Microsoft has announced that XBox will become a player in the bidding war for advertisers dollars, and would like a digital upfront for advertisers to begin targeting their programming to its online users. The multimedia-set-top-box, is in 20 million homes, 72% of which are in the USA. Adding yet another avenue for a highly targeted media campaign. To read more go to TVWeek.com.
Direct Response Television
Free credit reports are getting an FTC makeover with a new law that requires them to disclose just how “free” their credit reports really are. This new law took effect April 2, 2010. The law is meant to help consumers distinguish between credit report offers, as well as make sure advertisers are providing disclosures that comply with the CARD Act. Television advertisers should note that September 1, 2010, they will be required to disclose within their ads that, “Free credit reports are available under federal law at AnnualCreditReport.com. To read more go to Bankrate.com.
Univision has announced that it has less than 10% of its inventory left for the FIFA
World Cup, beginning June 11th. This is great news considering last years down trodden television market. Major advertisers are beefing up the dollars spent during this event, as the expected television audience is approximately 50-60 million viewers. A signal that the television market is on the upswing, and hopefully the US economy, as well! Read more at BroadcastingCable.com.
Charlie Sheen’s recent entry into rehab is putting advertiser dollars in jeopardy with the temporary suspension of production for Two and a Half Men. This highly viewed show, 17.7 million live-plus-same-day viewers, could loose advertiser revenue if the show is not able to continue, as it would need to offer make-goods during this highly valued and priced airtime. This is teaching CBS a valuable lesson in utilizing such a big and controversial celebrity, in the end it just may be too costly. Read more at AdAge.com.
Many media companies are expecting a rise in profits as their bet on smaller upfront sales are paying off in the increasingly hot scatter market. The approaching holidays dictate advertiser spending and the larger brand advertisers are moving in to take up space they left open earlier this year. This brings a challenge to Direct Response advertisers, who have grown accustom to historically low rates and premium placements for much of 2009. This challenge can be met strategically by looking at new markets to test and even breaking from a national campaign to one that is more localized through broadcast. Also, falling back to more reliable DR dayparts for clearance like daytime and overnights is a good move. Trying to take on brand marketers, who are more concerned with perceived audience rather than response is not game most direct marketers can win.
Direct Response advertisers should plan for increased costs for fourth quarter of 2009 and know that they will be sharing the space with brand advertisers, instead of other Direct Response products. They should also be prepared to hit the ground running hard in the first quarter of 2010, after many of the brand advertisers are taking a post-holiday hiatus. Continuing to advertise during this quarter is crucial as itâ€™s a time when consumers will be looking to spend in the economy, and spend thriftily. Luckily, Direct Response advertisers offer many quality products that are priced right and have the advantage of being purchased with the convenience of a click of a button or a quick phone call. Read more at TheWallStreetJournal.com.