At a time when print publishing trade associations representing newspapers, consumer magazines and trade magazines have embarked on big advertising campaigns to promote the vitality of their medium, a group representing online publishers is about to do the same. And like its print counterparts, the online group is leveraging the media theme du jour on Madison Avenue: engagement. Interestingly, that group, the Interactive Advertising Bureau, will be using a combination of print and online advertising buys to get its message out. The message: "Media More Engaging." The theme, which was crafted by Brand New World, is based on an extensive research study conducted among senior marketing and ad agency executives on how to best position interactive media, but its findings appear to be the same ones that could be applied to any medium. The Magazine Publishers of America, in fact, have taken the lead on that theme going back with several years of so-called "involvement" research, and more recent studies on the unique relationship readers have with consumer magazines. The MPA has produced oodles of research to support that position and has distributed several reports and workbooks to help advertisers and agencies understand the role of engagement, not just with magazines but also with all media. The engagement theme also is the centerpiece of $40 million, multiyear advertising campaign created for the Magazine Marketing Coalition by Mullen. That campaign features the theme: "Magazines: Ideas that live beyond the page." In a homage, the IAB's new effort might read, "The Internet: Ideas that live beyond the Web page." The IAB marketing effort comes as the bureau is searching fro a new president to succeed departing chief Greg Stuart, who announced plans to step down earlier this year to pursue opportunities in the private sector. In this morning's announcement of the new campaign, Sheryl Draizen, senior vice president and general manager of the IAB said the goal is to directly influence the share of advertising budgets that go to online media. "As marketers continue to embrace and allocate additional dollars to all forms of Interactive, it is important that we clearly articulate and showcase the true power of the medium," she stated. But it's unclear whether the engagement theme will help the IAB differentiate itself from other media trade advertising efforts. In addition to the MPA's campaign, the Newspaper Association of America, and the National Newspaper Network, have also been utilizing engagement, as have scores of individual television networks in their own promotions and trade advertising efforts.
In a move that shocked even the most jaded observers of the ad game, Madison Avenue's outspoken media sage Jon Mandel has left WPP and Group M to join VNU, the global information and media company. Mandel will lead a new company called NielsenConnect as CEO. NielsenConnect will be an aggregator of information from other VNU consumer-research companies. Since September, Mandel had been chief of strategic solutions at Group M, following a long, successful and sometimes notorious run as chairman of MediaCom US. At press time, staff and budgets for NielsenConnect were not disclosed. Mandel--who says he plans to start the job "tomorrow ... I mean, what else have I got to do?"--was in Nielsen's office yesterday, fielding calls about his new post and organization. "What we're going to be doing [at NielsenConnect] is trying to find out whether we can not only tell people whether their TV show, movie or new line extension played in Peoria, but whether it will play in Peoria," he says. "We're going to have the ability to use the best research resources in the business to allow clients to make decisions and take actions that anticipate what comes next." Despite much speculation in the industry that Mandel was not happy under his new masters at WPP--after having successfully grown MediaCom's business as the media unit of Grey Worldwide, which was acquired by WPP in early 2005--Mandel says he was having "a great time with smart people" at Group M. That is, until VNU made him an offer he couldn't refuse. "There are a number of people who have been trying to get me, on the sales side, on the strategy side, but it wasn't like I was looking to get out," Mandel asserts. "But when [VNU] approached me and told me what they were doing, it was fascinating. It's really a chance to be at the forefront of how this industry is changing, where it's going next. "At first, I had to make sure part of my fascination wasn't just the fact that it would astound people; I've been in one place for 32 years. But when I thought about it, I realized that it's something that intrigues me professionally; I can't think of another company that works so closely with so many facets of this industry. This is going to be the best of all worlds." Mandel will be based at VNU's headquarters in New York, and will report to David L. Calhoun, chairman and chief executive officer of VNU.
The hot and heavy merger and acquisition activity that has been reshaping the media industry for much of 2006 will continue into 2007 and beyond, according to investment banking and venture-capital executives speaking at the Digital Magazine Forum Tuesday afternoon. As before, the main players will include "traditional" media companies, established and new online companies, and aggressive venture-capital and private equity investors. Jay MacDonald, a partner in digital media and technology for DeSilva + Phillips LLC, an investment-banking firm, began with the broad view. "We've had a strong economy, low unemployment, and GDP growing about 3.2%," he said, predicting that these factors will continue into 2007. MacDonald added that companies that want to borrow will continue to enjoy relatively inexpensive debt financing. In this friendly environment, individual players also have strong reasons to initiate or continue M&A and investment activity, MacDonald added. While 2006 was marked by big traditional media companies pursuing "transformational strategies," those transformations are hardly complete. The pressure to continue adapting and growing will be especially strong on publicly traded companies. "They're not going to get that bump in their stock price showing 3%-4% growth," according to MacDonald. "They're going to have to make some acquisitions." MacDonald added that one of the main online drivers of M&A in 2007 will be the proliferation of mobile devices capable of supporting local search and click-to-call functions. While the U.S. hasn't caught up yet with Europe and Asia in this area, MacDonald said he expects it will over the next few years. Representing venture-capital firms, Toni Schneider, a venture partner in True Ventures, said that venture-capital investment will also continue at a fast pace, but emphasized that the period in which investors poured money into new, untested start-ups is over. Instead, he said venture-capital managers are looking for companies that need "many small investments to tweak an organization that's already got it figured out." Companies that attract investment will be decentralized, using open-source technology and distributed workforces, according to Schneider: "We want entrepreneurs who are extremely efficient in the way they spend their money."
On the heels of Philips Electronics' deal to become the sole sponsor of "NBC Nightly News" next week, Microsoft has done the same with a broadcast of ESPN's "SportsCenter." In both cases, the deals include the marketer running fewer spots than the normal loads, believing that a less-is-more approach will go further in delivering their messages. Microsoft "bought out" the flagship 11 p.m. ET version of "SportsCenter" last night, airing seven minutes of commercials during the hour--down from the program's usual 15. The technology giant's initiative focused on its Xbox 360, which is facing a major challenge from the just-released Sony PlayStation 3 as the holiday season approaches. In this age of consumer bombardment with ad pitches, marketers are increasingly eager to pony up big dollars to become exclusive sponsors of programs, hoping the tactic will do the proverbial "cut through the clutter." This summer, four marketers sponsored commercial-free premieres of dramas on TNT. Others, like Philips and Microsoft, are taking a slightly more assertive approach by going with just the lighter commercial load. Sony Pictures, for example, bought all the ad time on this fall's premiere of FX drama "Nip/Tuck," and FX has a similar (although undisclosed) exclusive-sponsor deal for the January debut of the Courteney Cox-starring drama "Dirt." ESPN debuted the sole-sponsor "SportsCenter" option for advertisers on Nov. 1 when Nike was the only advertiser, running seven minutes of spots in its new campaign for NBA star LeBron James' signature shoe. Microsoft is hoping to give its "SportsCenter" "buyout" legs by extending the sponsorship online over the next three weeks. The spots last night directed viewers to a Web site, where they are asked questions about the ads--and if they get three of five correct, they are entered into a sweepstakes. "You turned on the television and you watched the Center of Sports on ESPN, just like you always do," the Microsoft site reads. "But this time it was different, wasn't it?" Microsoft executive Mike Fischer said the initiative gives the company a ripe opportunity to reach the young-male audience that tunes into the ESPN highlight show. He said: "We both speak to the same audience." Next Monday, Philips Electronics will be the sole advertiser on the NBC evening newscast with Brian Williams. As Microsoft last night ran seven minutes of spots during the hour versus the usual 15 (a 53% decrease), Philips is airing just one minute and 15 seconds' worth in the half-hour NBC broadcast--down from the usual seven minutes (an 82% decrease).
LOS ANGELES -- As major advertising executives continue to complain over the lack of adequate family programming, senior network executives believe they are making progress. From ABC's "Ugly Betty" to "Brothers & Sisters," to CBS' "Jericho," new dramas are offering up more family programming for viewers--even if they aren't the typical family shows. "These are sophisticated family shows," said Steve McPherson, president of entertainment for the ABC Television Network, during a panel session at the ANA's Family Friendly Programming Forum. "It's not saccharin-sweet-good-for you. They are just good shows." Even for shows that are not as highly rated, there has been praise. Kevin Reilly, president of entertainment of NBC Television Network, says "Friday Night Lights" has had good critical response--but not much else. "It's frustrating," he says. "I wish the ratings were higher." Still, he believes the entire process is improving in the family programming arena: "It does seem to be evolving." The CW has a bunch of ongoing family programs, according to Dawn Ostroff, president of entertainment for the network--shows including "Everyone Hates Chris," "7th Heaven," "Gilmore Girls," and "America's Next Top Model." "'Top Model' is a huge mother-daughter experience," she says. Nina Tassler, president of entertainment for the CBS Television Network, believes that producers and writers will increasingly use more of their real-life family experiences in their writing--all of which helps make shows better, including CBS' rookie drama "Jericho." There's more to come. Tassler points to a new upcoming drama, "The Man," which is produced by Anthony Zuiker, who created "CSI: Crime Scene Investigation" and stars LLCoolJ as a cop who adopts three kids. Still other executives--such as Peter Liguori, president of entertainment for the Fox Television Network--believe the young and hip Fox show, "The O.C," should be included as a 'family' program because it deals with issues that are relevant today. Liguori says his teenagers watch the show. Still, when panel moderator Chuck Ross, publisher and editorial director of Television Week magazine, asked the audience whether they thought "The O.C." was a family show, only one audience member agreed with Liguori's view. NBC's Reilly believes there will be improvements in the family programming arena. "It's a time for great experimentation," he said. One area that still plagues network executives is traditional sitcoms--shows that have been viewed as family programs, and have had traditional early evening 8 p.m. time starts. "I like to see more family comedies," said McPherson. "That's a place we can do a better job." While ad executives give credit to the entertainment industry, which is making progress, they say the networks still need to schedule more family programs than what is available on the air right now.
TiVo, once the would-be assassin of television advertising and now looking to find ways to enhance it, is giving marketers an option that might partly combat its ad-skipping function. The maker of the most-talked-about DVR will allow advertisers to run an ad on the screen after a recorded--and perhaps ad-skipped--show is viewed. Billed as "program placement," advertisers will be able to make buys tied to certain shows. For example, Burger King may choose only to post a spot after a time-shifted viewing of "24," MasterCard after "The Office" and the Weather Channel following "Lost." The question, however, persists that if TiVo (and other DVR users) are rabid commercial-skippers, how likely are they to want to stick around and view promo material after a show has finished and they have fast-forwarded through the ads en route? Another hurdle is that in order for consumers to view "program placement" plugs, they will need to opt-in. Marketers apparently think compelling creative will do the trick. BK, for example, is running longer-form content, including a video for its own branded Xbox 360 game. And the Weather Channel will be promoting two of its meteorologists featured on a new show by showing them in action. And marketers will apparently be able to gauge whether viewers will stick around for the "program placement" displays. TiVo says it will provide "commercial ratings"-style details on how many people are watching. BK, MasterCard and the Weather Channel are part of a batch of marketers that also include GM and Court TV, which TiVo says have signed up for the service. "Program placement" is the latest move by TiVo--which has become a symbol of the massive threat DVRs pose to broadcasters' principal revenue stream due to ad-skipping--to court advertisers with options to reach its users, even the ad-averse. "In today's shifting media landscape, it's vital for advertisers, media companies, content providers and technology leaders such as TiVo to work together to provide solutions that benefit all of us," said Betsy Lazar, GM's executive director of advertising and media operations. "For the DVR audience, the traditional embedded 30-second spot has been lost to the fast-forward button," said Craig Woerz of Weather Channel agency Media Storm. "That said, it's not all over for advertisers."
LOS ANGELES -- Viewers who desire family TV programming for their prime-time viewing can benefit from DVR and VOD technologies--but it doesn't make up for the general dissatisfaction over the lack of family programming. These were some of the conclusions drawn at the Association of National Advertisers' Family Friendly Programming Forum here. "Having time-shifting technologies can change the nature of family viewing," said David Shiffman, vice president-research director at Mediavest USA, who presented research at the event. "These technologies are delivering what families want. They are enhancing the TV experience." Does that mean advertising executives and viewers are generally happier about the network offering of family programming? Not completely. In research that surveyed 800 people, Lance McAlindon, senior research manager of North American market development for Procter & Gamble, said that satisfaction levels have improved in regard to family TV programming--up 6 percentage points from a year ago. Overall, satisfaction is now at 20%. "We should all be proud of that," said McAlindon. "But the flip side is that 80% are not [satisfied]. So there is room for growth." Research also shows that increasingly, there are adults spending more time with children while watching TV. "Dads, in particular, are watching more with their kids," says McAlindon. The P&G study found that the biggest problem is an increase in violent content. McAlindon also noted that Hispanic TV viewers are concerned about the lack of role models. Men, in general, he said, are worried about the increase in sexual content. In other research, Lisa Quan, vice president and director of audience analysis for Magna Global, said despite the seemingly common belief that many family members are watching programs separately on various household TVs, research shows that 80% to 90% of the time only one TV is actually on at any given time. "This hasn't changed in three years," said Quan. "Watching TV is more a collective activity." In homes that have more TV sets on, those viewers are mostly watching cable shows. Quan says it's because they are "edgier." She notes that the top 10 of 15 TV shows among kids ages 2-11 were also the top shows for teens, adults 18-49, and adults 25-54. Mostly, kids 2-11 who watch adult shows were watching reality shows. When it comes to family programming, Quan says marketers need to distinguish different combinations of family members watching TV. For example, she notes that this year, mothers and daughters may watch "Ugly Betty" together, while fathers and sons might view "Heroes" together.