Wired
America's transition to over-the-air digital television signals netted the government $19 billion in a wireless spectrum auction. But the transition was doomed by a flawed voucher program and a time frame that left the country stranded between administrations. The voucher program, which will cost taxpayers $1.99 billion instead of $1.34 billion, could not keep up with demand. Yet awareness was not the problem. Only 25,000 people called the FCC help centers on February 18, when 421 television stations stopped broadcasting analog signals, per the National Association of Broadcasters. "Findings from local stations, coupled with the FCC data, showed …
Mediaweek
With the growth of place-based video networks, Show & Tell, an out-of-home media production company for large-scale digital billboards, sees an opportunity to expand its business. It is forming a new division to serve as a production resource for ad agencies, brands and media buyers of digital out-of-home networks on small screens. Show & Tell currently handles creative and software solutions for large-scale signs, including many in Times Square. "Many marketers increasingly realize the value of the digital out-of-home space, but at the same time are hesitant to navigate the medium's complexities. Most people just think of it …
New York Post
Advertisers and agencies kicked off contract talks with the two actors unions, the Screen Actors Guild and the American Federation of Television and Radio Artists. The two sides are bargaining against the backdrop of a bitter labor dispute between SAG and the major Hollywood studios, which are at an impasse after the union rejected a last ditch offer from the studios over the weekend. Although the ad industry employs more actors than either television or film, the upcoming commercial contract has not garnered anywhere near as much attention as the Hollywood drama. At issue is a complete …
Advertising Age
General Motors and Anheuser-Busch InBev, maker of Budweiser, are among major marketers asking ad and media outlets to wait as long as 120 days to be paid for production costs and media outlays. Many firms and trade groups say the massive companies are essentially bullying their media and advertising vendors into making them no-interest loans. In early February, A-B told all its TV, radio, cable and other media-outlet partners that it would be taking 120 days to fill invoices going forward. It previously paid bills every 30 days. "They're using the interest on that float to pay down their …
TV Week
The Golf Channel sprang into action with Tiger Woods' announcement that he would return to competitive play in the World Golf Championships in Tucson early this week. Golf Channel broke away from its live coverage of the Northern Trust Open for a special update on Woods' announcement last week and quickly began airing promos and commercials touting the return. The network will be the first to show Woods in action since he played on a badly injured knee while winning the U.S. Open last June. NBC carries the later rounds of the World Golf Championship over the weekend. …
Mediaweek
As a way to deal with the downturn, Rodale's CEO Steve Murphy is prepping a new slew of consumer- and ad-supported spinoffs for 2009, building on its stable of health and fitness magazines, books, DVDs and events. Today's tough times require a mix of media products that don't depend on ad support, says the publisher of Prevention and Men's Health. New sidelines for Men's Health editor David Zinczenko include a restaurant version of the bestseller "Eat This, Not That!" In addition, Men's Health and Women's Health will each come out with a "Big Book of Exercises." Women's Health …
Reuters
Omnicom Group agencies have won about $150 million in advertising, marketing and media work for Hewlett-Packard after an agency review. Omnicom Media Group won HP's media planning and buying duties, which were previously handled by Publicis Groupe 's Zenith Optimedia. Additionally, a group of Omnicom agencies, including Rapp, were awarded HP's Technology Solutions Group account, which includes a range of advertising, direct marketing, search, digital and media duties. Overall, insiders say the revenue on the accounts represents an estimated $150 million to $200 million annually.
Advertising Age
An unexpected finding is emerging from the smoldering ruins of one of the ugliest financial quarters TV has ever encountered. Evidence suggests that TV advertising is working better than ever. An ethnographic study due to be released next month by Nielsen, research firm Sequent and Ball State University finds TV remains the dominant medium to reach consumers, even youth, despite the inroads of social media and digital technology. When it comes to the average sales lift per rating point of TV ads, Television is also holding its own. According to marketing-mix analysis by Aegis Group's Synovate, aggregate TV has …
The Associated Press
Newspaper publisher the Journal Register filed for Chapter 11 protection Saturday, joining other publishers that have turned to bankruptcy court to deal with slumping ad revenue and circulation. The Journal Register owns 20 daily and 159 non-daily newspapers serving the Philadelphia and Cleveland, areas as well as Michigan, Connecticut and parts of New York state. It has about 3,500 employees. The publisher says it expects to operate as usual during restructuring and didn't anticipate any interruption in business. The company has been struggling for months with a massive debt that pushed its credit rating into junk status. Journal …
All Things Digital
The New York Times Co. said Thursday it is suspending its quarterly dividend in a move to preserve cash, as ad spending continues to decline. The suspension of the payout comes after the company slashed its dividend to 6 cents from 23 cents in November. "The decision provides the company with additional financial flexibility given the uncertain business outlook," says Arthur Sulzberger, Jr., chairman. That's tough news for the Sulzberger clan, which has been living quite well off the Times' dividend for a long time. And it is a sign that the paper's cash crunch hasn't been eased …