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‘Roseanne’ Has Short Second Life — By The Numbers

By: Wayne Friedman
May 30, 2018

…Through the show’s brief returning run, “Roseanne” debuted to big ratings, then drifted lower — all as the show’s average unit 30-second commercial pricing soared.

SQAD, the advertising research company, says a 30-second commercial in the first three original nights of the show averaged $168,496, $142,367 and $107,967, respectively. (The debut night included two half-hour episodes, which were rerun on April 1).

SQAD’s “average” price was the result of factoring in “low” and “high” pricing, per the analytics firm.

National TV advertisers on ABC then witnessed dramatically increasing prices over the next several episodes: $182,960, $293,260, $176,643, $200,900, and $253,137. SQAD says the overall “high” price for “Roseanne” was $320,005 for episode six…

Read more at: MediaPost.

By |May 30th, 2018|In The News, News Room|0 Comments

Ad Cost Impact Analysis: Upfront TV Ad Sales

Upfront TV ad sales help shield networks from controversy and advertiser boycotts, says SQAD’s cost data

The Ad Cost Impact Analysis report released by SQAD LLC, an advertising research, analytics, and media planning software company, shows how networks like NBC and Fox News can be protected from revenue fluctuations in the face of controversies (see Matt Lauer) and/or advertiser boycotts (see Laura Ingraham).

“In analyzing the data from MediaCosts: National, we can clearly see that the impact of the boycott on Laura Ingraham’s program — initiated by tweets she made after the Marjory Stoneman Douglas High School shooting — was limited on the network’s bottom-line,” says SQAD Product Manager, Dan Klar. “Because so much inventory was sold in the 2017 upfronts, there was almost nothing an advertiser could do other than move their ads around on the network. It’s easy to see in the numbers that not only did Laura Ingraham weather the boycott well, her average ad price was up from before the boycott started.”

SQAD’s Ad Cost Impact Analysis for Upfronts includes insights for three popular programs that have recently experienced controversy or heightened attention. The report looks at the cost impact on “The Today Show” after revelations and allegations surfaced around Matt Lauer; the ad boycott on “The Ingraham Angle”; and the unexpected “Trump Bump” in ad values for “Fox & Friends.”

The power of the upfront buying process is clear when looking at examples like these. Networks provide themselves solid revenue consistency for the upcoming year even if a controversy takes the news cycle.

– Marc Krigsman, CEO of SQAD

“The power of the upfront buying process is clear when looking at examples like these,” comments Marc Krigsman, CEO of SQAD. “Networks provide themselves solid revenue consistency for the upcoming year even if a controversy takes the news cycle. The flip side of that coin is shown in the example of ‘Fox & Friends‘ where the network was not able to fully capitalize on their VIP viewer (Trump) until after the upfronts of 2017, when there was an obvious market cost correction based on the influence available to advertisers targeting that program.”

The full report is available for review on SQAD’s website: COST REPORT: The Impact of Upfronts on Networks

ABOUT SQAD

SQAD LLC has been an industry leader for more than four decades, processing more than $1 trillion in real transaction ad costs from advertising housekeeping system. Their MediaCosts data includes national broadcast, cable, and syndicated television, as well as local broadcast, cable, and Hispanic TV, radio, and out-of-home advertising. They also provide audience analytics research tools for Nielsen data through SQAD MediaLogic, and provide advertisers and agencies the mission-critical media planning software, MediaTools – a robust and flexible end-to-end media planning solution. Learn more at www.sqad.com.

By |May 29th, 2018|News Room, Press Releases|0 Comments

5 Game Changers Every Advertiser Must Know in May 2018

SQAD POD: 5 Game Changers Every Advertiser Should Know – May 2018

Industry news and insights podcast curated from the world of advertising and marketing trends.

All the April showers have finally delivered May flowers…and more showers. But nothing can dampen the momentum and trends for the ad industry. Now that the temperatures are warming up and spring is in the air, we’ve got the big news stories everyone is talking about from the world of advertising. This month, we’re exploring Facebook’s clear history tool, transparency around political ads, Amazon’s next big move, the power of proving ROI, and Netflix’s eye on out-of-home advertising.

1.Facebook’s “Clear History” Changes Everything

Facebook’s advertising platform is fueled by the massive amounts of data it collects from users, whether through the site itself or via Facebook plugins embedded in external apps, websites, and devices – delivering unprecedented targeting resources for advertisers while churning out tons of ad revenue for the social giant. However, from the words of Harvey Dent, you either die a hero or live long enough to see yourself become a villain – and it appears Facebook is inching its way towards to the latter (in the eyes of advertisers) as it looks to reimagine their relationship with user data. Thanks in part to new GDPR regulations, and the recent Cambridge Analytica scandal, Facebook is making big moves in the direction of user data protection and permissions. Up until now, there was no easy way of stopping Facebook from collecting user data, which has provided advertisers an all-you-can-eat buffet of unrestricted consumer data for targeted ads. But, CEO Mark Zuckerberg appears to be changing the game by announcing a “clear history” option that allows users to clear their browsing history stored by Facebook and to opt out of having their data collected. The implications are obvious: Facebook is no longer the reliable source of targeted consumer access, and advertisers are already looking for new solutions. It’s too early to tell if the changes to Facebook’s data model will break its current position as part of the duopoly with Google, but it’s clear that advertisers will need to start diversifying their digital ad strategies if they want to stay in front of their core buyers.

2. Lifting the Veil Off Political Ads

The digital space has exploded over the past decade as the new go-to channel for advertising, thanks to its ability to target audiences in a way that traditional TV, radio, and OOH never could. Look no further than the recent trends in political advertising spends, to see how powerful digital influence has become. But, recent revelations about collusion, foreign manipulation, and data breaches have resulted in regulations that crack down on digital political advertising and demand more transparency. This comes at a time where heated political issues dominate the media, as well as social media – where many operatives have leveraged loopholes for unverified content, to boost political campaigns, stoke racial unrest, deepen divides, and prey on the base fears of core constituencies. Promoted content for political propaganda has saturated social media newsfeeds over the past few election cycles, and now online companies are trying to do something about it. Specifically, Google is leading the way by requiring anyone purchasing a political ad, to have documents proving that they are a U.S. citizens or lawful permanent residents. Additionally, the company will release a Transparency Report that will document who is buying election-related ads and how much money is being spent. Google will also be requiring political ads to have full disclosure as to who is paying for it. If implemented and fully enforced, this could drive changes in other ad platforms and provide much-needed transparency, in a time where truth and transparency are in short supply.

3. Amazon on the Advertising Offense

While it’s not “breaking news” that Amazon is trying to position itself as a major player in the digital advertising world, some of their recent moves are really changing the game. The e-commerce giant is introducing a new tool that allows merchants selling in its marketplace, to purchase ads that will track users around the Internet and lure them back to Amazon for purchases – targeted remarketing. Normally, the fact that those running shoes you checked out on Amazon are showing up on other web pages would be blamed on Google. But now Amazon wants to do the targeting and be the beginning and ending of all advertising for products and services provided through their vast marketplace. The Amazon ads will be bought through a bidding system (similar to Google) and will appear on other websites and apps (similar to Google), giving merchants an opportunity to reach more eyeballs and thus more potential customers – all without getting Google in the mix. The new tool is undoubtedly one of Amazon’s most aggressive moves in the battle for advertiser dollars, and they’re clearly gunning for Google. Being a one-stop-shop for all the advertisers and content creators distributing through Amazon platforms could be a game changer and drive a real wedge in the duopoly of Facebook and Google.

4. NBCU and iSpot Team Up to Prove ROI

Advertisers want to see results. Results may come in the form of leads and increased brand awareness, but ultimately it comes down to the dollar signs. How much revenue is a campaign bringing in for the company? NBCUniversal has teamed up with iSpot.tv to provide ROI answers for advertisers – and ensure NBCU networks are the first choice for those advertising dollars. The partnership will provide advertisers with an outcome measurement that tracks ROI indicators such as web traffic and sales, specifically for TV advertisements. TV networks have been able to provide viewership guarantees, but now NBCU is stepping up the game to prove the actual effectiveness of ads with real hard data. Pairing with iSpot gives the network valuable viewing data, which they can use to track households that visited websites of brands they viewed on TV. The availability of this data has the potential to put pressure on other platforms to provide the same type of transparency or run the risk of being dismissed as immeasurable. Bringing real ROI measurements into the world of TV advertising will change the game, and help the aging linear format compete with the ever-growing dominance of digital ads.

5. Netflix Buys OOH Business, Because Why Not?

Digitally-native companies are starting to flock to out-of-home (OOH) advertising because they know people tend to skip, block, hide, or ignore ads that pop up online. With OOH, there are no options to skip the ad and it typically isn’t even interruptive to begin with – it’s just there, whether on a bus station shelter, a vending kiosk, or a billboard. A potential consumer just happens to pass by it, they get an impression of the product, and then through repetition, gain a relationship with that brand. The inability to “skip” an OOH ad is driving a bit of a renaissance for the industry as companies look for effective ways to get meaningful impressions with consumers. So it may not come as a surprise that there are whispers going around the industry, that Netflix is looking to acquire Regency Outdoor Advertising, a company that sells OOH spaces in California, Netflix’s home state. The streaming giant is probably thinking: why continue to pay rent on a billboard when we can own the billboard outright? Netflix is offering $300 million for Regency, and based on their advertising budgets, it will earn that money back in no time with savings. Plus, they can rent out the inventory to other companies when not in use. It’s a win for them, and a potential game-changer for the industry as a digital giant gets into the business of physical advertising.

By |May 24th, 2018|Game Changers|0 Comments

COST REPORT: The Impact of Upfronts on Networks

Upfronts occur every year to provide an opportunity for networks to sell their ad spots for the upcoming season. Traditionally, they take place during the last half of May but starting in 2017, they have begun as early as March and have run through May.

The upfront buying process impacts both advertisers and networks, but this report will focus on how they affect networks.

Upfronts can provide cost protection and consistency in times of social volatility and controversy, (including changes in the social trends, shifts in viewership, changes in talent, boycotts, and more) but may also limit the network’s ability to capitalize on unforeseen successes, or better-than-expected performance.

The SQAD Data Team jumped into our numbers to show recent examples that illustrate both the positive and negative effects of Upfronts on a network.

Below are three example cases that show the impact of upfronts on a network.

IN THIS REPORT:

EXAMPLE 1: The Trump Bump for Fox & Friends

Depending on the volume sold, a network may not be able to fully capitalize on unseen ratings spikes, social interest, or attention that might otherwise temporarily drive up the market value of a program’s ads.

QUESTION: Can a single viewer (Donald Trump) impact unit costs for Fox & Friends on Fox News 

 

Average Before 2017 Upfronts
(Jan-Jun)
Average Immediately After Upfronts (Jul-Sept) % Change from Jul-Sept to Oct Average After Upfronts (Nov 2017-Apr 2018) % Difference Before vs. After Upfronts
$2,445 – $2,877 $1,983 – $2,399 82.9% $3,329 – $3,988 37.5%

 

Before the 2017 Upfronts

Despite the general knowledge that the newly elected U.S. President watched Fox & Friends daily, for the first six months of Trump’s presidency (January through June 2017), combination unit costs for the show remained relatively steady, hovering around the range of $2,445 – $2,877. This is because the majority of 30-second ad values had already been locked in during the 2016 upfronts.

After the 2017 Upfronts

  • Beginning in September 2017, the data shows a clear increase in unit costs as 2017 upfront purchases begin to hit the house-keeping systems.
  • By October 2017, we see the new “normal” rate appear, causing a 83% unit cost jump to an average of $3,329 – $3,988 per 30-second ad.
  • Through most of Q1 2018, the show maintained a strong year-over-year performance.
  • Despite a slight downward trend in overall network unit costs since October 2017, averages after the 2017 upfronts were 38% higher compared to averages before the upfronts.

ANSWER: Trump’s affinity for Fox & Friends had a disproportionate impact on the unit costs compared to viewership rating, illustrated by the pre- and post- upfront trends (see graph above).

While Trump’s affinity for the show was known post-inauguration, it wasn’t until after the 2017 upfronts that we saw Fox was finally able to correct market-value in unit costs. While the market-value of the ads may have increased as a result of Trump’s viewership, we can clearly see that this did not affect the unit costs until the network could reset the ad values during the 2017 upfronts.

This may illustrate how the volume of advertising time sold during the 2016 upfronts caused the combination ad values to be artificially deflated (compared to market value) and limited the network’s ability to capitalize on their VIP viewers.

Because the U.S. President holds a 4-year term, his ongoing interest in the show has allowed the network to make a market correction during the 2017 upfront buying season. With the 2018 upfront buying season in full swing, we will have to wait and see if Fox News can continue to capitalize on its captive audience.

EXAMPLE 2: Matt Lauer Allegations & Termination 

The high volume of media sold in the upfront buying season can have a revenue insulating effect for a network in times of controversy, so long as that controversy is short-lived and the network can quickly pivot from the news cycle.

QUESTION: Did the Matt Lauer controversy affect unit costs for The Today Show?

Analyzing the combination ad cost data prior to the Matt Lauer revelations in November 2017, we see that the show was already trending 12% under the previous year, with unit costs averaging between $44,502 and $52,993 during Q4 2017. The weeks following his termination saw a decline in unit costs. However, when we take a deeper dive into our SQAD data, these declines appear to be consistent with standard holiday season adjustments.

The following analysis was done for The Today Show during the 7AM-9AM time block.

COMBINATION COSTS

 

Year Q4 Average Before Holidays % Drop During Holidays Q1 Average After Holidays (Rebound) % Difference Before vs. After Holidays
2017-2018 $44,502 – $52,993 -51.7% $35,634 – $42,434 -19.9%
2016-2017 $50,368 – $60,113 -46.8% $38,834 – $46,347 -22.9%
2015-2016 $50,237 – $58,997 -51.0% $40,248 – $47,266 -19.9%

 

We first look at the combination numbers for the show over the course of the past three years.

The Seasonal Holiday Dip

  • Q4 2017 unit costs during the holidays (Week of 12/18 to the Week of 12/25) dropped more than 50% from $43,728 – $52,072 to $21,132 – $25,164.
  • In Q4 2016, we see a 46.8% drop in unit costs during the holidays.
  • Looking back yet another year to Q4 2015, unit costs fell a similar 51% during the holidays.

Based on historical year-over-year data, the drop in unit costs around the time of the Matt Lauer controversy is most likely related to seasonal adjustments. With that said, there is something interesting to see in the recovery data after the holiday declines.

Post-Holiday Recovery

  • In Q1 2018, unit costs averaged between $35,741 and $42,561, 19.9% lower than the pre-holiday rates.
  • In Q1 2017, the post-holiday rebound was 22.9% lower than pre-season numbers.
  • The rebound in Q1 2016 was 19.9% lower than pre-holiday rates.

Year-Over-Year Recovery Performance

What’s interesting to note is that the post-holiday recovery for 2017-2018 season was better than the 2016-2017 season, narrowing the unit cost difference between the two years (see trends for the orange and blue lines in Graph 2).

  • Prior to the holiday season decline, Q4 2017 average unit costs were trending 12% less than the Q4 2016 average unit costs.
  • After the holidays, Q1 2018 unit costs came in only 8.4% under the Q1 2017 average unit costs.
  • In 2018, The Today Show improved their Q4/Q1 rebound trend by about 4% year-over-year.

We cannot specifically attribute the improved post-holiday recovery trend for Q1 2018 specifically to the speedy resolution of the Matt Lauer controversy. There are many factors in play for the Q1 2018 numbers beyond how NBC managed the revelations, one of which includes the Winter Olympic broadcast on NBC.

SCATTER COSTS

 

Year-over-Year Recovery Performance

To support the data showing a better-than-average post-holiday recovery, the scatter data from the same time period last year shows some key details about the existing market conditions before and after the Lauer controversy:

  • Before the holiday season and during the controversy, Q4 2017 scatter unit costs were trending 1.4% better than the Q4 2016 average unit costs.
  • After the holidays, the year-over-year costs improved further with Q1 2018 scatter costs soaring 16% higher than Q1 2017 costs.
  • The Today Show improved its Q4/Q1 scatter rebound trend by 15% year-over-year despite controversies surrounding Matt Lauer and the program.

The scatter year-over-year trend confirms the combination trend showing that the 2018 post-holiday season experienced a better recovery rate than the year prior. In the overall numbers, we see a better than expected post-holiday market correction in scatter ad costs directly after the Lauer issue.

ANSWER: It is unlikely the Matt Lauer controversy had a negative effect on the average unit costs for The Today Show.

Due to the overall consistency in trends analyzed across the years (in both combination and scatter), it appears that NBC was shielded from the negative effects of the controversy because of the protective power of upfront buying. It is possible that the data indicates the speed with which NBC handled the Matt Lauer revelations, combined with the added marketer interest in the network’s ad inventory during the Olympic Games, contributed to a better-than-expected Q1 performance in 2018.

EXAMPLE: The Ingraham Angle Ad Boycott of April 2018

Advertiser boycotts are meant to send a message to a network’s bottom line – forcing them to decide if the potential loss of revenue is worth maintaining the programming or personality at the center of the controversy.

QUESTION: Did Fox News lose revenue from The Ingraham Angle ad boycott?

 

Average Before Boycott/Break % Change During Week of Break Average After Break % Difference Before vs. After Break
$12,740 – $15,052 16.7% $14,395 – $17,007 13.0%

 

The Ingraham Angle on Fox News was faced with these questions when Laura Ingraham encountered advertiser pressure following a controversial Twitter comment she posted about one of the students from Marjory Stoneman Douglas High School, after the shooting in February.

While advertisers pulled their ads from her program, the network still had the committed funds in form of upfront purchases made months before the boycott.

Unit Costs During the Ad Boycott

The SQAD Data Team extracted ad costs from the entire first quarter of 2018 to identify any trends in the cost data. Contrary to what may have been expected, when advertisers began the boycott, the data shows an uptick in unit costs. Costs increased during the week of Ingraham’s “planned vacation” from the show – as advertisers continued to demand their ads be pulled from the time slot.

Ingraham’s Return

After Ingraham’s return to the show, unit costs sustained higher levels than before the boycott.

  • From the beginning of 2018 up until Ingraham’s break during the week of April 2, unit costs for the show averaged $12,740 – $15,052.
  • Comparing the week before her break to the week of her break, we see a 16.7% uptick in unit costs.
  • After Ingraham returned to the show, unit costs have sustained an average higher than the one before the controversy, in the range of $14,395 – $17,007, which is 13% higher than pre-break rates.

ANSWER: FOX News was not adversely effected by the ad boycott on The Ingraham Angle.

Even as advertisers pulled ads from the show, they did not pull dollars from the network thanks in part to upfront commitments. When advertisers entered their final costs into their housekeeping system, we see the unit costs did not experience a dip, as may have been expected under the circumstance.

According to the reported cost data during the time, unit costs actually increased after the boycott, to averages higher than those pre-boycott.

CONCLUSION

The above examples show that upfronts can be both beneficial and detrimental to a network. On one hand, they can provide a network with protective padding in the face of controversies or changes that would otherwise have a negative impact on revenue. On the other, upfronts can deprive networks of additional ad dollars in the event of better-than-expected performance.

Upfronts continue to prove essential to the TV industry in maintaining predictable revenue streams even in the face of unforeseen volatility and social opinion shifts.

By |May 22nd, 2018|SQAD Data Reports|0 Comments

DATA REPORT: Is “Megyn Kelly Today” Costing NBC Ad Dollars?

DATA SOURCE: SQAD MediaCosts: National (NetCosts)

Since Megyn Kelly made her transition from The Kelly File on Fox News to Megyn Kelly Today on NBC, many outlets have reported ratings declines for the 9:00 AM Today Show block. The question posed to our Data SQAD is, “What is the financial impact of Megyn Kelly Today for NBC?”

The Data SQAD went into our MediaCosts: National database to see how Kelly is performing in terms of unit costs and found some insight that reveal the financial side of the reported story.

To get a sense of how the ad value of the show performed in real-time (beyond initial upfront buys), our team pulled the scatter data from when Kelly started in the 9:00 AM slot on NBC in September 2017 through April 2018.

IN THIS REPORT:

MONTH-OVER-MONTH TRENDS

MONTH-OVER-MONTH ANALYSIS

  • When Megyn Kelly Today premiered on NBC in September 2017, unit costs for the 9:00 AM block initially saw a 22% month-over-month drop – this may not be related to Megyn Kelly and may represent inventory commitments already in place prior to her premiere.

  • From October 2017 to November 2017, average unit costs spiked 62% from $11,275 to $18,255.

  • The show experienced an 18.5% ad cost dip from January to February 2018, which is likely related to Olympic coverage.

YEAR-OVER-YEAR TRENDS

YEAR-OVER-YEAR ANALYSIS

Since Kelly’s premiere on NBC, November 2017 – April 2018 shows an aggregate 7% increase year-over-year. Looking at yearly trends by month:

  • In November 2017, unit costs were 12.6% higher year-over-year

  • December 2017, 12.5% higher

  • January 2018, 17.2% higher

  • February 2018, 14% lower (possibly due to the Winter Olympics)

  • March 2018, 3% higher

  • As of April 2018, the show continues to bring in higher year-over-year scatter unit costs, averaging 11% higher than April 2017.

SCATTER VS. COMBINATION VOLATILITY

For context, the graph below shows the unit cost volatility of both scatter and combination for the 9:00 AM programming block on NBC since Kelly’s premiere in September 2017.

CONCLUSION

Although much of the reporting around Megyn Kelly Today is focused on her ratings, it would appear that NBC is looking at stronger revenues for the 9:00 AM time slot with Kelly at the helm. If she can continue to beat the year-over-year numbers, and maintain a solid base of loyal viewers, it’s unlikely NBC will pull the plug any time soon.

By |May 18th, 2018|SQAD Data Reports|0 Comments

IAB says digital ad revenues up 21% to $88B in 2017. Left unsaid: The duopoly dominated that growth

By: Ginny Marvin
May 10, 2018

…Despite mobile’s ascendance, desktop revenues still grew in 2017, with a CAGR of 6 percent over 2016.

CPMs also increased in 2017, according to data from SQAD.com shared by the IAB. CPMs for in-stream video were up 3 percent 2017 year over year to $25.22, and CPMs for display rose 6 percent to $14.72 on average.

Social media isn’t broken out as a format, but its share of revenue topped 25.2 percent in 2017, reaching $22.2 billion. Facebook, of course, accounts for the bulk of social media advertising spend in the US…

Read more at: Marketing Land.

By |May 11th, 2018|In The News, News Room|0 Comments

NBC While Ratings Challenged, Megyn Kelly Today Is Boosting NBC’s Bottom Line

By: A.J. Katz
May 10, 2018

…And while it’s true that ratings are down from what the 9 a.m. hour had been delivering pre-Kelly, the new show is actually helping NBC’s bottom line more than its predecessor.

SQAD, an advertising research, analytics, and planning company, found the per unit cost to advertise on the show is on the rise. SQAD went into its MediaCosts: National database to see how the show is performing in the scatter market–when ad time is bought during the season as opposed to during the upfronts. This month-to-month unit data is from September 2017 (when Kelly debuted in NBC’s 9 a.m. slot) through last month…

Read more at: AdWeek.

By |May 10th, 2018|In The News, News Room|0 Comments

5 Game Changers Every Advertiser Must Know in April 2018

SQAD POD: 5 Game Changers Every Advertiser Should Know – April 2018

Industry news and insights podcast curated from the world of advertising and marketing trends.

With Spring and Winter still battling it out hour-by-hour for ultimate dominance (it’s 70 degrees one minute, then we’re bundling up for snow the next) we’re not sure what season it’s supposed to be. At least the cherry blossoms are finally busting out of their long sleep and in the advertising world, we’re shaking off the winter cold and looking forward to the brighter days of consumer engagement and big profits. This month, we’re talking about brands partnering with nonprofits to increase impressions, how data privacy concerns are transforming advertising, YouTube and Hulu’s plans to act like broadcast networks, P&G’s shakeup of their agency models, and NBCUniversal’s new combined metric.

1. Digital Ads & Nonprofits: A Win-Win Situation

Web users are hardly ever enthusiastic about clicking ads on websites unless they are laser-targeted (and even then there is a fine line between “timely” and “creepy”), but a new startup wants to change the way people feel about interacting with digital ads. A startup called Givewith is looking to help advertisers incentivize users to click through digital ads by tapping into users’ altruism. It’s developed a process that directly donates money to a brand’s chosen nonprofit each time an ad is clicked – or in the case of video, watched for a certain amount of time. The hope is that people are more compelled to click an ad if they know money will be donated to a good cause. While this can help brands increase click-through rates, they’re also likely to see a soft boost in consumer sentiment as their recurring ads are tied to a well-meaning nonprofit. As a proof of concept, Dell worked with Givewith to create a digital ad in partnership with Waterkeeper Alliance, a clean water nonprofit. The ad was programmed so that when potential customers clicked on it, money would be automatically donated to Waterkeeper Alliance. Users were also directed to a landing page that allowed Dell a backdoor-brag about their use of recycled ocean plastic in their packaging. While it looks good on paper, it’s too early to know if consumers will buy into the idea of “click-to-give” advertising and whether it’s the answer for advertisers to gain qualified clicks via digital ads.

2. Brands Proceed with Caution Around Third-Party Data

The ease with which demographic data is shuffled between platforms and apps is now being questioned, with none other than Facebook in the hot seat. The questions on the table revolve around the morality of data scraping and using it to shape perceptions through paid content – whether it’s sentiments about a clothing brand or a political figure. Amid Facebook’s ongoing Cambridge Analytica scandal, the social media giant shut down its Partner Categories program, which allowed data vendors to directly provide valuable third-party information to advertisers on Facebook. It looks like it’s also implementing a permissions tool to get ahead of the EU’s General Data Protection Regulation (GDPR) policies, which requires companies to obtain permission from users before they can use their data for advertising and communications purposes. Facebook’s tool will require advertisers to certify they have permission to collect data outside of Facebook for use in targeting within the platform. Because most advertisers are several steps removed from the people they retrieve data about, it will be challenging for many to prove direct opt-in permission. Even though the GDPR policies are making landfall in the EU in May, it will certainly change the game for advertisers around the world. With more focused attention on privacy and personal data in the US, there are rumblings of a GDPR-like regulation on the horizon. Thanks to a few “bad eggs” taking advantage of Facebook loopholes, we may be on the cusp of an entirely new digital advertising world that may impact every online advertiser.

3. More Competition for Live TV Ads

Hulu and YouTube are set to start selling ads during live broadcast streams on their platforms – a move that will most definitely disrupt traditional broadcast TV advertising. Essentially, this move makes these two streaming services a real threat to the revenue model of traditional cable providers. The companies plan to start selling ads targeted to relevant audiences through their websites, over-the-top services, and mobile apps. If these ads are sold as a standalone a package (meaning, not part of a broad impression-based demo buy) then it would mean Hulu and YouTube could give advertisers freedom to choose exactly which shows they want to advertise on – just like network TV and cable providers do. The ability to target consumers while they stream their favorite live programming on these platforms could be a real game changer. The introduction of these types of ads on streaming services will be another giant swipe at the traditional media model and accelerate the seemingly unstoppable cord-cutting trend.

4. P&G Unleashes New Agency Models

Proctor & Gamble, one of the world’s largest advertisers, dominates the industry with its extensive network of brands and is about to shake things up with the creation of three new agency models. The first model will be comprised of multiple agencies led by Publicis Groupe, which will primarily be responsible for P&G’s fabric care brands including Tide, Gain, and Downy. The second model, called “Fixed and Flow”, designates agencies a fixed retainer of scheduled work each year, with a budget reserved for other projects that can be allotted to other agencies. The last model is the one we have been seeing develop over recent months, and that is the company taking more of the media planning and buying back into its own hands, clearing middlemen to make room for more efficiency and control. Some have speculated that P&G’s massive influence and new agency models will shake up the status quo and transform the advertising world. It’s too early to say, yet. Not many companies have the vast resources and buying power to pull off this type of advertising structure. But, if other mega-advertisers were to follow suit, the transformation in the industry would be massive.

5. New Year, New Metrics

The advertising world has rapidly become a digital-focused industry, with increasing emphasis placed on web and premium video content. As consumers steadily flock from traditional TV to online and over-the-top, advertisers and media companies need to innovate their data reporting to show advertisers the true impact of their ad spends. Looking to get ahead of the game, NBCUniversal is introducing a new metric called CFlight, which not only includes traditional linear data from Nielsen, but also digital data from comScore and other research companies. NBCU tested this metric during this year’s Winter Olympics, selling ads based on a measurement that combined both types of viewing (which they called Total Audience Delivery). CFlight will take third-party data and work closely with agencies to fine-tune the measurements, to ensure the product is churning out accurate numbers. This is potentially game changing in terms of how we measure audience data, and will likely be a dynamic shift for NBCU during the 2018 upfronts.

By |April 26th, 2018|Game Changers|Comments Off on 5 Game Changers Every Advertiser Must Know in April 2018

MSNBC, CNN Make Unit Pricing Gains, But Fox News Slips

By: Wayne Friedman
April 17, 2018

…Prime-time shows on MSNBC and CNN shows have seen modest to big double-digit percentage hikes in the average 30-second commercial unit price, according to SQAD, the media cost research/analysis company.

In March, MSNBC’s “The Rachel Maddow Show” (9 p.m.) was up a big 25% from January — at $8,442 for a 30-second commercial. “The Last Word with Lawrence O’Donnell” (10 p.m.) is 5% higher now at $5,70, while “All In With Chris Hayes” (8 p.m.) inched up 1% at $5,235…

Read more at: MediaPost.

By |April 18th, 2018|In The News, News Room|0 Comments

Ad Prices On Fox’s ‘The Ingraham Angle’ Fall In The Wake Of Advertiser Boycott

By: Jonathan Berr
April 12, 2018

…The average price for a 30-second spot on The Ingraham Angle for the week of April 9 to April 13 was $11,305-$13,405, compared with $12,310-$14,732 during the week of March 26 to March 30, according to SQAD, a company that provides advertising analytics and planning tools.

Keep in mind that the media firestorm over Ingraham’s comments started on March 28 and that there may be other reasons for the price fluctuations. According to SQAD, the drop off in ad prices “is not particularly noteworthy yet” and noted the vast majority of the show’s commercial time is sold in advance at the upfronts as it is for most TV ads…

Read more at: Forbes.

By |April 13th, 2018|In The News, News Room|0 Comments