The Australian Federal Election and the Advertising Market

One of the most cluttered times of year in the Australian media calendar are the months leading up to a national election. The reason behind this can be traced back to a 1992 high court ruling – Australian Capital Television Pty Ltd v Commonwealth – which prohibited the broadcasting of politically related material on electronic media such as radio and television during the period leading up to a State or Federal election (except in news, current affairs or talkback programs).

While the date of the 2013 election has already been released by Prime Minister Julia Gillard, the election has yet to be officially “called” – the predicted date for this is the 12^th of August. This means that the months leading up to August will be some of the most hectic across all Australian media, as the political candidates attempt to broadcast their message to the Australian public before the ban on political advertising comes into effect. 

With an estimated spend of $10m - $15m for the two major political parties EACH, as well as a higher than ever before spend from the Greens across the four weeks leading into the September election, the majority of this money has been expected to be aimed at Television, thus we are looking at horribly cluttered advertising medium.

Federal political parties have been known to refine their media placement strategy by dominating news and current affairs programs, pay loads to secure premium position in break or move pre-existing advertisers, and skew earlier in the week to be in and around the highest rating shows. It is also expected they will maintain a high frequency across the campaign period, so the activity will increase massively in the lead up to the election call.

The other reason behind this increase of advertising spend, is the fact that it is not only the federal political parties that use this period to talk to the Australian public, but other interested parties as well.

Groups such as the Australian Electoral Commission are looking to spend an estimated $5m across the coming months with messages about enrolling to vote, how to vote, and where voting will take place. Other groups who add to the clutter of this time are groups who want to get their message across, either backing or attacking certain political candidates. 

Associations as diverse as Nurses and Police Officers Unions, to groups campaigning for better schools and environmental activists, all take this time to push their agenda into the Australian consciousness, beseeching the public to back the candidate who agrees with their views.

What it means for us

The biggest impact this will have for the Woolworths Ltd business is forward casting in regards to advertising campaigns and launches. The TV schedules through late July and early to mid August should be finalised and laid down as early as possible, with an eye to minimal changes for that period. Avails are already starting to dry up, and will be extremely tight the closer we are to the blackout deadline. The most important thing for all advertisers over this time period is recognise the implicit issues surrounding the Federal Election and get their strategies in place as soon as they can, and be prepared for the possibility of many spot changes.

Below is a projected calendar of the lead up to the August calling of the federal election that has been built by Aegis Media, which will hopefully show in greater detail what it will be like across this time for advertisers.