A new version of TRA's Media TRAnalytics -- the research tool that marries second-by-second data with consumer purchasing data -- will provide TV networks with "stories" to help identify opportunities for marketers. The new version includes a feature called "StoryFinder," which identifies products and categories that have the highest consumer purchaser ratings on TV shows. For example, CBS, which has the TRAnalytics software, says the new feature helps find a story in "The Good Wife," where its viewers are highly rated among owners of high-end auto models. David Poltrack, chief research officer of CBS and president of CBS Vision, stated: "This type of actionable data is helping the TV industry shift from Demographic Rating Points to Purchaser Rating Points, and marketers can now make TV advertising investments that directly target viewers' buying behaviors." Mark Lieberman, chairman/CEO of TRA, says: "In the two years since its launch, we've released 10 updates to Media TRAnalytics and now, with version 3.0, we continue to pioneer groundbreaking and innovative technologies to further our value to clients." Media TRAnalytics is a Web-based business intelligence software solution that matches second-by-second TV tuning data from set-top boxes in 1.7 million households with 57 million homes of consumer products purchasing data.
Citing the "first signs of weakness," Interpublic's Magna Global unit this morning issued a downgrade to its outlook for U.S. ad spending in 2011, revising its downward two-tenths of a point to 2.9%, from 3.1% in its previous forecast. "In light of recent economic reports, we are revising our forecast slightly downward," the Magna team reported, noting that the estimates, which bring its 2011 U.S. ad spending projection to $173.1 billion, exclude the impact of political and Olympic advertising. "While we see the disruption from the earthquake in Japan and high gas prices as temporary, the economy still suffers from a depressed housing market, sluggish employment conditions, and fiscal retrenchment at all levels of government. Our previous forecasts had already conservatively assumed a slowdown in the second half of 2011." Despite the overall downward correction, Magna remains bullish on online ad spending, noting that the medium's growth "exceeded our expectations in the first quarter as the share attributed to national media (primarily reflecting digital display and online Video) was significantly higher than recent trends would have predicted. Though some premium display publishers may have seen a slowdown stemming from the broader economy, National Online advertising overall benefited significantly from strong momentum in online video and social media as large national advertisers begin to invest more in building brand awareness online." Magna's upward revision in online ad display spending follows other recent upgrades, including a fresh round-up released by eMarketer. "Many of these advertisers are also investing more in paid search, allowing direct online media to outperform our expectations," the agency unit noted, adding, "We believe recent improvements made in search quality have benefited the sector and many more monetization opportunities exist in social media. Online advertising and Paid Search in particular, was likely helped by continued growth in e-commerce, which accelerated during the first quarter by 17.5% compared to the prior year period. For 2011, we now expect $30.1 billion in online advertising, up by 15.6% from 2010 levels. Among more traditional national media, Magna cited "strength" in network and cable TV ad spending, pumping up the overall national marketplace, and showing local media to be the primary laggards. "In total, we expect national TV to grow 7.9% in 2011, up from our previous estimate of 6.5%. Despite upward revisions to national mass Media, signs of a slowdown are concentrated in local mass media, driven by weakness in newspapers, radio and outdoor advertising. Direct media (which incorporates Internet Yellow Pages, paid search, lead generation, directories, and direct mail) has been particularly impacted by sharper declines in directories and a slowdown in direct mail," the agency said.
As Discovery Channel gears up for the launch of its sprawling "Curiosity" event series later this summer, a companion Web site has debuted, featuring artists, scholars and Nobel laureates, answering questions and a social media component. The site is set up with the home page offering a series of rather deep questions, such as "What are some persistent threats to innovation?" and "Are we too satisfied with too little information?" Answers by experts feature video and look to spark debate. A Facebook-based comment platform is set up, but user interaction creates a personal profile page that allows viewers to participate and play a active part in the quest for knowledge and development of theories. They can also interact with Curiosity Luminaries. So far, there are 12,000 answers and questions posted. Experts include Google Internet evangelist Vinton Cerf, jazz musician Wynton Marsalis and AOL pioneer Ted Leonsis. Jeff Arnold, who helped develop Discovery site HowStuffWorks, was involved in Curiosity.com's formation. Nissan and the University of Phoenix are start-up sponsors of the "Curiosity" initiative. The "Curiosity" series begins Aug. 7 and features Robin Williams musing on the power and nature of drugs and "Lost" star Michelle Rodriguez asking how we would survive an alien attack. Future episodes will feature author Elie Wiesel discussing human rights, forgiveness and the power of the media. Discovery founder John Hendricks is behind the Curiosity venture, calling it "a natural extension of our mission."
As companies develop or acquire media management software, online and broadcast TV advertising will discover closer ties. In that vein, Google bought the technology from SageTV, a company that makes home theater software for PCs, also known as HTPC. Jeffrey Kardatzke, chief technology officer and founder of the software company, announced the news over the weekend. The SageTV software offers full digital video recording capabilities -- the ability to skip commercials and easily browse movies and content. In allows Internet video support by category, and Hulu and Netflix support for the living room, desktop, mobile and cars. Google will no doubt roll in some SageTV technology into Google TV. Although there has been no word on why Google wants the technology, it is speculated that it will likely create a place-shift-type technology geared toward advertising for live and stored content. In 2002, SageTV's technology became one of the first to turn computers with TV tuners into DVRs. The technology can support nearly any audio or visual file. The company released version 7.1.9 of the software last week, announcing it via a Twitter post. The open technology will likely give developers access to more options to develop features and apps. "We've seen how Google's developer efforts are designed to stimulate innovation across the Web, as developers have played a core role in the success of SageTV," Kardatzke wrote. "We think our shared vision for open technology will help us advance the online entertainment experience." Google had partnered with Netflix, Sony, Logitec and NBC for streaming services and hardware, but since the launch, the first version of the TV had mixed reviews.
Even as OWN: Oprah Winfrey Network has had some bumps getting off the ground, Winfrey said Thursday she has confidence success is coming as her involvement moves to full throttle. "I wouldn't bet against me, I just wouldn't," she said at the national cable convention. As she's wrapped her syndicated show, she says she is giving all she's got to her new endeavor: "Myself, my heart, the soul, the spirit of me, my company -- the people in my company (are) dedicated now to the vision of OWN." Winfrey said that entity, Harpo, will remain in Chicago, and the 300 people there will produce shows for the network, including taking the nearly 4,900 episodes of Oprah's syndicated show and refashioning them in an appealing way to air on OWN. The Chicago team will also produce "Oprah's Next Chapter" and the shows with Gayle King and Rosie O'Donnell. Appearing at the national cable convention, Winfrey put to rest suggestions she will do broadcast specials a la Barbara Walters, saying she will only appear going forward on cable. As she does interviews on OWN, she said she hopes to land ones with two people she couldn't get on the "Oprah Winfrey Show": Susan Smith, the South Carolina woman who killed her children, and O.J. Simpson. "I have a dream of O.J. Simpson confessing to me, and I am going to make that happen, people!" Winfrey told the crowd. Winfrey said when "the Z man" (Discovery CEO David Zaslav) came to her and presented the concept of OWN, he told her: "We need you to be all in or nothing," If not, "we will both go our separate ways." Winfrey said she would be fully committed, and now she can be. "This is the moment I've been waiting for for the past two years," she said. Discovery, which Winfrey said has been patient, is a half-owner of OWN with Harpo. Winfrey said she would have employed a more conventional model in running a cable network when getting OWN going: Establish one night of programming, then move on to others. As she gets involved in OWN programming, Winfrey faces new challenges. She had total control of her show's content, but now, she has to determine what can work in new areas. On the plus side, she has discovered a lot of talent and launched various syndicated shows with them. "It's a little harder making that judgment about what other shows can do," she said.
Capping off a week of research findings and discussions focusing on how Madison Avenue measures audiences across the multitude of screens they use to access media, the Council for Research Excellence released what likely is the most comprehensive review of data and trends about video user experiences. The review, which has culminated in a substantial database of some of the most important research conducted to date on how consumer's experience with video across multiple platforms and screens, will be the subject of a webinar hosted by the CRE and MediaPost in New York at 2:30 p.m. today. The CRE, which is funded by a multiyear, multi-million dollar grant from Nielsen Co., and is led by a group of key advertising and media research stakeholders,, said the database is the first phase of an ongoing Study of User Experience on Multiple Video Screens and Formats. It compiles and archives more than 150 industry and academic studies, many of which are provided in full. The archive, along with findings from the first phase can be found here on the CRE's Web site. The initial phase, which was overseen by a team of analysts at BIA/Kelsey, with assistance from Patricia Phalen, associate professor at the George Washington University School of Media & Public Affairs, began in February, and is the basis for a deeper dive into the video user experience, at a time when new screens and platforms seem to be emerging every few months. Based on review and discussions of the initial findings, the CRE plans to develop additional research initiatives and to issue requests for proposals for those soon. The initial phase reviews primary research centering on several key questions, including: 1. What drives the choice of screen for the consumer? 2. How does viewing vary with chosen screen? 3. What is an appropriate vocabulary and methodology for understanding viewing styles? 4. What is the context of use across various screens - is the use complementary, additive or zero-sum? 5. What methodologies are best to understand these uses? Among the initial phase's top line findings is that, "screen choice is driven by both best screen available and best function available - the bigger screen is not necessarily the 'best' screen, multi-screen use is clearly complementary rather than cannibalistic, and researching cross-platform video media requires multiple methodologies. Jack Wakshlag, the chief research officer at Turner Broadcasting, and chairman of the CRE committee overseeing the studies, said it is a natural progression from an extensive study the CRE conducted with Ball State University's Center for Media Design in 2009. That research, the Video Consumer Mapping Study, directly observed how consumers are currently utilizing various screens to view video content, and concluded that 98% of it still is consumed via a traditional TV set. That said, Wakshlag noted that initial findings of the new research indicate that behaviors may be changing as rapidly as media technology. "Something we've learned from this initial phase is that we can forget conventional wisdom about multi-screen behavior; no one yet has definitive answers," he said.
Now smaller TV broadcaster Acme Communications says automotive advertising appears to be softer in the second quarter -- a trend that differs at other TV station groups. For the first quarter, the Santa Ana, Calif.-based Acme had a slightly improving financial picture -- revenues were higher, and net losses narrowed. Net revenues were up 5% to $3.5 million in the first quarter from $3.3 million in 2010. The company's net loss for the first quarter of 2011 was $1.7 million compared to a $1.9 million net loss for the first quarter of 2010. Some of the company's best results came from its syndicated TV show "The Daily Buzz," where revenues increased 16% for the quarter compared to the prior year quarter. Doug Gealy, president and CEO of Acme, said: "Market conditions continue to improve, and we are cautiously optimistic that this positive trend will continue at our three remaining continuing stations and "The Daily Buzz" through the remainder of the year." He warned, however, that Acme was seeing "softness in the second quarter in the automotive category." During the second quarter of 2011, ACME completed the sale of three of its stations WBXX-TV, Knoxville, Tenn., WBDT-TV, Dayton, Ohio, and WCWF-TV (formerly WIWB-TV), in Green Bay-Appleton, Wisconsin. TV operations now consists of its TV duopoly in Albuquerque-Santa Fe, NM, its television station in Madison, Wis., and its Daily Buzz production entity in Orlando, Florida.
Are TV viewers tuning away from your commercial to another channel, or other activity? A new research tool looks to find out why and how to change that. Millward Brown and Kantar Media say they have developed an "enhanced commercial measurement" that can analyze creative and media placement of commercials on a second-by-second basis. The companies can identify the impact of the message's creative and compare it to media placement. The companies say they can measure creative and media influences that impact audience "tune-away" by product category and brand. Its survey looked at 184 commercials across a broad range of product categories for its analysis. The creative variables include "lack of relevance," "negative emotional reaction" and "lack of message relevance/credibility." Media factors include channel, program, duration, the pod in a program, position in pod, daypart and product category. The companies are hoping to develop a "score" for tune-away -- as well as trends around specific time-shifting, frequency of exposure, and viewer attributes. Millward Brown and Kantar Media say better software is needed to measure commercial avoidance in an age of growing digital screens, as well as current time-shifting technologies.
Media Storm, the agency with a slew of entertainment clients, said it is looking to extend the effectiveness of network promos by taking advantage of a new Comcast function. During a tune-in spot, the opportunity allows viewers to tee it up, so a reminder appears when the promoted show is about to start. The agency is using what is known as Remind Record for Food Network, WE tv and truTV spots. The interactive TV function places an overlay on a promo. Then, with clicks of the remote, a viewer can lock in the on-screen reminder to pop up -- perhaps days later -- just before a show airs. A viewer could also set up a DVR recording. Comcast Spotlight, the sales arm for the cable operator, is selling the ad opportunities, which can run in some 13 million homes. In 2009, Media Storm set up a division dedicated to iTV applications known as Bolt. Media Storm is experimenting with series that include "Chopped" (Food Network), "Braxton Family Values" (WE tv) and "Hardcore Pawn" (truTV). Media Storm co-managing partner Craig Woerz stated: "The thumb is in control, and our clients are now there to embrace technology that will allow it to do less work and watch more of our promoted programming."
Bloomberg said it has tapped an executive at ABC News' digital operations to lead its 24-hour business news network, which will relish closing the gap with CNBC. Andrew Morse, with a lengthy career at ABC News, will report to Bloomberg Media Group CEO Andrew Lack in the role. Morse has been executive producer of innovation and integration for ABC News Digital, which includes ABCNews.com and ABC News Now, a broadband channel that has some cable distribution. At Bloomberg, Morse will oversee programming and operations at Bloomberg Television, which is in about 70 million U.S. homes. He will also look for symbiotic relationships across Bloomberg's other content arenas. Lack stated Morse brings an understanding of "the needs of today's media organizations to deliver creative content to consumers across multiple platforms." Morse also logged time as executive producer of the weekend edition of "Good Morning America" and as a senior producer for ABC's "World News" on Saturday and Sunday.
TNT's sci-fi drama "Falling Skies" pulled in the best ratings for a new cable series launch this year -- but it was not enough to beat NBC's "Miss USA" pageant, or TNT's big drama launch last year. The series -- co-executive-produced by Steven Spielberg -- pulled in 5.9 million viewers during its two-hour premiere at 9 p.m. last night. NBC's "Miss USA" pulled in 7.3 million viewers. Against virtually all repeat programming on the broadcasters, "Miss USA" pulled in a 2.2 rating/7 share among 18-49 viewers -- the only non-sports show to earn above a 2 rating among 18-49 viewers in prime time. A year ago, against non-repeat programming, such as CBS' "Survivor" and other shows, the beauty contest got to a 1.4 rating. For its part, "Falling Skies," which was sponsored for its debut by Hyundai, grabbed 2.0 ratings among 18-49 viewers. NBC won the night among all TV networks with 6.6 million viewers and an average 1.8 rating/6 share among 18-49 viewers. The network also had the benefit of a big push from the "U.S. Open" golf event early in the evening, which scored a 2.2/9 from 7 p.m. to 7:30 p.m., and 9.0 million overall viewers. After NBC, Fox and Univision were next, each with a 1.3/4 among 18-49 viewers. ABC and CBS each scored a 0.7/2; Telemundo earned a 0.4/1; CW took a 0.3/1; and ION earned a 0.2/1. "Falling Skies" offered cable's best results since a year ago, when TNT's crime-drama "Rizzoli & Isles" debuted in the summer of 2010, to 7.6 million viewers. Lifetime's returning drama "Drop Dead Diva" -- starting up its third season on Sunday night, taking in 2.9 million viewers -- was down slightly from 3.1 million viewers.
Extending its TV-sports marketing efforts, Stan Lee's "The Guardian Project," a bunch of comic-book hockey-theme superheroes, has struck a marketing and equity deal with NBC Universal. Lee's comic-animation story, which focuses superheroes representing each of the National Hockey League's 30 teams, launched in October around a deal with the NHL. "The Guardian Project" is owned by Guardian Media Entertainment, a company formed by SLG Entertainment led by Stan Lee of POW! Entertainment and NHL Enterprises. NBC is the broadcast partner of the NHL and most recently extended the arrangement, striking a 10-year deal with the league to air games on the NBC network and its cable network Versus. Both the NHL and NBC see these characters as a way to reach out to younger audiences. Already, NHL teams have been using the "Guardian" characters in local markets promotions, selling apparel and other merchandise featuring the animated athletes. Comic books and a novel are in development, as well as social and gaming options. In January, the first characters started rolling out during the 2011 NHL All-Star Game. Though the deal is only marketing-based right now, NBC Universal, with a minority equity stake in the property, could be involved in developing TV series, films, comic books, games, licensed merchandise and theme park attractions. The deal allows Guardian Media Entertainment to also develop entertainment extensions with other TV producers. "Since the inception of GME, our goal has been to partner with a major media company that has broadly distributed consumer platforms to exponentially increase the awareness and scope of The Guardian Project," stated Mark Terry, COO of GME.
The CBS-owned independent station in Boston is becoming a MyNetworkTV affiliate this fall. WSBK, part of a duopoly with WBZ (the CBS station), is joining MyNetworkTV, which airs off-net shows, such as "Without A Trace" and "Burn Notice" in back-to-back blocks. The new affiliation comes as current MyNet affiliate WZMY is becoming an independent, while changing call letters to WBIN. MyNet will add "Law & Order: SVU" and "Cold Case" to its lineup this fall, which airs on weeknights only. Currently, independent WSBK airs "The Insider" and "Entertainment Tonight" in the 8 p.m. hour weeknights and a half-hour of news starting at 9, followed by off-net comedies. A CBS-owned station in Miami is also a MyNet affiliate as part of a duopoly. "The major franchise programming that MyNetworkTV offers is clearly resonating with viewers and advertisers," said Paul Franklin, executive vice president at MyNetworkTV. The net went through various incarnations before settling on its current syndication-type model.
Comcast promised a commitment to re-energize NBC and broadcasting in general before taking control of NBCUniversal earlier this year. Last week, it buoyed affiliates by acquiring rights to the Olympics through 2020. Now, it's re-branding its own station division to reflect the emphasis. Its group of 10 owned NBC stations, which took on an "NBC Local Media" umbrella to emphasize expansion into new platforms, is switching to NBC Owned Television Stations. The move comes as Valari Staab, who led the ABC-owned station in San Francisco, takes over as president of the division at NBCU. During the previous re-branding to "NBC Local Media," the URLs for the station Web sites moved away from the on-air brand to ones with a market-wide, platform-neutral approach. For example, in South Florida, NBC6.net became NBCMiami.com. In an internal memo, Staab wrote to NBCU employees about the latest change: "This new name serves as a reminder to all of us that this division is first and foremost defined by 10 great television stations serving 10 very dynamic and diverse communities." She went on to say that the "owned and operated" identification that networks have used for their station groups for years will be gone, "because while the stations are owned by NBC, they are operated by the local management team of each station." However, she did note that the emphasis on multiplatform distribution will continue.
Last year the National Hockey League introduced a series of comic-book superheroes intended to represent each of the 30 NHL teams. The heroes and their stories are part of The Guardian Project, which in turn is overseen by comic artists and legend Stan Lee. A joint group called Guardian Media Entertainment (GME), which comprises Lee's SLG Entertainment and NHL Entertainment, was introduced last fall at the Comic-Con convention in New York. Each of the superheroes were revealed in a fashion that was determined via a social media campaign early this year, and the 30 were presented at the NHL All-Star Game this year. The league says that game garnered the highest ratings to date for NHL All-Star telecast on Versus, and that the Guardian Project produced more than 2 million visitors and over 13 million page views on the GuardianProject30.com Web site. Now GME will join in an equity partnership with NBC Universal (NBCU) wherein the latter will give cross-platform media support around content and product launches for the project. The deal, which supplements marketing and promotion from the NHL and clubs, includes a multimillion-dollar commitment. It comes on the heels of Comcast unit NBCU's 10-year deal with the NHL, wherein NBCU's channels will air more regular-season and Stanley Cup Playoff games through the 2020-21 season and stream games online as well. GME said in a statement that the Guardian Project will involve story lines elaborated in comic book series, and a novel. Lee and producing partner Gill Champion and their POW! venture will oversee story development for the project. The organization will also add new products to its project portfolio that comprises branded merchandise already on sale at retail, online and at hockey arenas. GME says it will tout the Guardian Project brand in social and mobile gaming platforms starting next year. The company said it is in talks with NBCU about developing a TV series as well. "Long-term plans include the creation of films, games, theme park presence and global extensions," says GME in a release. The GME deal with NBCU was brokered by Howard Baldwin, former part-owner of the Pittsburgh Penguins and the Hartford Whalers, and producer of the Academy Award-winning motion picture "Ray" and chairman of the board of GME.
Game seven of NBC's "NHL Stanley Cup Finals" did its job as the top-rated show of Wednesday night. It earned high marks versus the final game of the event over the last two years. NBC took a 3.2 rating/9 share among 18-49 viewers (and 8.05 million total viewers) for the Boston Bruins victory over the Vancouver Canucks, according to Nielsen. This was up over 7% versus game seven of the 2009 NHL finals event. Final ratings almost always rise for prime-time sporting events over preliminary numbers. A year ago, final ratings for the sixth game of the NHL event pulled a 3.2/10 among 18-49 viewers and 8.3 million total viewers. The second-best-rated show of the night, Fox's "So You Think You Can Dance" took an expected hit, but was down slightly -- 7% -- from a week ago to 2.6/8. A year ago when "Dance" and the last game of the "Stanley Cup" aired, hockey scored a 3.2 rating versus a 3.0 "Dance" number among 18-49 viewers. The only other new content on the English-language broadcasters last night was an ABC News special "Caught In the Act," which only registered a 1.6 rating/5 share on broadcast last night. NBC won the night overall, at 3.2/9. Fox was next, at 2.6/8. Last week, the two networks were virtually tied at 2.8. A week ago, NBC's "America's Got Talent," its main program of the night, got to a 3.2 rating. Other networks, dominated by reruns, were as follows: ABC, a 1.4/4; Univision, a 1.3/4; CBS, a 1.2/4; and CW, a 0.4/1.
Yule Log. Rotisserie chicken. Whopper sandwiches. Or, things you can watch on TV 24/7, atop flames. In one of its last campaigns for Burger King (it will soon be replaced by mcgarrybowen), Crispin Porter + Bogusky created a channel on DirecTV that displays nothing but a flame-broiled Whopper sandwich. Viewers that tuned in to DirecTV channel 111 last week were challenged to stare at a spinning Whopper for 5 minutes. If they were successful, they could get a free Whopper. Those feeling lucky could go double or nothing and win another free Whopper if they watched the channel for an additional 10 minutes. And so on and so on. Viewers actually had to continuously watch the screen because random pop-ups would appear, prompting them to press a specific button on their remote control. If the button wasn't pushed, bye-bye future Whopper and all earned Whoppers up to that point. There's no talking on the channel, just the sound of a burger being flame-broiled. Once a viewer tuned in, a countdown to receiving a free Whopper came onscreen. Coupons will be mailed to the address listed on the DirecTV account. As of noon Friday, "Whopper Lust" had given away 73,593 Whoppers, confirming that Americans have hearty appetites for food and free stuff. Do the math, and that equates to 597,560 minutes of people watching one perpetual ad. Upon first viewing a TV channel that's all Whopper, all the time, I'm reminded of the holiday Yule Log channel that runs from Christmas Eve to Christmas Day. I'm also reminded of a Canadian campaign I wrote about in February for Swiss Chalet rotisserie chicken. Swiss Chalet ran a 24/7 cable channel on Rogers Television for three months consisting of nothing more than rotating chickens above a flame. Promotional codes, that changed daily, would occasionally appear onscreen, driving viewers to the company's Facebook page to collect coupons. Who knew that branded food channels that offer valueless content, aside from free or discounted food, could be so popular?What would you rather look at continuously? Rotating rotisserie chicken or a spinning Whopper?
@font-face { font-family: "Times New Roman"; }@font-face { font-family: "Arial"; }@font-face { font-family: "Calibri"; }p.MsoNormal, li.MsoNormal, div.MsoNormal { margin: 0in 0in 10pt; line-height: 115%; font-size: 11pt; font-family: Calibri; }a:link, span.MsoHyperlink { color: blue; text-decoration: underline; }a:visited, span.MsoHyperlinkFollowed { color: purple; text-decoration: underline; }table.MsoNormalTable { font-size: 10pt; font-family: "Times New Roman"; }div.Section1 { page: Section1; Last week, to celebrate our wedding anniversary, my wife and I went for a walk on the High Line, the incredible park that's been created from an old elevated freight-train track on the southwest side of Manhattan. It's a dramatic experience, and to my mind, one of the best projects in New York City going back decades. The High Line is remarkable for many reasons: the stunning and unexpected views of the cityscape, the unusual design and landscaping of the park itself, and -- not least -- the unwavering tenacity of those who spearheaded what was largely a community-funded project. But what strikes me most about the High Line is its story of reclamation: The park transformed a dilapidated old train track -- a blight on the urban landscape -- into a world-class destination in its own right. With the creation of the High Line Park, New York City created space without piling another forty stories onto an existing structure. And the park is more than a serene city retreat. It's also an enormous commercial success story, having generated billions of dollars in nearby real estate appreciation and development. How does this relate to television, you ask? As the High Line recaptures space, DVR-assisted television viewing recaptures time. As DVR adoption has increased over the last few years -- and more than a third of American households now have DVRs, according to Magna Global -- viewers have gained the freedom to choose how, when, and where to watch the shows they like. And they can choose whether to watch or skip the advertising. For years, this prospect freaked the heck out of advertisers and networks. They'd taken for granted that time-shifted viewing would have a significant impact on the way television programming and advertising were consumed, but until recently, it wasn't clear what the nature of that impact would be, and whether it would lead to lower, more selective overall television viewing. But even with the broad adoption of DVRs, TV viewing remains on the rise, according to Nielsen. A report released last week, "State of the Media: Cross Platform Report," showed that Americans watch an average of 22 minutes more television per month than they did a year ago. The lion's share of the increase is, not surprisingly, tied to more viewing on mobile devices and online, but even good old TV sets showed a small jump. This says to me that people optimize their viewing behavior in the same way that the transformation of the High Line has optimized the NYC landscape. They're recapturing time they might have spent watching ads, and using it to watch more television. Like the stressed-out city dweller who has a new oasis in the midst of urban chaos, television viewers can now enjoy content that -- without the time-saving benefits of the DVR -- they might not have had time to experience. Ad-skipping is of course a tough pill to for networks to swallow, but there is a silver lining here: the fact that consumers are watching more and more diverse programming. For advertisers, this means it's more important than ever to hone their messaging and the placement of their ads so that they can find the right audience for their brands. The High Line turned one of the city's liabilities into an asset by transforming what was peripheral to something that is premium. DVRs may have been considered by networks to be the old elevated freight line, but by looking at purchaser behavioral data, advertisers can find the right audience and make it their own "High Line." Still need to think about it? I suggest a walk on the High Line.
This TV headline looks good: For the first time, cable networks grabbed more upfront advertising dollars than broadcast networks -- $8.96 billion versus broadcast's $8.5 billion. But digging deeper, we can see this is like comparing a few apples to a lot of oranges. Typical published cable upfront numbers refer to all day-parts -- not just the prime time referenced for the broadcasters -- and some 70 advertising-supported cable networks, versus five to seven broadcast networks. Still, with around 80% of the cable upfront completed so far, estimates are the business will grow 12% in dollars from last year to that $8.96 billion number. That's happy news. Another 20% of the business has yet to be completed for small to mid-sized networks. What can broadcasters crow about this year? While overall dollars perked up around 3% to $8.5 billion, the main cheering ground comes from those strong 10% to 13% gains on the cost per thousand viewers. For many, this is still the core economic metric -- one whose rise can make up for many mistakes. Looking closer, however, this isn't a David and Goliath picture anymore. Many cable networks, especially those in the top 10, are finding that, like the broadcast networks, they are now experiencing increasing ratings erosion. MTV, History and a few other networks were the exception this year. Still, there's this flip side. Just like the the broadcasters, cable networks can charge -- you guessed it -- higher cost per thousands, all because of the same financial supply and demand rubric. Lower ratings for cable shows and higher advertising dollars mean higher CPMs. Where's the overall industry growth? Many would say the real cable growth comes from channels not in the top 10- or 15 -ated networks -- those that can produce higher rated programming and/or, more importantly, still climb via the old-fashioned rung of cable growth, that of adding in more distribution in terms of subscribers. This business isn't eating its young. It's the young eating into their elders. Is that another cable headline?
TNT's signature crime drama "The Closer," arguably the most successful scripted series in the history of advertiser-supported basic cable, is about to try something that few shows on broadcast or cable are sturdy enough to pull off. A game-changing, certain-to-be-controversial storyline that will run throughout the upcoming seventh season of the show (scheduled to begin on July 11) will lead to the departure of its hugely popular lead character and set the stage for a new series titled "Major Crimes," which is not so much a spin-off as a reworking of "The Closer" with many members of its current cast. (Series star Kyra Sedgwick will leave "The Closer" at the end of this extended season, which will play out over ten episodes this summer, several more during the winter and a few next year, leading to the launch of the new show.) The changes coming to "The Closer" are organic to its characters, respectful of their histories and right in line with its storylines to date, and they should not be confused with the kind of reckless narrative stunts that have killed so many once-vital shows late in their runs. But I'm worried that they might backfire, alienating fans and bringing the historic run of "The Closer" to a less-than-satisfying end, in that I don't think the show's millions of passionate, long-term viewers are going to like them. They won't turn away, because the upcoming storyline isn't a shark jump, and the escalating tension during the season to come is likely to not only hold the current audience but perhaps draw lapsed viewers back to the show. But it is never a good idea to subject loyal viewers of a series to something they don't want to see. The damage can be wide-ranging, even if the show in question is coming to an end, in that it can stop them from investing time in new shows, and nobody in the television or advertising businesses wants that. As has already been reported, the changes coming to "The Closer" involve Los Angeles Police Department Deputy Police Chief Brenda Lee Johnson and her team coming under fire for the violent aftermath of a case they closed in a particularly harrowing episode last season. The beauty of Brenda Lee is that throughout the show's previous six seasons she has proven herself a master at getting iron-clad confessions from murderers. Her methods may be unorthodox and misleading, but they are never outside the rules of the law. (Those confessions "always hold up in court," as one character asserts in the Season 7 premiere.) This is precisely what viewers love about her: At a time when people feel so helpless against the systems that govern their lives, especially a legal system that often seems to protect criminals at the expense of their victims (and the victims' families), Brenda Lee has emerged as a character who knows how to cut through crap and get things done, saving lives and protecting the innocent in the process. She may maneuver around the law, but she isn't lawless. She doesn't make things look easy, but she does make them seem possible. In a potentially risky turn for the show, Brenda Lee's methods are going to come under increasing scrutiny this season because of the way she processed a homicidal gang member in that memorable episode last year. In short, she coaxed a confession from him in the murder of an elderly convenience store owner and his eight-year-old grandson only after securing immunity for him (because he had knowledge of another matter), knowing full well that once he returned home other members of his gang would likely kill him. But the murderer didn't know that himself, and when he demanded that the police return him to his home as a free man, Brenda Lee and her men simply left him there to meet the fate he had sealed for himself. As the seventh season begins, the dead murderer's mother has filed a potentially disastrous lawsuit against the LAPD and everyone she blames for the brutal murder of her murderous son. It's going to be a particularly tough season, not only for Brenda Lee and her team, but for viewers who expect them to come out on top at the end. Indeed, they are apt to cheer during the season premiere when the iron-willed and somewhat indignant Brenda Lee declares, "I did nothing wrong!" She even threatens to resign over the matter, only to learn that she'll be in even deeper trouble if she does. This storyline should make for great drama, but it won't serve anyone's interest if it doesn't end on a positive note for Brenda Lee and the team viewers have embraced for so long.
Cable system operators are finally moving to a point where the description of their business will truly be a misnomer. Increasingly, entertainment distribution systems are working wirelessly. Years ago cable companies were smart enough to make sure they were in the broadband business -- all to keep the entertainment pipes viable. Still, cable companies have been spending billions on set-top boxes -- and continue to do so. But now Comcast -- with a new generation of its Xfinity Web service -- has moved even further away from the set-top box infrastructure -- first with its mobile app, and now with the shift of many navigation tools to the "cloud." Here's Brian Roberts, chief executive officer of Comcast, as he demonstrated the new service at a very fast 1 gigabyte per second download speed on Thursday: "This is cloud computing, not necessarily cloud storage," he said. "The cloud allows you to have faster innovation to be able to take all the brains of the [program] guide -- the search, personalization and recommendations -- and pull it out of the cable box." Here's another possible "cloud" benefit Roberts didn't talk about: helping to solve the cable industry's problems with addressable advertising, which according to many experts, gets into real trouble when it comes to the different protocols of many set-top box designs. Even before cloud technology, competition had pushed cable operators to leave some of their cord connections somewhat behind -- especially with their overall "TV Everywhere" efforts. They know competitors like Netflix -- and perhaps Google TV or Apple TV -- aren't going away. The iPad and other tablets can do lots of stuff the set-top box can do. Already the box can replace a cable remote. Replacing the rest of cable's infrastructure is probably not that far behind. Experts feel that, with exponentially growing entertainment content, cable operators will have no choice but to think more about cloud technology -- and all that will rub some the wrong way. After all, who controls the actual TV and movie content after all? Much controversy has already surrounded so-called "network DVRs." Studios are concerned because storage facilities for entertainment content would be housed at a central location controlled by cable operators. The best media companies are always transforming, hoping to keep pace with their consumers. But that path won't be an easy one. Seems all media partners will meet in the clouds to do battle.
As attendees to the Smart TV Summit in San Jose last week learned, it is estimated that by the end of 2015 there will be 350 million computer-driven, Internet-connected televisions in the world. Even if these estimates are off by 20%, it will still be an enormous number and will likely have extraordinary impact on the media and marketing industry. Today, for fun, I have created my list of the Top 10 consequences of there being 350 million connected TVs in the world in 2015. Here they are: 1. More TV viewing. Nielsen just told us that live viewing of TV in the U.S . grew once again in Q1 2011 over Q1 2010. Imagine what the numbers are for all TV device usage if you include Netflix, gaming, and over-the-top web video viewing? Connectivity and computational power means more content choices and a more robust experience. That means more TV. 2. Video becomes app-packaged. Just as we have seen content and services become "app-packaged" for delivery on smart phones and connected tablets, so too will we see video become app-packaged on smart, connected TVs. Much of our TV channel paradigm will give way to TV apps. 3. Consumer electronics companies race to become the Apples and Googles of TV. Consumer electronics companies like Sony, Samsung, LG, Vizio, Roku, Microsoft, TiVo and many others will try to emulate what Apple has done in smartphones and tablets and what Google has done on the Web. 4. A la carte programming will pressure the business models of cable and satellite companies. If you're in the business of bundling dozens or hundreds of networks for packaged subscription sale, the inevitable emergence of a la carte programming -- HBO Go, ESPN 360, MLB.com, Hulu, YouTube, etc -- will create enormous pressure on companies that depend on consumers buying the entire package. The cable companies are already developing stand-alone offerings. 5. Not enough quality video content. As carriers, devices and networks scale up to serve more video content and services to connected TV users, producers of quality, branded content will find it a seller's market. They will find more buyers than they can serve, and lots of control over margins and pricing. 6. Companion Web services to video viewing. Unlike phones and tablets, TVs have enough screen space to support multiple simultaneous services at once. Anticipate a future where we're watching a prime-time show, viewing tweets from our friends and getting GiltCity offers all at once. 7. Less desktop screen use, which will mean more use of other screens. I am with Steve Jobs on this one. The personal computer as we know it is going to be demoted. People will spend less of their time with computers. TV screens, along with smartphones and tablets, will be promoted. People will spend much more time with them. 8. More device coordination. With the largest screens in the household now connected, we can expect much more coordination of services among the devices. Smartphones and tablets will become remote controls. TVs might become video phones (yes, I know Ma Bell started promising us this one 40 years ago, to no avail). 9. TV swallows set-top boxes. The set-top box -- the bastion of cable company control -- may move into the TV, and programming subscriptions may become just another app, like Netflix is today. At the same time, we may see new set-top boxes -- maybe in our phones or tables? -that will fight for control of the consumer video interface. 10. Disruption to all in the TV and video entertainment industry. The one certain consequence of a world with 350 million connected TVs is that every single company in all industries touching TV and video entertainment will be disrupted. Either they find a way to thrive in this world, or they will not survive. What do you think? What will a world of 350 million connected TVs look like?
Feel free to ignore IPv6, but I recently came across a white paper that describes to marketers why they should care about the transition from IPv4. The good news is that marketers likely have a few years before the technology will influence the speed at which ads serve up or influence search engine marketing, especially on mobile devices or Internet-connected TVs. Just don't expect a magic day when one switch flips on and the other off. It will happen gradually -- and brands need to prepare. Last week, Google posted an update to its blog post on World IPv6 Day, calling the "test flight" a "success." Google began monitoring the transition by its users from IPv4 to IPv6 in 2008. I began writing about the technology shift in May 2006. On World IPv6 Day, Google carried about 65% more IPv6 traffic than usual, saw no significant issues and did not have to disable IPv6 access for any networks or services, Lorenzo Colitti, Google network engineer and IPv6 Samurai, wrote in a blog post. "Over the next few weeks, we'll be working together with the other participants to analyze the data we've collected, but at least on the surface the first global test of IPv6 passed without incident," he wrote. We learn why marketers should care about the transition from IPv4 to IPv6 in the white paper published by Demandbase Chief Technology Officer Martin Longo titled "Transition to IPv6: Why Online Marketers Should Care: If you think it's just IT's problem, think again." If marketers are not prepared for the transition, they can expect poor or degraded service or Web site performance; denial of service; reliability issues resulting from weaker network connections and monitoring; broken applications such as VoIP services, geo-locating services; and lack of reporting and analytics tied to IPv6 addresses, according to Longo. The positive side is that IPv6 adoption will give marketers greater granularity when identifying the Web site traffic from various businesses, office locations and devices, providing the ability to identify a tablet vs. mobile phone vs. computer. Business-to-business marketers will have the ability to identify companies that engage with the site. As IPv6 rolls out, it will provide enough IP addresses to identify each business, brand and device. As a result, marketers can gain better insight into their customers, deliver more personalized Web site experiences, and drive higher conversion. Of course, this white paper was not created without self-serving motives. Demandbase does offer services to support the transition. But it's also important to point out that most marketers and businesses are not prepared for the transition. This is apparent in a survey that Demandbase commissioned through FOCUS among B2B marketing and IT professionals to determine how prepared businesses are for the IPv6 transition. The findings reveal a need for better education, and most respondents are uncertain how IPv6 will impact their business. Twenty-three percent of respondents are uncertain about the applications the transition will affect. Only 12% of all businesses have started to plan for the transition, and 6% say they had no awareness of IPv6 at all. Ninety-seven percent of companies surveyed have yet to set a concrete date by which they hope to be fully IPv6 compliant. The study also finds that small businesses show little concern or preparation for IPv6 compared to enterprise companies, which are better equipped to handle the changes. One-tenth of small businesses are completely unaware of IPv6, while all enterprise respondents reported knowledge of IPv6. Still, 41% of small businesses report no concerns surrounding IPv6, relative to 7% of enterprise companies. Only 3% of small businesses have a formal plan in place to address the impact of IPv6, although 21% of enterprise companies have a plan. Marketing should stay informed and talk with their IT departments about a potential approach that suits their business and their customers' needs.
CIMM is taking a pro-active role in advancing new media nomenclature and processes with both its Lexicon(terms and definitions associated with Set-Top Box data measurement) and recently released Asset Identification Primer (glossary of asset terms). These documents form the basis of the Word-A-Week column, which offers a common language for Set-Top Box nomenclature that can expedite the roll-out of the data for its many industry applications. Ad Decision components -- whether hardware or software -- come into play once the ad inventory is properly watermarked and ready to air. But air where? And how? Ad Decision Managers and Servers help to channel and monitor campaigns: ADM abbr Ad Decision Manager CIMM DEFINITION : The Ad Management Service defines messages in support of ad insertion activities. The primary user of these messages is an Ad Decision Service (ADS). The message interfaces exposed by an ADM allow for both preconfigured ad decisions as well as real-time fulfillment models. An ADM implementation may incorporate some simple ad selection rules (ex. ad rotations) but more complex ad decisions are the responsibility of an ADS. Definition currently under review by CableLabs.ADSabbrAd Decision ServersSee also: Advanced Advertising(Same acronym for Alternate Delivery System) CIMM DEFINITION : Part of the addressable advertising application framework that loads, feeds out, traffics and tracks delivered and aired addressable ads. Definition currently under review by CableLabs. 2 : A third party Graphic User Interface (abbr GUI) and client side app that advertisers and ad agencies use to manage their campaigns and place orders in real-time. (Source: BigBand Networks) 3 : Determines how advertising content is combined with non-advertising (i.e. entertainment) content assets. The decisions made by ADS may be straightforward (i.e. specific ad content placed at a specific time in a specific asset) or arbitrarily complex (based on subscriber data, advertising zone, etc.). ADMabbr Ad ManagerSee Also: Ad Decision Manager CIMM DEFINITION : A system that allows the user to manage commercial inventory - loading, scheduling, selling, processing, delivering, measuring - via a SaaS application. Originally coined by Google, the term now extends to Set-Top Box data measurement in the addressable advertising realm. 2 : A server based application owned by the operator; interacts with the Media Services Platform (abbr MSP) to determine information about the real-time opportunity; interacts with the ADS to choose ads. (Source: BigBand Networks) 3: A software or hardware component within the cable's CAAS system with SCTE-130 conformed interfaces. Its primary function is to be broker between ad decision system, ad inventory system, and ad delivery system. Typically, the ADMs are provided by linear ad insertion or VOD system vendors. (Source: FourthWall Media)
I am an early adopter when it comes to anything TV or video-related. I got my VCR and DVR when each was in less than 10% of the U.S. My wife bought me a video iPod a month after it came out. I just bought an iPad 2. My household consists of just my wife, our 12-year-old son, and me, yet we have five television sets, four DVRs, digital cable, DirecTV (we need our NFL Ticket), a blu-ray and two regular DVD players, and three computers (two laptops and a desktop) -- Mac and PC. We also have Playstation 3 and Wii (and an Xbox 360 with the "red ring of death" that we refuse to replace for the third time). We just got a Netflix subscription (which we got through our Playstation, but now I also have on my iPad). We just started letting our son watch "Family Guy," and he loves being able to watch previous seasons. I've gone back several times to watch episodes from the first few seasons of "Saturday Night Live" (to try and show my son what real comedy is). We love that this stuff is so readily available for free (it seems like it's free, even though it's $8 per month). CBS's research guru, David Poltrack, always ahead of the curve, is correct when he calls Netflix's growth a "real phenomenon." His research indicates that more than 40% of early adopters, whom Poltrack calls "fully connected TV viewers, who already subscribe to digital TV and broadband services," subscribe to Netflix. He also estimates that its prime-time streaming audience is about the same as a mid-sized cable network and growing fast. Of course, if it was a mid-sized cable network, few would be talking about it. Most of the stuff we want to watch, however -- the best movies and most current TV shows -- are not available. Even when they show a picture of what you want, it often tells you it's not available for instant access. It's frustrating and disappointing. As my son recently said, "I like Netflix, but it kind of sucks." I think his statement is actually a profound indication of why Netflix has so much potential. If we like it when it "sucks," how will we feel about it when it no longer sucks? The $8 monthly fee is a brilliant price-point. Even though my Netflix usage has gone from extensive to minimal over the past two months since I first subscribed, the $8 monthly charge on my credit card is not really noticeable, and I don't plan to cancel. There's still enough I can get (particularly when traveling and using my iPad) that it's worth keeping. Even if I use it to just watch one movie a month, it's worth it to me (and since I only let my son watch two episodes at a time at most, it will be a while before he exhausts all the available "Family Guy" episodes). So far Netflix hasn't had any impact on our regular television viewing, but it has cut sharply into our pay-per-view movie DVD viewing. I think it's the first thing that's actually cut into my son's videogame playing. We like the basic platform so much, however, that if and when Netflix does strike more content deals for top TV shows and movies, it will probably have a much bigger impact on our TV viewing -- especially in the summer. The company has the right model, and seems to have hit that rare chord with kids, teens, and their parents. The real question is, can Netflix maintain a per-subscriber charge of what amounts to less than $100 per year (with no advertising) and be able to afford the highest-profile premium television content? If the company gets enough subscribers, maybe it can. Netflix certainly has a better chance of thriving than any of the other streaming platforms currently out there.
Television always looks for the out-of-nowhere hits in the sometimes-sleepy summer period. And Current TV, with Keith Olbermann's new show starting in a few days, hopes to wake things up. Big profiles have already run of the sometimes-controversial news/opinion personality, in the New York Times and The Hollywood Reporter , for example -- all part of the marketing/PR push. It doesn't seem as if Olbermann has been gone that long. It was January when he made his rocky departure from MSNBC. Current TV hopes its marketing effort for Olbermann will get some breathing room now, as opposed to the busier fall and spring TV marketing periods. What Current TV needs is a better foothold in the cable network universe -- especially competing against the bigger news channels. It hopes to get what "The Daily Show" gave Comedy Central years ago -- a specific presence in a growing network. Current TV doesn't need Olbermann to follow the path Conan O'Brien took -- from an NBC Universal entity to a smaller TV network. O'Brien got major press and viewership in the first weeks on TBS back in November. But ratings have cooled off substantially since. Current TV has less room for error than TBS, though. The Turner comedy-focused cable network has other content going for it. Current TV will base much of its identity around what Olbermann does. Perhaps more than other places, Olbermann, as the "chief news officer" will be the recipient of very little in the way of "producer notes," editors, or second-guessing TV executives. For the most part, that pure voice will be valuable to the budding network. Current TV, the 60-million subscriber cable channel, needs more than an on-air identity, it needs more TV-connected homes -- cable, satellite, telco, or otherwise. Maybe some 70 million to 75 million, which will put it on a more even playing level with the bigger news channels, providing a more solid platform to sell national advertising. Perhaps it has already benefited from Olbermann's arrival, with TV's currently strong upfront advertising market. Big news periods can deliver high ratings for any channel. Olbermann can be entertaining enough in the lull periods. Current will need all of this. Even Current TV executives, including co-founder Al Gore, knows what's coming. He told the New York Times: "I expect to hear from people who are unhappy with what Keith is doing," Gore says, "and my response will be: 'We have put Keith on the air for a reason. Deal with it.' " That reason, that expected unhappiness, is part of the formula. Summer TV is usually stocked with some surprises.