A report released by the Arab Advisors Group (AAG) in January noted that the 2005 television advertising rates in the region have dropped significantly compared to those of 2004. The combined rates for a 30-second ad on MBC1, LBC, Future TV and Al Jazeera averaged at $3,103 in 2004. A year later, the rates were down by 30 percent to an average of $2,180. AAG says the slump is directly related to fierce competition among the influx free-to-air satellite stations that are mushrooming across the Middle East.
However, the analysis excludes rates for highly rated format shows such as LBC’s Star Academy and Future TV’s Superstar, which are considerably higher than regular ad rates. Excluding the inflated rates, Al Jazeera boasts the highest 30 second ad rate at $3,100, closely followed by MBC1 at $2,350. LBC, Dubai and Future TV respectively charged $1,633, $1,675 and $1,825. SuperStar and Star Academy both charge $10,000 per 30-second ad, while MBC’s Who Want to Be a Millionaire tops the region at $12,000 per slot.
AAG reports pay-TV rates to be much cheaper, due to smaller audience and dependence on subscription fees. The highest rate recorded for regional networks such as ART, Orbit and Showtime is $720 per 30-second spot, according to AAG.