Significance of hidden advertising of the media business models in Latvia

Abstract

Since 2002 parliamentary and municipal elections in Latvia, media content researches have shown a considerable amount of hidden advertising: media publish information that is paid-for, yet not identified as advertising, assigning this information with the qualities of independent content, therefore misleading its audience. In order to analyze this practice, a research was commissioned to find out why Latvian media publish hidden advertising, what is the force behind this practice, who are commissioners and developers. The findings were analyzed from the point of view of media normative theories, identifying a specific character of Latvian media culture. Judging by the media professionals’ attitude towards hidden advertising, one must admit that the number of media that follow honest media practice and avoid integrating hidden advertising in editorial content is only decreasing. Secondly, many editorial boards do not work independently, and even consider inclusion of biased information into editorial content desirable and necessary. Most common domains of hidden advertising in Latvian media space are: politics, pharmacy business, telecommunications and financial services, and consumer foodstuffs. Hidden advertising can be found on public broadcasters, newspapers and magazines, as well as commercial radio and TV broadcasts. Media executives confirm that the inclusion of hidden advertising is strictly controlled, institutionalized, secured by contracts and pay checks; media are more likely to try to control that the advertising does not appear without formal acceptance of media executives, rather than control appearance as such of hidden advertising.