Fox Gets Impressive CPMs For Upfront, Trades On 'X Factor'
The upfront deal-making has begun. Fox closed a significant amount of business, with CPM rates up in the 11% range, sources said. Fox declined comment.
Fox has been cutting deals where networks agree to accept some makegoods in the form of online inventory, such as on Hulu. One estimate had 10% of a ratings under-delivery coming online.
Some buyers may have initially balked because the value of online impressions is still taking shape -- and after all, they are buying TV.
As expected, Fox is using the anticipated success of the coming "X Factor" this fall to bring in more money. Under one scenario, an agency might want to place a $1 million buy and pay a 5% CPM increase. But Fox would want a 15% jump.
Then the parties would negotiate and settle in at 10%. Yet the buyer would agree to spend an additional $1 million on the Simon Cowell-led "The X Factor" alone.
Fox is the top-rated network in the key 18-to-49 demo, so its 11% CPM increase range should help the market take shape, with NBC and ABC coming in with increases at a lesser rate, maybe in the high single digits.
CBS with its stable lineup could rival Fox -- and will likely be able to land the double-digit CPM growth that company CEO Leslie Moonves has requested. However, rates will probably not hit the level Moonves has suggested with a strong scatter market. The broadcast market could be wrapped by the middle of next week, with cable cranking up swiftly thereafter and deals closing the following week.
Recent MediaDailyNews Articles
-
Broadcasters Sue AereoKiller In DC May 24, 5:21 p.m.
Confirming their efforts to follow over-the-top TV services with legal filings in any market where they ... -
Cigarette Marketers Slice Mag Spending In 2011 May 24, 4:52 p.m.
The five major cigarette marketers nearly cut in half their collective magazine spending in 2011. The ... -
B2B Revenues Rises, Credits Events, Digital Ads May 24, 4:45 p.m.
Overall, business-to-business media revenues are growing, due to an upward trend in B2B trade shows which, ... -
Court Dismisses Defamation Suit Against WPP's Sorrell May 24, 3:31 p.m.
A New York Court has dismissed a defamation lawsuit brought against WPP CEO Sir Martin Sorrell.Sorrell ... -
MediaCom Races To Win FIA E Championship's AOR May 24, 12:37 p.m.
A start-up race car circuit, The FIA E Championship, has named WPP’s MediaCom as its agency ... -
Networks Tie For Last Month of the 2012-2013 Season, NBC Gains Ground May 24, 10:56 a.m.
The four major networks were in a virtual tie for the last month of the 2012-2013 ... -
Aereo Is Not Just For Cord-Cutters May 23, 6:34 p.m.
Are cord-cutters most likely to subscribe to Aereo? Not necessarily, according to early returns. CEO Chet ... -
Cars.com Drops Flag On NASCAR.com Sponsorship May 23, 6:25 p.m.
Cars.com has a need for speed. The site has a deal with Turner to sponsor a ... -
Worldwide Pay TV On The Rise, Big Growth In Asia May 23, 4:17 p.m.
North American pay TV subscribers may continue to show little or no growth for the first ... -
Activision Blizzard's Campaign Wins Grand Effie May 23, 4:12 p.m.
Video game marketer Activision Blizzards’ ad campaign “The Vet and the nOOb” for "Call of Duty: ...
Be the first to comment on "Fox Gets Impressive CPMs For Upfront, Trades On 'X Factor'"
Leave a Comment