Silence.
Which led to a contemplative moment.
In the past, when I purchased linear TV inventory -- national or local -- there was a gross fee. An ad agency purchases at gross cost but receives the traditional less 15% net bill in the mail -- I mean, electronically. Ad-supported video-on-demand billing is split: sometimes gross, sometimes net depending on the TV network/media company. TV network spots coupled with digital commercials purchased through upfront “unified packages” are grossly charged. TV network digital inventory (full episode players, TV Everywhere apps) purchased unaccompanied by linear TV inventory is net. Over-the-top (OTT) or connected TV inventory digitally slotted and generally purchased by digital folk is net. Streaming video destinations net. Programmatic TV national platforms offer a choice depending upon lineage.
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If the parent company existed in the post-Paleolithic age of media -- that time period occurring after smoke signals and drum pounding were no longer in vogue -- most likely billing would be gross. However, if it was borne out of the neo-post Paleolithic age when broadband ad networks roamed the realm, then it would be billed net.
“What do you mean?” the voice queried.
Which led to a contemplative moment.
Tina Turner.
Most people are familiar with Tina Turner’s 1984 breakout single “What’s Love Got To Do With It?” Few are aware that it was originally titled “What’s Gross Got To Do With It?” My understanding: as the single was going to press, an A&R guy (artists and repertoire) called for a title change and a modification of a lyric or two. A sample:
What’s gross got to do, got to do with it.
What’s gross but an old-fashioned
notion.
What’s gross got to do, got to do with it.
Who needs a new billing metric
When at heart the system is not really broken.
It may seem to you
That I’m
acting confused
When you send a bill
If I tend to look dazed
I’ve read it someplace
That I got cause to be amazed.
I’ve been thinking on taking a new
direction
But I have to say
I’ve been thinking about my own protection
It scares me to feel this way.
What’s gross got to do, got to do with it.
What’s
gross but an old-fashioned notion.
What’s gross got to do, got to do with it.
Who needs a new billing metric
When at heart the system’s not really broken.
Dial tone.
Mitch this is as informative and funny an article as i've ever had the pleasure to read in the trades including my own. Thanks! Keep knockinem outa da park baby! Best, Bill
Nice one Mitch, that put a smile on my face, on what would be a dreary day otherwise.