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Media Buyer + Planner: Nestle Brews Starbucks Deal; McD's Beef

 
 
Media Buyer & Planner Today
 

Media Buyer & Planner Today

 

May 7, 2018

 
 

 
 
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#1 Nestlé, Starbucks Sign $7.15B Distribution Deal
Nestlé will have the right to market, sell and distribute Starbucks packaged coffee and tea globally; its brands will now also be included as Nestlé K-cup pods. The agreement includes packaged coffees sold in supermarkets and for large food services; it excludes ready-to-drink options. Regulatory approval is necessary; the deal is expected to close in summer or early fall. Speculation is that a slowing in revenues from Starbucks consumer packaged goods after two years of growth may have contributed to the timing of the deal.
WHY THIS MATTERS: It's all about spreading the wealth. Nestle gets a bigger presence in U.S. supermarkets and Starbucks benefits from the strength of Nestle's global distribution network. It also helps counter Starbucks' bad recent press about a racial incident in a Philadelphia store.
Three Takes: Bloomberg | USA Today | WSJ
 
#2 McDonalds Touts Fresh Beef, Latin Influencers
The fast food giant is bringing fresh beef patties to quarter pounders at most of its U.S. restaurants, a move that's been in the works for years. Ads plugging the move, from Omnicom Group agency We Are Unlimited, feature celebs Charles Barkley, Luis Fonsi, John Goodman and Gabrielle Union describing the great taste when consumers are left speechless. And McDonalds Latin America had Brazilian agency DPZ&Tdesign a Coke can to look like a Big Mac in celebration of the sandwich's 50th anniversary, and the longtime link between the huge brands. The cans will go to Latin American social media influencers this week, who are sure to share reactions on social media.
WHY THIS MATTERS: McDonalds' competitors have long used the fact that they use frozen beef against them; the one-two punch of this switch and a humorous campaign opens a new battlefront in the burger wars. And the move with the cans represents a win-win use of social media and brand identity in a top international market.
Two Takes: Ad Age | Adweek
 
#3 Disney Creates Advanced Advertising Suite
The entertainment company is launching a suite of advanced advertising products. The suite's name, Luminate, symbolizes how ABC, ESPN, Freeform and its other TV nets will spotlight brands through data and technology. Disney will use some of its own first-party data, and is also working with some outside vendors for programmatic and attribution.
WHY THIS MATTERS: The move stresses Disney's commitment to creating collaborative brand and data-safe ad products. Most big programmers have been pushing their data-driven cred for years and moves such as this could increase advanced advertising numbers, helping networks compete with digital media.
A Take: B&C

 
 

 

 

 
 

 
 
#4 Advance Auto Parts Picks 360i for Media (Ad Age)

#5 Top Cable Sales Execs Jockey for Upfront Position (MCN)

#6 U.S.-China Tensions Over Airline Website Menus (NYTimes)

#7 Safety Concerns Lead Marketers to Gaming Apps (Digiday)

#8 Digital Urges Clients to Embrace Causes (Adweek)

#9 Biggest Mistakes When Targeting Moms (Ad Age)

#10 Analyst: Amazon Poised for Disruption (MCN)

 
 

Stat Of The Day
 
 

41
Percentage of respondents surveyed by IPG and Magna who were able to recall brands from six-second ads; the majority also tabbed shorter ads as more relevant, innovative and modern than 15-second ads—especially in vertical smartphone format.
– Reported by Adweek

 
 

 

 

 
 

 

Ratings
 
 

'Idol' Down but Still Strong Enough for Easy ABC Win

by Michael Malone

ABC took the Sunday ratings title easily, as American Idol led to a 1.3 average across prime, in terms of viewers 18-49 (per the Nielsen overnights), and a 5 share. In second were CBS and Fox at 0.7/3.

On ABC, America's Funniest Home Videos was off 8% to 1.1, then American Idol rated a 1.6 from 8 to 10, an 11% drop from last week. Drama Deception was off 13% for a 0.7.

On CBS, 60 Minutes did a flat 0.8 and Instinct climbed 17% to 0.7. NCIS: Los Angeles went up 14% to 0.8 while Madam Secretary slid 17% to 0.5.

Fox had Bob's Burgers down 13% to 0.7 and The Simpsons at a flat 0.9, then Brooklyn Nine-Nine off 22% to 0.7 and Family Guy down 10% at 0.9. Last Man on Earth rated a level 0.7.

NBC did a 0.5/2. Dateline decreased 14% to 0.6 and Genius Junior was off 17% to 0.5. A second Genius Junior scored a 0.6, level with last week, and Timeless was down 17% for a 0.5.

Univision rated a 0.4/2 and Telemundo a 0.3/1.


 
 

Fates & Fortunes
 
 

• RODOLPHE RODRIGUES was named global head of data at Havas Group. He will lead all new data initiatives and manage data-related investments and teams including data governance and business models. Rodrigues previously served as global media director at AXA and cofounded data analytical firm Weborama.
 
• JAMES HUCKLE will now lead both the Mirum UK and HeathWallace technology teams. Clients include Mazda, HSBC, Shell, Bayer, Nokia, West Ham United Football Club and Fiskars. Huckle was made head of technology at Mirum London in Jan., 2017. Prior to that he was executive technical director at AKQA.

• RYAN FEY gets the newly created role of executive vice president at VaynerMedia. Fey will oversee the Los Angeles office's client services team, reporting to chief client officer Andrea Sullivan. Fey last year left Omelet, the creative agency he cofounded..

 


 
 

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Digital Media Tech Leadership Summit
June 5-6, 2018 | Tampa, FL
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June 7, 2018 | New York, NY
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OTT & Video Distribution Summit
August 2, 2018 | Los Angeles, CA 
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News Technology Summit
September 26-27, 2018 | Baltimore, MD 
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16th Annual Hispanic Television Summit
October 4, 2018 | New York, NY 
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Streaming Tech Leadership Summit
October 22-23, 2018 | Atlanta, GA (SCTE) 
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NYC Television Week
October 29-November 1, 2018 | New York, NY 
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Broadcasting & Cable Hall of Fame Awards, part of NYC TV Week
October 29, 2018 | New York, NY 
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NYC Television Week's 40 Under 40 Awards
October 30, 2018 | New York, NY 
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TV Data Summit, part of NYC TV Week
October 31, 2018 | New York, NY 
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Advanced Advertising Summit, part of NYC TV Week
November 1, 2018 | New York, NY 
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Next TV Summit, part of NYC TV Week
November 1, 2018 | New York, NY 
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