. Additionally, many Czech consumers still rely on traditional TV as their primary source of news and entertainment.

Trends in the market: One of the key trends in the Traditional TV Advertising market in Czechia is the increasing use of targeted advertising. Advertisers are leveraging data analytics and audience segmentation techniques to deliver personalized advertisements to specific viewer demographics. This allows advertisers to maximize the effectiveness of their campaigns by reaching the right audience with the right message at the right time. Furthermore, the rise of programmatic advertising has also contributed to the growth of the market, as it allows for more efficient and automated ad buying and placement. Another trend in the market is the integration of online and offline advertising. Advertisers are increasingly using traditional TV advertising as a complement to their online marketing efforts. By combining both channels, advertisers can create a cohesive and integrated advertising campaign that reaches consumers across multiple touchpoints. This trend is driven by the growing recognition of the importance of a multi-channel approach in reaching and engaging consumers in an increasingly fragmented media landscape.

Local special circumstances: The Traditional TV Advertising market in Czechia is also influenced by local special circumstances. One such circumstance is the dominance of public service broadcasters in the market. Czech Television and TV Nova are the two main broadcasters in the country, and they attract a significant share of viewership. Advertisers often prioritize these channels due to their large audience reach and high levels of trust among viewers. Another special circumstance is the regulatory environment in Czechia. The country has specific regulations governing advertising on television, including restrictions on the amount and timing of commercial breaks. These regulations aim to protect viewers from excessive advertising and ensure a positive viewing experience. Advertisers need to be aware of these regulations and ensure compliance when planning their TV advertising campaigns in Czechia.

Underlying macroeconomic factors: The growth of the Traditional TV Advertising market in Czechia is also influenced by underlying macroeconomic factors. The country has experienced steady economic growth in recent years, which has contributed to increased consumer spending and advertising budgets. Advertisers are willing to invest in TV advertising to reach the large and relatively affluent Czech consumer market. Furthermore, the advertising industry in Czechia is benefiting from the overall stability and competitiveness of the country's media market. Czechia has a well-developed media infrastructure, with a diverse range of TV channels and networks. This competition among broadcasters drives innovation and ensures that advertisers have a range of options when planning their TV advertising campaigns. In conclusion, the Traditional TV Advertising market in Czechia is experiencing growth due to customer preferences for traditional TV, the use of targeted and integrated advertising strategies, local special circumstances such as the dominance of public service broadcasters and regulatory environment, as well as underlying macroeconomic factors such as economic growth and a competitive media market.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on traditional TV advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers non-digital formats such as terrestrial TV, cable TV, satellite TV, and linear TV.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, and survey results from our primary research (e.g., Consumer Insights Global Survey) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, population, media consumption, number of households with television, and consumer spending.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.