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.
DRTV Direct Response Television
With Oprah’s announcement to leave the daytime talk syndicate, stations are scratching their brains for the best fit for this highly coveted and lucrative spot. Court syndicates, and Ellen are at the top of the list for suggestions, but nothing is set in stone. Additionally, the programming for this spot may take on a slightly different approach and target audience than that of Oprah’s baby boomer target. Millennials (ages 13-31) are quickly becoming a more prominent audience. Focusing on this group as a target would dictate television programming that is centered on a reality show or news rather than a talk show. Which is also, a key indicator that advertisers should heed when creating and placing their ads, so that they also appeal to this upcoming audience. The program change will take place September 2011. Read more at Broadcastingcable.com.
The Super Bowl XLIV is nearly sold out, according to CBS. With a handful of 30-second spots left, this near sell-out is indicative of a potential upswing in the economy and ad spending for 2010. With more marketers looking to enter these coveted, yet very expensive spots, media planners need to be more strategic with DR placements. It will be interesting to see if any DR advertisers make their way into the Super Bowl ad line up, as did last year Cash4Gold. Read more at AdAge.com.
A recent patent application made by Apple has created a buzz around the advertising industry. With online content quickly merging with television, creating a device that can control weather or not a user watches a commercial is a foray into the next steps for advertising. Televisions would have the technology built in and users may potentially receive them at a discount or even for free acknowledging that they would have to comply with the advertising engagement of actually watching and participating in commercials. For example, the commercial may appear, but the viewer would have to actively click on a portion of the ad to continue on with the programming they are watching.
While this type of advertising could mean better trackability of ads and exact exposure rates, it could also result in consumer backlash, or even a failed investment for Apple. It will be interesting to see if or how Apple develops this technology, but for now it’s only a patent. Read more at The New York Times.com.
Fourth quarter is seeing a surprising upswing and is beating the expectations of media experts. With more brand advertisers stepping back into television advertising, the fourth quarter for television may finish stronger than our current economic conditions reflect. Some economic indicators may not be rising in the same positive direction as television sales, but it could be a sign that the market is seeing a confidence boost. With this in mind, direct response advertisers should demand a strong media schedule that will help keep their sales flowing. Read more at Broadcastingcable.com.
Although many DRTV advertisers are struggling with increased competition for ad time of late the good news is TV is still the medium of choice for the American Public and remains the best outlet for reaching the American Consumer. 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.
The FCC is stepping in to help area broadcasters affected by the fires near the Los Angles transmitter site. Broadcasters can apply for the use of antennas that will keep service from being disrupted at their stations. This is good as direct response advertisers and media buyers can rest assured that their geo-targeted media buys are still running and reaching audiences. Additionally, stations can utilize this help by continuing their regular programming and generated revenue through advertising sales. Read more at TelevisionBroadcast.com.
NBC Universal has opened up its reachable audience by broadcasting through Gas Station TV. NBCU has reached agreements with auto manufacturers, for abbreviated commercials to run on the television sets to reach those at the pump. This shorter commercial time could mean a new trend for direct response advertisers, looking to reach audiences quickly. Additionally, opening up the areas that people can be reached through advertising, means marketers and media buyers, may look toward products that could be placed in both the ads and gas stations, alike. This could help create a brand synergy, and drive sales, generating a direct response model from the Gas Station TV broadcast. Read more at TelevisionBroadcast.com.
Got some extra beef lying around that your company can’t use because it didn’t sell well to consumers? Well send it on over to the barter shop, who will turn this unused beef into media dollars for you to spend, and then sell the beef off to a state prison at a discount. Yes, the media landscape is changing, but this trend has been around for a while. Many advertisers, especially in retail, are looking toward barter shops, to take unused inventory and turn it into a tangible good or service they can use to promote their products. The barter agency then looks to trade the goods to others who can use them in exchange for something else. This trading circle goes around and around, and it is reflective our current economy.
Being able to find a way to advertise, no matter if it is through bartering or direct purchase, presents a golden opportunity, as many of the mainstay advertisers of before, have pulled of the air due to budget constraints. Direct Response advertisers have been jumping on this band wagon and continue to see results from their media spend. Read more at AdAge.com.