• by Wayne Friedman , July 16, 2007

With 95% of its upfront activities completed, Turner Broadcasting has pulled in north of $1.2 billion for all its entertainment ad-supported networks, according to media estimates.

David Levy, president of Turner Entertainment Advertising Sales and Marketing and president of Turner Sports, said all of Turner's networks posted average cost-per-thousand viewer increases in the "low double-digit" range. In addition, its revenues climbed by about the same rate.

Levy would not disclose other specifics, such as the level of inventory sold during this upfront. "We sold about the amount that I want to; we are well situated for the scatter market," he said.

For 2006, TNT grabbed $1.05 billion in advertising; TBS posted $753.6 million; CNN rang up 378.5 million; and Court TV took in $223.4 million, according to TNS Media Intelligence. Cable networks typically tend to sell anywhere from 50% to 60% of their inventory in the upfront market.

Other cable networks, such as Hallmark Channel, also recently reported high double-digit increases in the upfront. Media executives believe Turner's gains, and those of other networks, were somewhat lower--perhaps in the high single-digit arena on the cost-per-thousand viewers (CPM).

Turner's recent acquisition, Court TV, now to be called truTV, was one of its biggest stars. Levy says that with a 25% to 30% increase in ratings, the network drew a big response from advertisers. "We grew 20% in the revenue, and we sold more inventory [than the year before]," he notes.

"The market didn't surprise me," says Levy. "Demand outweighed supply. The last three quarters of scatter were very strong. I also believe advertisers put more scatter money into this upfront."

Other factors will tighten the market and force pricing up, according to Levy. They include the move to commercial ratings, which will shrink the supply of gross ratings points. Next year, 2008, is a presidential election--which historically tends to tighten supply. Also, 2008 is an Olympic year. "Advertisers tend to spend more in an Olympic year," he said.

Turner says a number of advertising categories had dramatic media spending rises in this upfront versus a year ago: movies, insurance and telecommunications.

The network's new creative advertising efforts--those in response to the shift to commercial ratings from program ratings--included plans to sell a limited amount of commercials in its movies.

TBS also did well for its "bit-coms"--minute-long or so vignettes in which a comedian might tell a funny story or joke about a service or product. Levy would not reveal any advertiser specifics.