AMC: Scatter Strong, But Ad Buys More Cautious

Mad-MenAMC Networks chief Josh Sapan said that pricing remains strong in the scatter market, but advertisers are placing buys closer to air date than a year ago, which he characterized as “an indication that there is some more tentativeness in the market than there had been.”

That gives the company, which has four national networks, less visibility on demand levels, but Sapan said there has been no sign of advertisers wanting to exercise cancellation options at levels notably different than historic trends.

Sapan made his comments on AMC Networks’ investor call last week, while announcing third-quarter results. Ad revenues were essentially flat, but Sapan said that was expected, considering “Mad Men” did not air in the quarter as it did in 2010. 

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So far this year, ad revenues are up 12% for the four networks. The current October-December will be helped by the strong pricing and volume growth the company landed in the summer upfront, Sapan indicated. 

AMC Networks said revenues for the national networks in the third quarter, which include affiliate fees, rose 3.9% to $258.3 million. 

So far this broadcast season, using one measure, ratings in the 18-to-49 demo are up at the AMC (19%) and IFC (7%) networks, while WE has experienced a 14% slowdown.

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