Prime-Time Spots Up 2%, Fox Leads Network Pricing
The price of network prime-time commercials inched up 2% in the fourth quarter of 2011 versus the same period a year ago. Media-buying company
TargetCast tcm and TV research firm SQAD say the price for a 30-second prime-time broadcast network commercial grew 2% over 2010 to $116,122.
Fox was tops at $179,514; CBS was next at $116,517; ABC was closely behind at $114,954; and NBC, $76,529.
"The robust demand for television, combined with a somewhat slower rating decline, drove unit prices and CPMs higher,” stated Gary Carr, senior vice president, executive director of national broadcast at TargetCast tcm.
Targetcast notes that the current broadcast season 2010-2011 scatter market has softened a bit from last year. But this is primarily due to the higher sell-out levels in the upfront.
For cable networks, the fourth-quarter average unit cost was up 7% to $13,748. ESPN was the leader in the period -- where its top-rated "Monday Night Football" airs -- at $59,008; TBS was next at $19,542. Cable networks witnessed a 9% gain in third-quarter 2011, averaging $11,711.
Targetcast notes that this makes seven consecutive quarters where costs were up or flat. Before 2010, network unit costs had significant declines due to declining ratings, the continued growth of cable and an economy in recession.
The company added that the current scatter market for the broadcast season 2010-2011 has softened a bit from last year, primarily due to the higher sell-out levels in the upfront.
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