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Media Buyer + Planner: Viagra Pulls Out of NFL; Agencies Prime for Amazon

 
 
 

Media Buyer & Planner Today

 

July 10, 2017

 
 

Media Buyer & Planner Today
 
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#1 NFL Telecasts Losing Two Major Advertisers
Viagra, which according to iSpot.tv data spent $31 million on NFL telecasts last season, will be noticeably absent from NFL games this season, Ad Age reports. And its competitor in the erectile dysfunction pharmaceutical category, Cialis, which spent about $22 million in NFL telecasts last season, has not made any upfront ad buys either. The reason: Pfizer's Viagra after nearly 20 years in the ED market, is losing its patent exclusivity. And Cialis will lose its patent protection midway through the NFL season. Cialis could make some early season buys via the scatter market. Teva Pharmaceuticals is set to roll out a generic version of the ED brand in December. Eli Lilly will also offer a generic variant. One sales exec told Ad Age, "Once a generic gets in the mix, that usually spells the end of any direct-to-consumer advertising for the legacy brand."
WHY THIS MATTERS: This is clearly not good news for the NFL's TV network partners. Losing a potential $50 million-plus in ad revenue in one chunk comes at the same time that upfront NFL ad sales have been softer than usual, with auto and movie studios committing to less spending so far.
A Take: Ad Age
 
#2 Smaller Agencies Roll Out Amazon Service Units
Most recently WPP agencies Possible and Mindshare joined to create an Amazon services partnership that will offer advice on channel strategy, shelf management and media planning and buying opportunities on Amazon. WPP had earlier also acquired Amazon consultancy Marketplace Ignition. But it is not only the larger agency holding companies that are seeking out ways to offer Amazon opportunities for clients. Smaller, independent agencies are getting into the game also, according to a Digiday report. The Tombras Group, based in Knoxville, Tennessee has a new Amazon offering, with its effort being overseen by Kevin Packler, who joined Tombras from Marketplace Ignition. Another independent agency that has an Amazon practice is shopper marketing agency Catapult. Meanwhile Amazon is also reportedly starting to pitch agencies on the value of having their clients do deals with Amazon.
WHY THIS MATTERS: Amazon is clearly a giant operation and continues to move into other areas as its entry into the food category, with its acquisition of Whole Foods, indicates. Agencies that don't want to be on the outside looking in when it comes to doing business for its clients with Amazon need to take action now. Cathy Butler, CEO of The Barbarian Agency, says she is starting to think about building an Amazon practice. She equates the Amazon opportunities to the early days of Facebook, which continues to branch out and offer more opportunities for marketers.
A Take: Digiday
 
#3 Sharp Growth in Native Advertising
Brands are increasing their use of native advertising significantly, while print advertising and programmatic spending is down, according to a survey by MediaRadar. Adweek reports that the MR Consumer Advertising Report finds that 5,000 fewer advertisers purchased ads programmatically in the first quarter of 2017, a decrease of 12% compared to first quarter 2016. And print ad spending was down 6% in first quarter 2017. Meanwhile the number of native ad buyers increased by 74% with demand for native advertising more than tripling since 2015. The most popular categories for native ad formats include media and entertainment, professional services, financial and real estate, technology and wholesale products. Ad buying for native on mobile platforms also grew significantly.
WHY THIS MATTERS: While many consumers do realize that native advertising includes pitches by brands disguised as editorial, the ads are also being more widely read and interacted with than traditional advertising. Says Todd Krizelman, CEO and co-founder of MediaRadar, "Consumer advertising is shifting as audience consumption patterns evolve. Advertisers will keep spending more on native because it outperforms traditional ad units. Audiences look at native ads more frequently than non-native, and [ad] buyers are investing accordingly."
Two Takes: Adweek | MediaPost

 
 

 

 

 
 

 
 
#4 Facebook May Help Publishers Get Paid Subs (Digiday)

#5 Pivotal Downgrades Agency Stocks (MediaPost)

#6 Wimbledon Presents Challenges for Sponsors (NYT)

#7 Brands Change Snapchat Strategies (Digiday)

#8 Alexa Favors Amazon Prime Products (Adweek)

#9 Expanding Role of Chief Digital Officer (Digiday)

#10 Facebook Stealing Video Stars from YouTube (NYT)

 
 

Stat Of The Day
 
 

12
Percentage of U.S. internet users who watch live streaming video several times a day, according to a survey by consulting firm Magid. Another 11% watch once a day, 17% watch several times a week, 8% watch once a week, 8% watch once a week "or more," 16% watch less than once a month, while 28% never watch live streaming video.
– Reported by eMarketer

 
 

 

 

 
 

 

Ratings
 
 

ABC, CBS Split the Win
by Michael Malone

ABC and CBS split the Sunday ratings honors, both putting up a 1.0 rating in viewers 18-49, per the Nielsen overnights, and a 4 share. ABC had an America's Funniest Home Videos repeat, then Celebrity Family Feud was off 7% at 1.3 and Steve Harvey's Funderdome fell 18% to 0.9, before $100,000 Pyramid too dropped 18% to 0.9.

On CBS, a 60 Minutes repeat led into Big Brother, which was up 29% at 1.8. The premiere of Candy Crush did a 1.1 and was followed by a repeat.

NBC scored a 0.6/3. Sunday Night with Megyn Kelly rated a flat 0.4 and was followed by repeats of The Wall and American Ninja Warrior.

Fox was at 0.4/2. Repeated comedies led into American Grit at a flat 0.4.


 
 

Fates & Fortunes
 
 

• KEITH TURNER will step down as president of advertising sales and marketing at Univision Communications at the end of this year. He has been with Univision since 2012. Prior to that, he was senior VP of media sales and sponsorship at the NFL and before that spent more than 20 years in sales at NBC, where he rose to president of sales and marketing. Earlier in his more than 40 year media ad sales career he was an account executive at CBS and also worked at Grey Advertising. Univision said it will announce a "leadership transition" plan in the next few weeks.

• OLIVER DIZON was appointed executive VP of pricing and planning for Fox Networks Group advertising sales. He will oversee ad inventory and revenue management strategy for FNG's portfolio of networks and report to FNG president of ad revenue Joe Marchese. Dizon most recently served as senior VP, sales revenue management and client services at ESPN. Prior to that, he was a senior VP, group director at MediaVest.


• RICHARD PINDER is leaving his position as international CEO and CEO of Crispin Porter+Bogusky U.K. He has held the position for three years. He told The Drum, which first reported his planned departure, "the draw of a return to entrepreneurial life is too strong to ignore. It just feels like the right time." Prior to CP+B, Pinder was co-founder and CEO of The House Worldwide, and before that was chief operating officer at Publicis Worldwide.

• ARI FLEISCHER, former press secretary to President George W. Bush, has joined Fox News as a contributor. He is currently president of two consulting firms that bear his name. In his new role, he will appear on-air across Fox News and Fox Business platforms in daytime and primetime.  


 
 

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News Technology Summit
September 26-27, 2017 | Atlanta Airport Marriott, GA
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October 16-19, 2017 | NYC
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Hispanic Television Summit
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