Welcome | View My Profile | Sign Out
MediaPost Home About MediaPost Privacy/Terms Media Kit Sitemap
Publications Home News
Online Media Daily Media Daily News Marketing Daily Mobile Marketing Daily Search Marketing Daily
Daily Feed> Email Daily Feed> Video Daily Feed> Social
Online Blogs
Online Spin Email Insider Search Insider Behavioral Insider Online Publishing Insider Mobile Insider Video Insider Gaming Insider Performance Insider Metrics Insider Social Media Insider Just An Online Minute Daily Online Examiner Raw Blog
Media Blogs
Research Brief Diane Mermigas:On Media TV Watch TV Board Magazine Rack Media Creativity Notes From the Digital Frontier Digital Outsider Mad Blog Red White and Blog
Marketing Blogs
Engage:Hispanics Engage:Kids 6-11 Engage:Moms Engage:Boomers Engage:Gen Y Engage:Teens Marketing:Green Marketing:Sports
Magazines
OMMA Magazine Media Magazine
Subscribe
Feedback Loop RSS Feeds Archives Subscribe
Feb 24 OMMA Metrics Measurement (NYC) Feb 25 OMMA Behavioral (NYC) Mar 17 OMMA Global (San Francisco) Apr 14 Search Insider Summit (FL) Apr 18 Email Insider Summit (FL) Apr 27 Outfront Conference (NYC) May 12 OMMA Mobile (NYC) May 13 Digital Out-of-Home Awards (NYC) Jun 15 OMMA Video Jun 16 OMMA Publish (NYC) Jun 17 OMMA Social (NYC)
Recently Concluded Events
Jan 26 OMMA Social (San Francisco) Jan 25 OMMA Performance (SF) Jan 12 MEDIA Agency of the Year 2009 (NYC) Jan 11 OMMA Agency of the Year 2009 (NYC) Dec 6 Email Insider Summit (Utah) Dec 2 Search Insider Summit (Utah) Nov 3 OMMA Adnets (NYC) Oct 30 OMMA Video (LA) Oct 29 OMMA Mobile (LA) Oct 29 OMMA Mobile & Video (LA)
All MediaPost/OMMA Events Event Blogging Past Event Videos
Industry Events Calendar
2010 Digital Out-of-Home Awards
2010 MEDIA Agency of the Year 2009 2010 OMMA Agency of the Year 2009 2009 Creative Media Awards 2009 OMMA Awards 2009 Digital Out-of-Home Awards 2009 Media Agency of the Year
All Awards
Employment Situations Wanted Services Offered Post a Job
Briefs Reports Online
MediaPost Directories
Mobile Insiders Group
People Finder Edit My Profile View My Profile My Contacts My Calendar
HOME • MANAGE SUBSCRIPTIONS • MEDIA KIT
Commercial Ratings Get Industry Approval For Upfront
by David Goetzl, Wednesday, March 21, 2007, 7:00 AM

SHARE

TOOLS

RELATED ARTICLES

MOST READ

Despite widespread industry doubt that commercial ratings will be used as currency in the coming upfront, several major buyers and sellers all concurred Tuesday that the soon-to-be-released data would serve as the basis for upfront guarantees.

One of the buyers--Starcom CEO John Muszynski--revealed that his agency actually did three deals based on a form of commercial metrics in last year's upfront, likely minute-by-minute ratings. And he intends to push aggressively to make commercial ratings the standard this spring. "I have every intention of doing that this year," he said at the annual TV forum hosted by the ANA.

Muszynski also said he would like to do at least one experimental deal that goes deeper, and negotiate a guarantee based on second-by-second data with a "select player or two." That would allow a marketer to gauge an individual commercial's performance at the extreme granular level.

Group M's chief investment officer Rino Scanzoni said there was "no doubt" that commercial ratings would be in play this upfront. ABC's President of Sales and Marketing Mike Shaw said his door is open, and he was eager to do some deals last year involving commercial performance, but no agencies were set up to do it. (Muszynski objected--saying Starcom was, although Shaw said the Chicago-based agency's ABC deal didn't include any of those metrics.) "Nobody was in a position to take us up on it," Shaw said.

Buoying Shaw is evidence that a high percentage of viewers stay tuned through its ad breaks. He also said ABC would be introducing five tactics leading into the breaks aimed at continuing tune-in. Those tactics will be unveiled to buyers today at a development meeting ABC is conducting in Los Angeles, although no details were offered. (Turner last week proposed a similar initiative and other networks have moved in that direction.)

Nielsen is expected to begin releasing the commercial-ratings data in May, just before the upfront negotiations begin. If the industry decides to use them as a currency, a period of analysis could delay the deal making. It has been widely speculated that commercial ratings wouldn't make an upfront appearance until 2008.

Commercial ratings can take various forms, from the average rating of all commercials in a program, to ratings for individual spots (a preference for marketers). Another hot-button issue: how to value commercial viewing when done in time-delayed fashion via DVRs. Shaw said he expects ABC to make deals on a variety of metrics (perhaps three or four different ones) this spring, with commercial ratings just one. Others would be based on an assortment of gauges for ROI and ad performance.

Turner's Advertising Sales President David Levy indicated that buyers want commercial ratings--and his company, which includes TNT and TBS, would look to oblige. "We will accept the change and negotiate accordingly in this upfront," he said.

Cable sellers have had some objection to using the new ratings data, due to issues involving whether local avails can be separated from national commercials. But Levy said if the local spots can be pulled out, Turner would likely be on board.

One heavy-spending client and commercial-ratings advocate, Andrew Jung, a senior director at Kellogg, was asked Tuesday whether his company would refrain from doing deals without commercial-ratings guarantees. He stopped short of an all-or-nothing threat. "We could. but I think it's more of an industry issue," he said, citing an imminent need for the buying-selling community to adopt the standard. In a speech, Jung said 92% of top ANA members want the new ratings. "Will the industry wake up and listen because the voice is getting a lot louder?" he said. "Without this change I'm not sure how long TV can be sustainable."

What emerging media would be sold in the upfront along with traditional spots? Shaw said the broadband streaming of ABC shows on its Web site would probably be included, although VOD and wireless aren't likely, since the network is still trying to determine what inventory is available.

Turner's Levy said broadband would be on sale at Turner--although product placement wouldn't, since those deals require such long lead times mandated by script reviews and production schedules. Group M's Scanzoni is eager to purchase broadband in the upfront: "Consumers are more engaged; they tend to recall the commercials better," he said. So far, the dominant ad model for online streaming has been short pre-roll ads, although some networks such as the CW are employing mid-roll spots.

Muszynski called for using strong metrics for online consumption--knowledge about how many people visit a site and how much time they spend--to develop a similar gauge for TV, thus providing greater accountability data. "Let's take a look at what we've learned from the digital space and apply that to the more traditional media," he said.

While supportive of commercial ratings, ABC's Shaw suggested that another ROI-centric metric be employed: sales results. He said his network would like to be held accountable, based on whether sales figures experience a bump post-ad broadcast, but marketers refuse to share the data. To be sure, there would be other factors that could influence a sales jump, but marketers' bottom lines would be enriched, nonetheless.

As for the yearly upfront question--whether the bazaar will continue to exist--Scanzoni said it would be around in 2107. "I think the upfront will be around for the next 100 years."




AUTHORS

ARCHIVES

Recent MediaDailyNews Articles
MediaCom Names Jarvie COO   
Euan Jarvie, formerly Chief Client Officer for MediaCom has been upped to a new post: Chief...
TV Ad Market: Less In 2013 Than 2006   
Although the advertising share of revenues from digital and retransmission fees will grow in the coming...
ANA: Social Media, Web Spend Up, TV Down   
A new Forrester Research/Association of National Advertisers survey says TV marketers plan to spend 41% of...
Super Bowl S*M*A*S*H*E*S Record    
For the third year in a row, the Super Bowl has hit a record in average...
Rentrak Wants Every Market To Discover Columbus   
As Rentrak looks to expand its ratings service for local TV, CEO Bill Livek indicated that...
Super Bowl Tops Ad, Promo Run   
CBS ran slightly more ads than NBC did a year ago in the high-rated Super Bowl,...
Magazine Newsstand Sales Slip 10%   
A survey of circulation data for 115 leading consumer magazines from the most recent Audit Bureau...
Bring It On: Political Spending Expected To Hit $4.2 Billion   
Good news for TV stations -- but not so much for TV viewers -- is that...
Sweeps Begins, ABC On Top, NBC Improves Sitcom Numbers   
February sweeps first night was a tight scramble among three networks -- ABC, Fox and CBS...
Ryan O'Hara Leaves TV Guide Network   
Ryan O'Hara, president of TV Guide Network and TVGuide.com, has left for a new post in...
>> MediaDailyNews Archives 
ABOUT MEDIAPOST • MASTHEAD • MEDIA KIT • RSS FEEDS • PRIVACY/TERMS & CONDITIONS
©2010 MediaPost Communications. All rights reserved.
1140 Broadway, 4th Floor, New York, NY 10001
tel. 212-204-2000, fax 212-204-2038, feedback@mediapost.com