| | Media Buyer & Planner Today | | | | | | | | | #1 Upfront Season Opens in Bullish Mood | | TV ad sales executives point to a strong economy and rising stock market as reasons for them to price advertising aggressively for next season's ad selling when upfront negotiating begins, Broadcasting & Cable reports. However, while media buyers paid hefty price increases last year to many networks, they as usual will point to declining ratings as a reason not to do so this time. Yet the networks have come up with all sorts of new data to support their claims that viewership is not down, even if the traditional Nielsen ratings says it is. Advertiser Perceptions finds that 34% of media buyers plan to spend more upfront dollars on broadcast and cable this year with only 14% on broadcast and 12% on cable planning to spend less. | | WHY THIS MATTERS: Last year some $18 billion was committed to TV ad spending during the cable and broadcast upfronts. So how the negotiations go down determine a lot about how the networks' revenue for the season plays out. Marianne Gambelli, chief investment officer for Horizon Media and former sales exec at NBC, says, "It's a bit early for posturing, but I;m sure all of that will begin to unfold soon enough." She's predicting a more "moderate" marketplace, but also concedes that it's "way too early to predict" what will happen two months from now. | | A Take: B&C | | | | #2 No Post-Election Hangover at Fox News | | As strong as 2016 was for Fox News Channel viewership and ad sales, 2017 has started out with even higher ratings and better ad sales, Broadcasting & Cable reports. While the presidential primary race coverage and general-election debates scored major ratings increases for Fox News Channel and Fox Business Channel, those large audiences are still tuning in, long after the election. So far this season, in addition to being No. 1 in total viewers in cable, Fox News has also finished first or second among adults 18-49, 25-54, 25-64 and 50-plus in households with incomes of $100,000 or more in all dayparts. When Fox News begins its upfront presentations next month, a new twist to be offered to media buyers is the ability of having individual advertisers sponsor an entire hour of programming and with fewer commercials to reduce clutter. | | WHY THIS MATTERS: Donald Trump, love him or not, has created lots of controversy that is drawing more viewers to watch news coverage. In the case of Fox News, with Trump reportedly an avid watcher of its news networks, advertisers might want to run campaigns knowing the president could be tuning in. | | A Take: B&C | | | | #3 Kids' Networks Do More Cross-Platform Selling | | With Nielsen ratings being questioned by kids' TV networks for not adequately measuring their audiences, those networks are expecting to focus more on their cross-platform audiences when doing their upfront selling, Media Post reports. Disney, Nickelodeon and Time Warner's Cartoon Network are all doing their own custom research to prove to advertisers that kids are still watching their programming but on digital devices beyond linear TV. Disney says 28% of its audience impressions now come from devices or platforms not measured by Nielsen's traditional ratings. Meanwhile the main categories targeting kids -- movie studios, toys and video games -- are still expected to be strong, along with retailers and P&G, the later which targets moms watching with their kids. | | WHY THIS MATTERS: While the kids' networks are touting their non-linear audiences more, they still draw mass kids audiences on traditional TV. Nickelodeon averaged 1.2 million total day viewers in 2016, while Disney Channel averaged 1 million and Cartoon Network 850,000. However declining audiences mean the networks have to charge less when selling ads. So it behooves them to start monetizing their non-linear audiences. | A Take: Media Post
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| | 12 | | Percentage that digital video ad spending is expected to grow in 2017, according to J.P. Morgan. It is also projected to grow 9% in 2018. Digital video advertising is growing at a faster rate than digital search advertising which is projected to grow 2% in both 2017 and 2018. | – Reported by eMarketer
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| Editors' note: Today's ratings data has been delayed.
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| • DAVID DENHAM is out as president of independent Minneapolis-based agency Peterson Milla Hooks. He joined the agency 15 months ago, replacing Tom Nowak, who later became chief creative officer at Best Buy. Prior to joining PMH, Denham was president and chief strategy officer at Space150.
• COLEEN KUEHN was appointed chief strategy officer at data and tech marketing company Merkle. She was previously president of client leadership at MediaVest/Spark. Prior to that she was executive VP and chief strategist at Havas and also held posts at MediaCom snd American Express.
• WALT HORSTMAN was named senior VP and general manager of analytics and advertising at TiVo. He was previously president of AudienceXpress. • KEVIN KOHN has joined real-time TV measurement company IQ Media as CEO. He was previously chief revenue officer at Lotame.
• TYRA BANKS is the new host of NBC variety competition show America's Got Talent. The creator and host of America's Next Top Model replaces Nick Cannon. | |
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