TNS is partnering with Europe-based Integration in a deal that will bring the latter company's Market ContactAudit to the U.S. The alliance will boost TNS' communications measurement capabilities as it faces off with Kantar Group's Compose. The new service will measure consumers' exposure to brand messages via different communications channels, in a bid to bring quantitative data to communications planning. MCA first identifies all areas of message contact or consumer "touch points," then calculates the degree of influence each touch point has over the consumer to determine the impact of a brand message, via that channel. A consumer's total exposure to brand messages is expressed as the sum of "brand experience points," which correspond to the relative influence of different channels. These "points" serve as the basic currency of the MCA measurement system, allowing marketers to compare the effectiveness of various channels and conduct triage for a more optimal mix. In the U.S., Integration has already put MCA to work for Procter & Gamble, Starcom and Universal McCann. Jeni Chapman, executive vice-president of TNS Advertising and Brand Performance, said, "Integration pioneered the idea of monitoring communications effectiveness from the consumer perspective... Common measurements and insights throughout this process mean clients can monitor, and thus manage, their brands more effectively." In addition to bringing MCA to America's shores, TNS and Integration are planning to develop new business products for brand and advertising management, too. In February, TNS announced its acquisition of Sorensen Associates, bolstering the firm's growing retail research capabilities. Sorensen's main products include PathTracker and video observation, which supplement attitudinal studies --including surveys and questionnaires -- with empirical data describing patterns of movement, shopping speed and purchasing speed. Such information can be used by manufacturers and retailers to plan promotional strategies, as well as new store design.
Two private-equity companies proposing to buy Clear Channel Communications just raised the ante. Thomas H. Lee Partners LP and Bain Capital Partners LL, raised the bid to $1.40 a share for a total value of $19.4 billion on Tuesday, raising the price by almost $700 million. That sum should assuage skeptical shareholders, who argue they can derive more value from the company on their own. But it's uncertain whether shareholders will vote to accept these terms when they vote at the company's annual meeting May 8. Clear Channel has faced dissent not only from private shareholders but major players like the Institutional Investors' Service, a consulting group that advises large organizations with substantial stakes in other companies. Opposition from these groups forced the company to delay the shareholder meeting; Clear Channel needed time to drum up more support and encourage the private-equity firms to raise their bid. The original price of $37.60 a share represented an 18% premium over the average market price of the last six months. After the deal was announced in November 2006, shareholders seemed prepared to hold onto their stock and take their chances with the company. Clear Channel Radio outperformed the market in terms of revenue growth in 2006, and Clear Channel Outdoor is leading the general resurgence of the out-of-home market. In addition, Banc of America analyst Jonathan Jacoby noted a "greater willingness on the part of institutional investors to take many of the steps that private equity consortia do to "squeeze" value out of companies." Among the groups that tripped up the first attempt are Fidelity Management and Research, the company's biggest shareholder, Highfields Capital Management LP and the California Public Employees' Retirement System, which threw in its lot with the dissenters on Monday. If the proposed deal fails, Bear Stearns analyst Victor Miller predicts a selloff of the company's properties, turning it into a pure-play radio company. Its 400 small-market radio stations and TV station group, already on the block, would be followed by the sale of the international and domestic outdoor companies.
TV Guide Channel is switching channels -- signing actress and "Dancing with the Stars" competitor Lisa Rinna to cover the red carpet for all major award shows. She'll replace Joan and Melissa Rivers, who have been the channels' mainstays for two years doing red-carpet hosting duties. Rinna will start at TV Guide Channel with this year's Emmy awards on Sept. 16. The new TV Guide Channel will host the Emmys, Golden Globes, Oscars, Grammys, and the Screen Actors Guild Awards. Just like with the Rivers, Rinna will do fashion recaps of each event. In addition to "Dancing," Rinna is also the host of Oxygen's "Tease," a reality hair-styling competition show.
For the Federal Communications Commission, it's not just the amount of specific TV devoted to kids programming. Now the question is, what defines a kids show? The FCC wants broadcasters to comment on Children's Television Act of 2004 as part of an inquiry into adjusting broadcasters TV obligations in the digital age. In short, if FCC-criteria needs work. Such action has been pushed by Democrats. The House Telecommunications Subcommittee Chairman Ed Markey recently had questions for the FCC about its enforcement of Markey's Children's Television Act, in reference to some recent violations, specifically with Univision. Right now, the FCC requires stations to air at least three hours a week of educational or informational kids shows. But it leaves it up to broadcasters to take from there. That leeway caused problems. Certain broadcasters have used a variety of shows, some seemingly not targeted to kids, such as Major League Baseball or soap operas, to meet those requirements. Univision had used teen-targeted telenovellas, which caused an outcry from kids TV activists. As a result, Univision paid a record $24 million in penalties to the FCC, which said the shows were not educational or informational. In light of the Univision decision, FCC is asking broadcasters for other specifics as it relates to content, licensing, program pre-emptions and other areas.
Fox's tag team of "American Idol" and "House" continues to dominate Tuesdays. If there is a chink in the "Idol" armor, it comes from its 10% to 12% lower ratings, versus its effort against the same episode of a year ago. "Idol" earned a 9.9 rating/27 share among adults 18-49 viewers. The better news for Fox is its still ascending show, "House," which nearly matched "Idol" numbers, earning a 9.1/22 in 18-49. Plus, the "House" that Hugh Laurie built was closer to "Idol" on the younger demos, adults 18-34, where it earned a 8.4 rating, compared to the 8.5 from "Idol." All this overwhelmed the rest of the network lineup on Tuesday night, with Fox earning a 9.5/25. ABC was a distant second 3.1/8. Its best effort was with "Dancing with the Stars," which earned a 4.1/10 at 9 p.m. in 18-49, way behind "House." At 10 p.m., ABC's news show "Primetime," focusing on the Virginia Tech shootings, earned a 3.5/10. CBS was next with a 2.2/6. Against such heavyweight shows, the network, offered repeats, including "NCIS," its best effort with a 2.4/7. Univision came through in fourth place with a 1.9/5, beating out NBC, which was just behind, with a 1.8/5. NBC also laid low; its best was a repeat of "Law & Order: Special Victims Unit," which pulled down a 2.3/6. While CW was last with a 1.6/4 among 18-49 viewers, it scored well in its prime demographics with younger demos. An original episode of "Gilmore Girls" pulled in a 2.0/6 among 18-34, which bested ABC, CBS and NBC.