MAM
TV commercials dying a natural death in Germany: Mercer study
BONN: Television commercials will soon be a thing of the past and are going the way of dinosaurs, according to a new study in Germany. Mercer Management Consulting Agency has urged TV network executives to start planning for the “post-commercial age” of broadcasting.
The study adds that the new creeping revolution will comprise of commercial-free premium subscription channels, pay-per-view events, tele-shopping and interactive services. Networks with more innovative “viewer-interactive” programming will be better placed in the near future.
The alarming study asserts that declining commercial revenues in Europe can only partially be blamed on the continent’s sluggish economy. The study adds that the digital revolution will pave the way for a whole new series of home equipment which will enable viewers to avoid ever having to see another commercial again. Networks which persist in airing commercials will be airing them to nobody — a fact which will cause advertisers to turn to other media.
The study also predicts that commercial revenues will likely be back up to levels last seen in 2001 by the year 2006. But, by that time, advertising dollars will be shifting away from the traditional TV commercial spot, says the Mercer study.
The study’s findings are pertinent in Germany, where a veritable broadcast explosion has taken place – similar to the one which happened in India a decade back.
Two decades ago, the average west German household received just three channels — all three of them fee-supported public broadcasters. East Germany had two state-operated TV channels and no commercials.
The public channels were restricted to 20 minutes of pre-primetime commercial advertising on weekdays. No advertising was permitted on Sundays or holidays.
But now the media revolution has ensured that the average German household has access to scores of channels, most of them commercial networks free to air advertising 24 hours a day, seven days a week. More than 20 national commercial networks alone at last count are available via rooftop antenna, cable and satellite dish throughout the land. This scenario has led to intense competition for every single dollar spent on advertising.
German national TV advertising revenues peaked in 2001 at US$18 billion, and have been edging downward every year since then, down US$3 billion so far. Mercer’s analysts say that, of the US$3 billion that have vanished from the TV advertising market in the past three years, two-thirds of that sum found its way into other advertising avenues. Only a billion was actually due to the economic downturn.
The Mercer study also says that a whopping 82 per cent of viewers look forward to the day when they can own a DVD recorder which will allow them to “skip over” commercial breaks at the press of a button. And 57 per cent would even be willing to subscribe to a service which would enable them to black out or skip over commercial blocks.
“Viewers want comfort, control and individualized programming,” says the study which warns, “and commercial networks will either meet those wishes or else they will go under.”
Are the Indian broadcasters listening?
Brands
YES Bank hands the keys to SBI veteran Vinay Tonse as it bets on a new era
Former SBI managing director appointed as YES Bank’s new MD and CEO
MUMBAI: YES Bank is done rebuilding. Now it wants to grow. The private sector lender has appointed Vinay Muralidhar Tonse as managing director and chief executive officer-designate, with RBI approval secured and a start date of April 6, 2026 confirmed. The three-year term signals the bank’s intent to shift gears from crisis recovery to full-throttle expansion.
Tonse, 60, is no stranger to scale. Most recently managing director at State Bank of India, he oversaw a retail book of roughly $800bn in deposits and advances, one of the largest in the country. Before that, he ran SBI Mutual Fund from August 2020 to December 2022, a stint that saw assets under management surge from Rs 4.32 lakh crore to Rs 7.32 lakh crore across market cycles. Add stints in Singapore and four years leading SBI’s overseas operations in Osaka, and the incoming chief arrives with a genuinely global CV.
His academic grounding is equally solid: a commerce degree from St Joseph’s College of Commerce, Bengaluru, and a master’s in commerce from Bangalore University.
The appointment follows an extensive search and evaluation process by the bank’s Nomination and Remuneration Committee. NRC chairperson Nandita Gurjar said the committee unanimously backed Tonse, citing his leadership track record, governance credentials and ability to drive the bank’s next phase of transformation.
Non-executive chairman Rama Subramaniam Gandhi was unequivocal. “I am certain that Vinay Tonse, with his vast experience as a senior banker, will propel YES Bank to its next phase of growth,” Gandhi said, adding that the bank remains focused on strengthening its retail and corporate banking franchises and expanding its branch network.
Rajeev Kannan, non-executive director and senior executive at Sumitomo Mitsui Banking Corporation, the bank’s largest shareholder, said Tonse’s experience across retail, corporate banking, global markets and asset management positioned him well to lead the lender. SMBC said it looks forward to working with Tonse and the board as YES Bank pursues its ambition of becoming a top-tier private sector lender anchored in strong governance and sustainable growth.
Tonse succeeds Prashant Kumar, who took the helm in March 2020 when YES Bank was in freefall following a severe financial crisis, and spent six years painstakingly stabilising the institution, rebuilding governance and restoring operational scale. Gandhi was generous: “The bank remains indebted to Prashant Kumar, who is responsible for much of what a strong financial powerhouse YES Bank is today.”
Tonse, for his part, struck a purposeful note. “Together with the board and my colleagues, I remain deeply committed to creating long-term value for all our stakeholders,” he said, pledging to build on Kumar’s foundation guided by his personal motto: Make A Difference.
Beyond the balance sheet, Tonse played cricket at college and club level and represented Karnataka in archery at the national championships — sports he credits with teaching him teamwork, situational leadership, discipline and focus. In quieter moments, he reaches for retro Kannada music, classic Hindi songs, and the crooning of Engelbert Humperdinck, Mukesh and Kishore Kumar.
YES Bank has its steady-handed rebuilder in Kumar to thank for survival. Now it has a scale-obsessed growth banker at the wheel. The next chapter starts April 6.
