Korea's Broadcasting, Media and Communications Commission is substantially loosening broadcast advertising rules to support broadcasters squeezed by competition from YouTube, Netflix and other online platforms.
The biggest shift. Broadcasters will be able to schedule advertising freely within 20% of each channel's total daily broadcast time, replacing per-program constraints with a channel-level volume cap.
Mid-roll ads, previously permitted only in programs of 45 minutes or longer, become available from 30 minutes, with a higher permitted frequency.
The screen area available to subtitle, virtual and product placement advertising expands from one quarter to one third.
The measures respond to sharp deterioration in traditional media economics — three consecutive years of losses at terrestrial broadcasters and liquidity strain at general programming affiliates. Even civil society groups typically critical of deregulation acknowledged the rationalization fits the digital environment. The enforcement decree is expected to be promulgated in September and take effect in October.
A volume cap lets broadcasters concentrate advertising in high-rating programs. That means more inventory around popular shows — and more competition for it. Conversely, low-rating dayparts may carry fewer ads, so buying strategies built on cheap bulk impressions need review.
Extending mid-rolls down to 30-minute programs adds slots in shorter variety and factual formats. Drop-off points differ in short formats, so creative built for 45-minute-plus programming should be revisited for length and hook structure rather than ported directly.
The larger on-screen allowance expands what subtitle and virtual advertising can do, but there is data on the cost of degrading the viewing experience — see "Connected Content": 80% Say a Bad Ad Is Worse Than No Ad at All and, for the wider market context, Global Entertainment and Media to Reach $4.2 Trillion by 2030.
Per-program limits are abolished; broadcasters may schedule ads freely within 20% of a channel's total daily broadcast time.
It drops from programs of 45 minutes or longer to programs of 30 minutes or longer, with a higher permitted frequency.
The enforcement decree is expected to be promulgated in September and take effect from October.
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