Adverts are ubiquitous on Chinese television, and product placement is the least subtle we have ever seen - with products and brands prominently displayed on myriad movies, soap operas, talk shows, game shows and sports programmes. During his June visit to Shanghai, ex-Real Madrid football coach Fabio Capello was interviewed by a leading local football show. The one-to-one interview took place in the morning and was sponsored by a wine company. Hence, both Capello and the interviewer had large branded glasses of red wine placed on the table between them (right in front of the cameras) for the duration of the interview. Neither seemed to take a single sip.
An article by China-based law firm Lehman, Lee & Xu, however, highlights some of the behind-the-scenes machinations in China's television ad industry, which is still dominated by state-owned CCTV.
Lawyer Robin Teow writes that "Two weeks ago, PRC State Administration of Radio, Film and Television ("SARFT") ordered the revocation of two local TV stations' right to broadcast commercial advertisements. The two stations, one in Ningxia and another in Gansu, had repeatedly ignored requests from the Administration to pull medical ads and misleading infomercials."
"Since the introduction of the new regulations on misleading medical ads, SARFT's rein seems to have somewhat tightened. The revocation of the right it seems is a sign from SARFT that things will now be taken seriously. Granted, the two stations are small and insignificant compared to some of the bigger stations who have also been violating the rules, but it does serve as an effective warning."
The new SARFT rules are clouded in mystery and intrigue, and no-one seems to know what will happen. Given the massive revenues garnered by television ads in China, it seems minor tinkering rather than wholesale change is most likely.
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