Canoe Ventures, the partnership of major cable companies formed a few years back to make scaled addressable and interactive TV a reality, is redefining its mission and drastically scaling back its operation. The cable company venture is shutting down its New York office and laying off most of the staffers based there -- approximately 120 employees. The venture will move its base to Denver, where it currently has a technical center with a staff of approximately 30 engineers. A Canoe representative said that the moves come after a reassessment by the cable company partners in the joint venture, including Comcast, Time Warner, Cox, Charter, Cablevision and Bright House. The company rep said the joint venture remains intact, but the partners essentially decided to redefine Canoe as a much smaller engineering-oriented operation. It will focus on video-on-demand advertising initiatives -- a business that the partners believe has more potential than ITV or addressability at present. The company had previously refocused to concentrate efforts and resources on a national interactive TV platform after deciding that addressability was not a viable endeavor, at least in the near term as well, given marketplace feedback. As a result of the restructuring, the Canoe senior leadership team, including CEO Kathy Timko, will be leaving the company. The one exception is Joel Hassell, who has been Canoe’s chief technology officer. He has been named CEO and will be based in Denver with the remaining team of engineers. Hassell issued a statement Wednesday that said, in part, “To make on-demand ad inventory as valuable as traditional broadcast (linear) or online inventory, the industry needs a standard, ubiquitous way to steward and monetize on-demand advertising. Canoe is committed to making this happen. "Our new focus will be on giving programmers the ability to dynamically insert advertising into on-demand TV in a common way nationwide, by expanding our current technical platform and operations to facilitate advertising between many programmers and distributors.” The company rep said that Canoe would gradually phase out its ITV business over the next several months in a bid to be “respectful” of the plans of current clients, including national programmers and advertisers. It’s expected that the New York office will close in approximately 90 days. Canoe was formed by its cable company partners in 2008 to create platforms for national addressable and interactive television distribution. A major challenge for the venture was to devise technology that would enable the largely incompatible and proprietary systems of its partners to "talk" to each other. But within a short time, the venture targeted just ITV and later, VOD services. David Verklin, former CEO of Aegis Americas, was Canoe’s first CEO. He left in the summer of 2011 and was replaced by Timko, who had been Canoe's COO. Before today, there was little indication that Canoe’s partners were busy behind the scenes coming up with a new model. Just last week, Canoe and the National Association of Advertisers released findings from a year-long study of interactive television effectiveness. News of Canoe’s restructuring comes in the wake of a study by Deloitte that concluded that despite all the testing that’s been done in both the ITV and addressability sectors, both businesses may still be ahead of their time. Deloitte concluded that neither would gain much traction in the marketplace for the foreseeable future.
CiCi’s Pizza has just launched a new ad campaign featuring the first work from its recently selected new ad agency, Publicis Dallas. The new campaign, entitled “There’s More Where That Came From,” will feature TV and digital ads as well as in-store messaging, the client has confirmed. The Coppell, TX-based pizza marketer spends an estimated $25 million on ads annually. The first ad featured in the new campaign promotes the client’s latest pizza offering called the Hog Fest, which is topped with bacon, sausage, ham and pepperoni. The Dallas office of Publicis Worldwide, owned by the eponymously named ad-holding company, won the Pizza account after a review last fall. The incumbent, Interpublic’s Deutsch Los Angeles, opted not to defend. The review was kicked off shortly after the arrival of a new CMO at the client-- Nancy Hampton. Commenting on the new campaign, Hampton stated that it’s designed to promote new menu items like the Hog Fest and other new items that will be debuting soon. "CiCi's has a great quality and variety story to tell, and this campaign reflects what our brand is all about, beyond price," stated Hampton. She said that new pizzas like Hog Fest "elevate our buffet to something special and distinctive that guests can't get anywhere else." The new advertising and product introductions are part of the company's continuing 10-year "Build the Brand" initiative to add 500 new restaurants by 2020. Last year, the company opened 22 new restaurants, about 25% more new openings than the previous year.
It is one of the sadder ironies that people generally decide they need backup services for their computers (and the information on them) only after a catastrophic data loss. Carbonite, a provider of such backup storage, aims to get out the message of pre-planning for storage backup via a new advertising campaign. “People, by and large, place tremendous value on the information on their computers,” Tom Murray, senior vice president of marketing at Carbonite, tells Marketing Daily, “but so few are backing it up. There’s a disconnect between intent and what they actually do.” In a minute-long commercial, a bride and groom on their wedding day are treated to ominous comments from strangers and loved ones that they’re going to “lose everything.” (Even the limo from the service features a sign, “Just Lost Everything.”) As the two nervously eye each other at the altar, a scruffy stranger bursts through the doors to tell them they’re about to lose all their computer-stored data. A voiceover explains that such warnings of imminent computer failure are rare. Print ads in the campaign depict imagery such as an airport flight information board with the headline:“You arrive. Your laptop doesn’t;” a wedding cake frosted to read: “You will lose all of your wedding photos,” and coffee spilling out of a mug to read:“Your laptop will take a spill.” “We hear often, ‘If only I had known …’” Murray says. “The premise of the campaign is that we’re giving warnings, when, in fact, you’re not going to get warnings.” Previously, Carbonite had been running more direct-response and testimonial-type advertising, featuring satisfied customers. The company is taking a different tack with these ads after coming to the conclusion that people were aware enough of the product and service to go a bit further, Murray says. “We’re now past the point where we need to do information sharing, and now we need to engage consumers,” he says. “We found that a relatively straightforward approach wasn’t breaking through the way we needed it to.” The television ads will be running on cable networks during daytime and prime-time programming. The print ads will be running extensively as well. There will also be a radio component that features commercials as well as endorsements from well-known radio personalities on their shows, Murray says.
Despite ratings that have fallen since his late 2010 debut, Turner has extended the contract of TBS late-night host Conan O’Brien through April 2014. O’Brien does have appeal among advertisers looking to reach a young male audience and helps drive Turner’s efforts to command higher affiliate fee payments from cable/satellite/telco TV operators. Turner also suggested that gauging “Conan’s” success simply through linear TV ratings is shortsighted. The show generates added viewing via DVRs and digital platforms and sparks interaction via platforms, such as the Turner-operated (and ad-supported) TeamCoco.com. O’Brien also has 5 million-plus Twitter followers. (The man who preceded and followed him on NBC’s “The Tonight Show,” Jay Leno, has 326,000.) Turner added that “Conan” has created interest by taking the show on the road to New York and Chicago in June. Michael Wright, who heads programming at TBS and other Turner networks, stated that the company is “proud to be in business” with O'Brien for the “long run. Night after night, Conan and his team have put together terrific shows that draw a young and fiercely loyal audience,” Wright stated. “As if that weren't enough, they have also built a dynamic online presence that keeps fans engaged like no other show in late night.” “Conan” ratings have dropped since its debut in November 2010, partly because there was such a promotional blitz behind his debut. Also, the show is in a difficult time slot, facing off against Comedy Central’s Jon Stewart and Stephen Colbert and E!’s Chelsea Handler. Turner said that “Conan” has posted three straight months of growth, while ratings in the 18-to-34 demo were up 18% in January compared to October 2011. There has been an added 12% bump in February.
Google will move into traditional TV waters next year after filing for a couple of cable TV franchises in the Midwest last Friday. Google filed state regulatory papers for cable TV licenses for its Google fiber service in Kansas City, Kansas and Kansas City, Missouri. Two Sanford C. Bernstein Internet analysts, Carlos Kirjner and Craig Moffett, say this could mean the “broadband-only business model is not economically viable." Google owns the YouTube video platform. Last year, reports said that Google was considering a cable TV service in Kansas City with possible deals with Walt Disney, Time Warner and Discovery Communications. The incumbent cable provider in Kansas City is Time Warner Cable. What is Google's real intent? According to analysts, Council Bluffs, Iowa is home to a large Google data center -- a city within the cable franchise area. Another theory is that this will provide Google with the favored public policy position of Net-neutrality. It could also provide a laboratory for Google to learn about technology and consumer behavior -- the impact of higher-speed access on Internet usage, as well as the potential of different ad formats and models. Google TV Ads already sells TV advertising for a number of cable systems and some small- to mid-size cable TV networks. "We are still exploring what product offering will be available when we launch Google Fiber in Kansas City," says a Google spokeswoman. The scheduled launch will take place some time in 2012.
Bravo said a neuroscience study it commissioned shows advertising is much more likely to resonate when shown during a program with related content -- i.e., food brands during “Top Chef.” The study, conducted by Melbourne-based Neuro-Insight, gauged the live brain response of 150 people using 24 ads in categories ranging from automotive to entertainment to retail. The ads were within six series on Bravo and competitive networks, and compared consumers' brain reaction to ads related to the content with those where there was no direct link. The research found that in the brain regions where long-term memory is stored, neuro-activity on average is 15% greater when ads are contextually relevant to the content. Bravo said, however, that effectiveness is not simple -- such as a natural link between a Macy’s ad and “Fashion Hunters.” A “stronger impact” comes when the creative content has a certain appeal -- even if it is in a somewhat unrelated category -- such as when a car ad highlights the “beauty and glamour of the driving experience” airs during a fashion program. Bravo’s sales team pitches vignettes that can blend elements of a program with a brand. The network said those bring the highest level of recall. “Hybrid” spots that use a type of branded entertainment show “long-term memory storage” that is 19% higher on average. Pranav Yadav, the CEO of Neuro-Insight, stated that the company’s technology can work to help advertisers go beyond ratings and alter the program mix where there is a better chance of generating positive consumer response.
Broadcast programming on Tuesday night tightened up a bit -- leader CBS shrank slightly, while third-place NBC and fourth-place ABC picked up some viewers. CBS was at a Nielsen preliminary 2.9 rating/8 share among 18-49 viewers, down from a 3.1/9 the week before. Fox was just one-tenth of rating point behind at a 2.8/7, up from a 2.7/7. NBC rose to a 2.1/5 from a 1.9/5, while ABC inched up to a 1.7/4 from a 1.6/4. NBC's "The Biggest Loser" was the biggest gainer, up three-tenths to a 2.3/6. The highly rated shows of the night were CBS' "NCIS," which dipped a bit to a 3.8/10 for a 3.9 rating. Its companion show "NCIS: Los Angeles" lost three-tenths of a rating point to a 2.9/7. Fox's "Glee" at 8 p.m. rose to a 2.9/8. But "New Girl" at 9 p.m. drifted lower to a 3.0/8 from a 3.2 rating. ABC's "Cougar Town" went one-tenth of a rating point lower to a 1.7/4 after its premiere a week ago. Many of the network's other shows stayed the same. "Last Man Standing" remained at a 2.2/6 from a 2.2/7 (at 8 p.m.) and "The River" held steady at a 1.7/4 (at 9 p.m.). At 10 p.m., all network shows could get past the 2 rating mark. CBS' "Unforgettable" was more forgettable for some -- now at a 1.9/5 from a 2.3/6. But NBC and ABC picked up a bit: NBC's "Parenthood" rose to a 1.7/5 from a 1.6/4 and ABC's "Body of Proof" picked up 1.4/4 from a 1.2/3. Univision was up to a 1.5/4 from a 1.4/4. And the CW grew to 0.5/1 from a 0.3/1 -- thanks to a repeat of "Hart of Dixie" and an original "Ringer."
Big digital media companies may not think traditional TV has all the current right stuff – but they sure like the way TV gets to advertisers and its relatively quick and big media dollars. We speak of the upfront. Now it seems the likes of Google/YouTube, Yahoo, AOL, Microsoft and Hulu (yes, it does have traditional TV companies as partners) want to get closer to some of the $18 billion in upfront money that gets committed to big TV networks and studios over a relatively short time span of a couple of weeks. So during a couple of weeks in April, before most of the the broadcast and cable networks offer their presentations to advertisers, the digital media companies will take a crack at convincing marketers to make some long-term plans on their behalf. Trouble is, do they have key digital -- perhaps star-studded -- media assets to do it? When cable networks were in kind of the same position in the late 1980s and early 1990s, media executives sang the same song: "What's the rush? Is there anything I really need to buy?" Now, with the likes of original dramas and strong reality shows like "Jersey Shore" and "Pawn Stars," that is a different story. It has become necessary for media buyers to lock in some key cable programming assets to make up for lost ratings points on broadcast network shows. Can the same be said about stuff on YouTube, Yahoo or other places? While cable has gotten a lot better, broadcast networks are still king. During the upfront, they can sell 75-85% of their respective entire supply of commercial inventory versus 50%-60% for a broad range of cable networks. Digital video? What supply do they sell currently in year-long media plan deals? To be fair, home pages on the likes of Yahoo! Sports or Yahoo! Movies can be key assets for media money. But that may not exactly be like buying just premium TV/video -- even with top drawer pre-roll digital video inventory. Right now, the biggest thing any network TV upfront effort has is scale -- and something less tangible. Marketers may not truly believe it, or admit to it, but they want to be wowed and to have a fix on celebrity eye candy. Will Charlie Sheen make an appearance? Will Jimmy Kimmel make some biting remarks about TV stars and media executives? And what about the sushi? No sushi! Where's the fun in that?
Last week’s Cross-Platform Video Measurement Summit not only addressed new advancements in cross-platform measurement, it also provided an update on the state of return-path data. For those of us who have been grappling with how to best measure content in the world of Big Data, it was an opportunity to have some of the best minds in the business present their vision of the digital future. There seems to be embarrassment of riches in the cross-platform measurement arena. Research companies such as Nielsen, Arbitron, ComScore, Simmons, GFK MRI and Google are forming partnerships, merging data streams and creating market positions. But the ability to measure a specific piece of video across all potential platforms remains elusive. Artie Bulgrin from ESPN said, “We need passive real-time measurements” for cross platform in the form of universal watermarks. CIMM (The Coalition for Innovative Media Measurement) is doing just that – developing a universal watermarking protocol for the measurement of video across all possible platforms. This initiative, called TAXI (Trackable Asset Cross-Platform Identification) started in 2010 and, as Managing Director Jane Clarke announced, will be entering a Proof of Concept pilot stage this fall. As with CIMM’s Set-Top-Box Data Lexicon, which strives to form a common language for return path data measurement, TAXI should help create a common language for cross-platform: a universal watermark that enables video across platforms and across companies to be measured and compared. Moving the industry toward new measurement protocols takes time. Some are impatient with evolution and advocate an upending of today’s measurement shibboleths. As NBC’s Alan Wurtzel said, we need to “rethink the idea of TV video measurement and be open to new ideas.” Maybe that means dropping household and demographic group metrics (which are only proxies for individual behavior anyway) and focus on behaviorally segmented data. Return-Path Data is another area where measurement partnerships are finding fertile ground and where the need for a common language remains acute. In 2010, CIMM produced a Whitepaper on the STB Data Landscape. This whitepaper was recently updated, and the results were presented by GroupM’s Lyle Schwartz and ABC’s Mark Loughney at the Summit. Both the original whitepaper and the re-contact study are posted on the CIMM website. From 2010 to today, CIMM found that there has been positive movement in the use of return-path data, predominantly in the advancement of addressable advertising and local measurement. There has been much more acceptance over the past year of the use of data in various forms – both within companies and externally in the industry. There is even some movement toward standardizing the data with the creation of foundational datasets. But privacy concerns continue to be an important consideration in both cross-platform and return-path data implementation. In the area of RPD in particular, privacy is one of the reasons why there has not been greater rollout of data across all MVPDs. The perceived limited amount of data as well as the cost associated with the available data is a source of frustration for some data end users. For those of us immersed in big data for the media industry, the challenges of last year are still challenges this year. But forward movement is palpable. Some of these challenges are finally, albeit slowly, being met in the form of universal watermarks (for cross platform) and foundational datasets (in RPD). Can we be content with a slow but steady evolution -- or are we ready to foment a revolution?
Checking In? Immediately, I think of making a phone call to one's family. But the newer definition addresses a bigger media world -- letting your friends (and family), perhaps some strangers, a TV network or so, and some marketers know what you are doing. Formerly, checking in might have revolved around responsibility. Now you do checking-in for incentives -- points, discounts, coupons, or perhaps the availability of someone around the corner at the neighborhood bar. Too bad TV viewing used to seem all about checking out. But I guess checking in to, say, an NBA game or a Food Network program is a good idea if, respectively, I'm buying a car from Hyundai and there's a great deal connected to it or a real cool mac & cheese recipe from Kraft tied to a show. When you check in at a hotel, lodging assistants still can call you up a few hours later to ask, "Is everything with the room okay, Mr. Friedman?" That's a positive result from "checking in." In return, the hotel is just "checking in" with its customers. So, by the same token, would it be nice for a TV network to "check-in" the same way -- to see whether I had approved of the deep red-colored royal chairs on "The Voice," for example? Right now, TV check-ins are voluntary. But someday checking in may be required to win contests, be included in water cooler conversations, or maybe even watch the TV show itself! Checking in for shows will then officially be like what any social media poises to be: a big party. Right now it's a party where seemingly anyone can attend -- as long as you have something cool to say. But what joining the party -- and standing around with a drink in your hand trying to look cool -- becomes much more crucial? What if it becomes more like old school "checking-in" and missing the cut-off time, you're out in the cold, looking for other accommodations? What does that mean? I'll banish myself to channel 954, watching "Fur Life Daily." No check- in required.