| | Media Buyer & Planner Today | | | | | | | | | #1 NYC Bans Alcohol Ads in Buses, Subways | | The New York City Metropolitan Transportation Authority has banned advertising of alcoholic beverages in city buses, subway cars and stations, the New York Times reports. The MTA contends that the social benefits of deterring underage drinking outweighs the loss of revenue. The ban goes into effect in January and comes after years of pressure from grass-roots organizations, who contend that the proliferation of such advertising increases the likelihood of underage drinking. Jay Hibbard, VP of government relations for the Distilled Spirits Council, opposed the measure saying, "Science and research show that there is no benefit to banning this type of advertising." He says a majority of the American population, about 71.6%, is above the legal drinking age and that parents, not ads, are the greatest influence on preventing underage drinking. | | WHY THIS MATTERS: The MTA will lose about $2 million in annual ad revenue by banning alcohol ads, but that is a tiny number compared to the organization's nearly $16 billion annual revenue. Joseph Lhota, MTA chairman, says some 1.6 million people use the transit system every day. "It's a fabulous place to advertise," he says, adding he doesn't think the MTA will have trouble replacing the lost alcohol ad revenue. | | A Take: NYT | | | | #2 Take NAACP Airline Warning Seriously | | The organization's warning to African American passengers to exercise caution when flying on American Airlines or to avoid using that airline because of what it believes to be discriminatory incidents should be a wake-up call to other brands, reports in USA Today and Ad Age say. The NAACP also issued an earlier warning to African Americans to "exercise extreme caution" when traveling through the state of Missouri because of "numerous racial incidents." That advisory hurt local hotels that lost tourists and meeting groups, according to the Missouri convention and visitors commission. | | WHY THIS MATTERS: The African American demographic is growing in spending power so brands that alienate this consumer group do so at their own potential loss of business. According to the Selig Center, since 2012, spending by black consumers has increased 32.5% to $1.3 trillion annually, compared to a rise of 27.2% by white consumers. And spending by blacks is expected to reach $1.5 trillion by 2022. A culture of racial insensitivity by brands could hurt their ability to sell to this large segment of consumers. | Two Takes: Ad Age | USA Today
| | | | #3 Peloton Markets $2,000 Bike Beyond the Rich | | The home-cycling brand realized it had been targeting a core, affluent audience for its $1,995 stationary bike, but was overlooking a less affluent consumer who was willing to splurge on the home fitness product. So, as The Wall Street Journal reports, Peloton shifted is marketing program. First, it began a new financing plan under which consumers could acquire the bike on financing installment plan of $97 per month for 39 months that included both the bike and a $39 a month subscription service to live and on-demand classes. Now it has begun an ad campaign that's more relatable to a diverse consumer base and has also acquired an NBC Olympics sponsorship. NBCUniversal happens to be an investor in the company. To fund itself and its marketing program, Peloton has raised almost $450 million in funding. The company has also partnered with Westin to get its bikes and classes into hotels around the country. And its new campaign will feature riders of all ages, including an older man and a mom and daughter. | | WHY THIS MATTERS: Peloton is entering a highly competition home fitness space but is trying to find its niche by appealing to more than just millennial fitness enthusiasts. The company is planning to spend $40 million on its upcoming holiday marketing effort which begins in November. Mekanism is handling creative, while R2C Group is doing media buying. | | A Take: WSJ | |
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| | 1.65 | | Ad revenue dollars in billions that Amazon will take in this year, up 48.2% from 2016, according to eMarketer estimates. That total is projected to rise to $2.35 billion in 2018 and $3.19 billion by 2019. | – Reported by eMarketer
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| | World Series Grows From Opener as Fox Wins | by Michael Malone
Game two of the World Series, a thriller that went into extra innings before the Astros topped the Dodgers, led Fox to a decisive win in Wednesday ratings. Fox had a 3.9 rating in viewers 18-49, per the Nielsen overnights, and a 15 share. That easily topped CBS' 1.2/5. Game one did a 2.9 on Fox. Last year's Game two, with the Cubs against the Indians, did a 4.9. On CBS, Survivor did a 1.7 and SEAL Team a 1.0, before Criminal Minds posted a 1.0. All three were flat with last week. ABC rated a 1.1/4. The Goldbergs scored a 1.4 and Speechless a 1.1, then Modern Family a 1.7, with all three flat. American Housewife was off 7% to 1.3 while Designated Survivor rated a flat 0.8. NBC was at 1.0/4, with The Blacklist at 0.9, Law & Order: SVU at 1.2, and Chicago P.D. at 1.1. All three were flat. Telemundo rated a 0.7/3 and Univision a 0.5/2. The CW scored a 0.4/1, as Riverdale rated a level 0.6 and Dynasty dropped 33% to 0.2. | |
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| • MATTHEW PATRICK, social influencer who created the YouTube series Game Theory, and who has over 15 million social media followers, will serve as a consultant to Viacom on its social media and branded content strategy. His company Theorist signed a one-year contract to work with Viacom and its brands, including MTV, VH1 and Comedy Central. Known as MatPat, the social influencer has also worked with Conde Nast, Lego and EA on social engagement and media strategy.
• The National Association of Television Program Executives has elected four new members to its board of directors. They include CINDY HOLLAND, Netflix VP, original content; PEARLENA IGBOKWE, Universal Television president; MINA LEFEVRE, Facebook head of development; and SHARON VUONG, CBS senior VP, alternative programming. | |
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