OTTAWA – The CRTC has told Shaw Cable it has to change its community channel ad policies.
After coming across a rate card and hearing about Shaw Cable selling ad time during Western Hockey League games shown on its community cable channels, the Canadian Association of Broadcasters complained to the CRTC. This month, the Commission sided with the broadcasters.
In the Broadcast Distribution Regulations [Section 27(1)(h)], cable companies are not allowed to air traditional ad spots and there are limitations on the types of advertising community channels can air. Mainly, cable must stick to general branding or soft-sell sponsorship. For example, a community channel can say: "This program is brought to you by Joe’s Used Cars on Main and Sixth, the best deals in town!" What it can’t do is a commercial running through the makes and models of this week’s best deals.
The regs also say sponsorship messages can contain only 15 seconds of full motion video, but can be longer – as long as there’s no full motion video beyond that quarter-minute.
However, during a WHL game in May of 2005, says the CAB’s original complaint, Shaw aired 14 commercial messages, at least 11 of which contravened the regs by actively promoting certain products. “Some are identical to the commercial spot messages run on conventional and specialty television as part of national campaigns and bear no relation to the program which they are supposedly ‘sponsoring’,” says the CAB complaint.
The CAB submitted a rate card for the CRTC, co-sold by Shaw and Regina-based cable co-op Access Communications, outlining the costs for commercials for several programs. Four 30-second commercials cost $1,000 per game, says the sheet about the WHL games.
After looking at the during last spring’s playoff game, the Commission found, "that the extensive promotional language in the messages goes beyond what could be considered any of the sponsors’ trademarks… Accordingly, the Commission concludes that the messages listed in the CAB’s complaint do not comply with Section 27(1)(h) of the regulations," reads a letter to Shaw’s vice-president of regulatory affairs, Michael Ferras from CRTC secretary general Diane Rhéaume.
The Commission dismissed other parts of the CAB’s complaint.
Shaw has until June 9th to tell the Commission how it plans to fix their policies.
– Greg O’Brien