Oracle, Ornico bury the hatchet

Oracle Airtime Sales, on behalf of Multichoice, M-Net and Supersport, refuted Ornico's statement, which made specific claims relating to a campaign flighted on DStv where it said “the error margin reached 84%” and requested Ornico's source data.

Ornico responded that it was unable to provide the data because of client confidentiality. It had petitioned its client to make its media data available but the client declined.

In an effort to avoid a costly legal skirmish, the two companies met in early January 2010 to discuss the methodology used by Ornico's verification services and to ascertain how Oracle, on behalf of its channel portfolio, manages commercial airtime on the DStv platform.

Findings

“During the session we discovered that Ornico is invariably retained directly by the client and not by the media agency responsible for the placement of the airtime. The media agency usually supplies the media schedule for audit. What became apparent to both of us is that [the] verification service uses a schedule provided by the media agency, on instruction by the client while also making use of the Telmar system, which at times is not congruent with the dynamic nature of airtime packages bought on DStv,” said Chris Hitchings, director of operations for Oracle Airtime Sales.

“The vast majority of airtime bought on DStv is done so in the form of airtime packages that can be structured against any number of criteria - channel, time-band, programme content, genre, target market, ratings and the like. Once a package has been booked, Oracle will provide an advertiser/media agency with a preliminary schedule to illustrate the likely structure of the campaign.”

“DStv packages invariably offer substantial discounts off the rate card cost of the airtime and these discounts are granted, in part, due to the fact that Oracle retains the right to vary the spot schedule and to substitute with alternative airtime, where necessary.

“Further, Oracle retains the discretion to vary the spot schedule to avoid a situation were competing advertisers or brands would appear in the same commercial break. While the final spot schedule may differ, in some cases significantly, from the original schedule, the final exposure delivered to the advertiser will at least match, if not better the original,”

He added that the terms and conditions relating to the purchasing of packages on DStv are well known and accepted as standard procedure within the media-buying world.

Oresti Patricios, CEO of Ornico said he was heartened that resolution and common ground had been found. “Obviously our interest is in ensuring sound independent monitoring and a system where broadcasters are held accountable for commercial errors.

“Following our meeting, we jointly believe it is imperative that advertisers and agencies take the reality of package airtime ‘buys' into consideration and that this forms an important part of any independent audit function.

“We will also be meeting with Telmar and intend participating in an industry forum to help build the best system for independent verification so that advertiser investments in commercial campaigns are protected,” he concluded.