Despite some initial concerns that the Japanese earthquake and tsunami would affect production in the auto category, Publicis chief Maurice Levy said last week his understanding is that the U.S. market should hold up well. Levy told investors "we were very worried about what could happen," as a production slowdown might hurt marketing spending. But his understanding is that Japanese companies, such as Toyota, are focusing on maintaining the flow of exports at the possible expense of the Japanese market. Publicis had a recent meeting with large client Toyota, and Levy said his team came away with the knowledge that "there were no big issues and they are managing quite well the consequences" of the disasters. Levy said that as of now, Publicis has few major concerns. There have been reports that that the disasters have impacted production of components used in assembling the vehicles. Speaking to investors, he added that the U.S. market in general is "recovering well," including the return of consumer confidence. He said Publicis' media, digital and health care operations are doing fine in the market.
In a move that suggests continuing commitment to the venture, Jane Harman -- the widow of Sidney Harman, a former congresswoman and now president and CEO of the Woodrow Wilson International Center for Scholars -- will assume the role of director on the board of directors for The Newsweek Daily Beast Company. The news comes a little more than a week after her husband Sidney Harman passed away at 92. The stereo magnate's death on April 13 had cast some doubt on the future of The Newsweek Daily Beast Company, which he helped create after acquiring the beleaguered newsweekly for $1 and the assumption of debts and pension liabilities back in August 2010. Three months later, in November 2010, he struck a deal to merge Newsweek with The Daily Beast, a Web site devoted to news aggregation headed by former New Yorker Editor Tina Brown and backed financially by Barry Diller. Some speculated that Harman's passing might imperil the new company, especially if his heirs did not share his enthusiasm for magazine publishing. While Harman aimed to put Newsweek on a sound financial footing, it seems likely he planned to subsidize the beleaguered newsweekly, at least in the near term. Total ad pages declined 19.8%, from 1,117 in 2009 to 896 in 2010. This was just the latest in a series of sharp declines amid a steep economic downturn and competition from the Internet. The 2010 figure is down 55% from 1,991 in 2006. The family stated that it would retain ownership and continue in an active management role at The Newsweek Daily Beast Company. Jane Harman's move to join the board of directors seems intended to confirm this ongoing commitment. Diller is assuming the role of executive chairman. Harman stated: "I have agreed to represent the Harman family's 50% interest in Newsweek and The Daily Beast and to join Barry Diller on the Board. The Harman family fully endorsed Sidney's vision to save and restore Newsweek, and to merge it with The Daily Beast."
For broadcast networks, it's a down rating world on Thursday -- a continuing trend for the week. But talk to TNT about NBA playoffs and you'll get a happier story. Fox won with "American Idol," with a Nielsen 5.7 rating/18 share among 18-49 viewers. But this was down versus a 6.2 rating number the week before. Following "Idol" on Fox, "Bones" -- the third-best-rated show of the night -- earned a lower 3.2 rating/9 share, off its 3.7 number of the week before. More lowering news: NBC's "The Office," featuring the second episode of the highly marketed Will Ferrell joining the cast for an indeterminate amount of time, took in a 3.3/9 -- down six-tenths of a rating point from its big 3.9 rating the week before. Four of the five English-language broadcasting networks were down week-to-week on Thursday heading into the final week's push of the season. Among 18-49 viewers, on Thursday night Fox averaged a 4.5/13 (down from a 4.9 rating); NBC was at a 2.1/6, one-tenth lower from a 2.2; CBS was up to a 1.8/5 from a 1.6; ABC was lower at a 1.1/3 from a 1.3 rating; and the CW was at a 0.9/3 from a 1.0 rating. Univision pulled in with the same 1.3/4 versus the previous week. Much of the same ratings trend has been going on with broadcasters for most of the week. For example, on Wednesday night, all the major networks were down week-to-week. Still, TNT has been the cable network seeing big gains from the NBA early-round playoffs. TNT's nine telecasts, since starting last weekend, have garnered a 36% gain so far to an average 4.37 million viewers -- up from a 3.21 million average in the 2010 pro hoops playoffs. Looking at specific demos, there has been a 39% improvement to 1.51 million viewers 18-34; a 41% hike to 2.55 million for 18-49 viewers; and 37% more to 2.24 million for those 25-54. Male viewers -- a key audience for NBA marketers -- are also higher: 37% to 1.08 million viewers 18-34; 41% to 1.84 million 18-49 male viewers; and 38% to 1.59 million 25-54 men.
A new 3D network may have found a way to get the audience to spread the word about the benefits of 3D: a show about 3D. Airing monthly on 3net, "In the Qube" focuses on facets such as films, games and technology. Nicole Dabeau, who has worked with "Entertainment Tonight" and E!, is the host on the 24/7 3net, owned by Discovery, Sony and IMAX. Sony Pictures Television is a producer on the show. 3net is rolling out slowly as operators consider how many 3D channels to carry. The network is available on DirecTV, which has been aggressive in the space, establishing its own 3D network even as rollout of 3D TVs has been modest. The "In the Qube" brand has been used in other markets. The debut episode focused on 3D films coming this summer and profiled the latest 3D Blu-ray players and TV sets. There were also segments on 3D games and content, such as extreme skiing and the Sports Illustrated Swimsuit Calendar. 3net, which launched in mid-February, has begun production on a four-part special about the Civil War, scheduled for the fall. The network has also taken advantage of Imax's library, broadcasting "NASCAR 3D: The Imax Experience."
DirecTV started up its controversial "premium VOD" film service on April 21 with a marketing campaign for Sony Pictures Entertainment's "Just Go With It." The plan, with the backing of four studios -- Sony, Warner, Fox and Universal -- is to release movies 60 days after their theatrical debut. It would cost consumers $29.99, significantly more than the current price tag for DVD rentals or video on demand, which start up 120 days after theatrical release, with a price tag of around $4. Under its "Home Premiere" service, the new campaign theme line: "From the Big Screen to Your Screen. First." Messaging is airing on DirecTV's site. The new plan has received a massive outcry from the National Association of Theater Owners, given that it would overlap the distribution of movies to theaters where typical distribution deals are for 120 days. Some theater owners have threatened to potentially cut back on in-theater trailers from some films and studios. Analysts feel the revolutionary move could dramatically upset studio-theater owner business relations. Movie studios have been desperate to reverse the double-digit-percentage revenue slide of the last few years over the DVD/Home Video business. In addition, the DVD sales business has been hurt by the recession and by services like Netflix and Redbox.
Financial services companies may want to take another look at green marketing initiatives, which may have been overlooked during the economic crisis, according to new research from Mintel. Per the report "Green Marketing in Finance, 2011," 72% of respondents said they "feel good about working with a financial services firm that invests in companies that are looking at eco-solutions." However, the data also shows a certain measure of cynicism; almost half of respondents state they believe a company will claim to be green just to promote a better image for itself. "Overcoming this cynicism is the key to a successful green-marketing campaign that really stands out," says Susan Menke, vice president and behavioral economist at Mintel. According to the study, the primary way that financial institutions can convince consumers that they are sincere is to promote internal initiatives, such as having a "green" corporate headquarters. Slightly more than two-thirds of all respondents believe this is the most important step a financial services company can take to become more environmentally friendly. A significant number of consumers like green initiatives that also include an economic benefit for them. For instance, 50% of respondents would like to see financial companies offer environmentally friendly products, such as energy-saving light bulbs as incentives for new customers. Almost half (45%) would like to see financial institutions provide monetary incentives to businesses that are developing new technologies and processes that are eco-friendly.