December 22, 2024

Networks Go to Extremes to Promote New Shows for the Fall Season

A Headless Horseman stalked a Manhattan street to sell the new Fox series “Sleepy Hollow.” Eighties memorabilia surprised people if their surname just happened to be Goldberg to promote ABC’s new ’80s-era comedy called “The Goldbergs.” But even with such marketing efforts, executives say calling attention to the 12 new series due this week — or the total influx of 28 new shows on five networks over the next few weeks — has been anything but easy.

“It’s harder than ever,” said George Schweitzer, the president of the CBS Marketing Group, who has been trying to promote new network shows for more than two decades.

It is harder in part because the broadcast networks try what now seems to be a preposterous feat every September — introducing dozens of new series at the same time. The cable networks, which now win most of the accolades, focus on just one new show at a time.

The broadcast networks also have been challenged by a continuing decline in their ratings and because competition for leisure time is everywhere.

“It’s exhausting, and it’s expensive” to promote network programming, said Joe Earley, the chief operating officer of the Fox network.

None of the network executives interviewed for this article would cite specific figures for their fall marketing budgets, but the consensus is that hundreds of millions of dollars will be spent trying to lead viewers to the pleasures of “The Millers” on CBS, “Trophy Wife” on ABC, “Junior MasterChef ” on Fox and “Ironside” on NBC.

That estimate is especially true if the value of on-air citations is included. As Mr. Earley noted, “We can’t stop buying old media, like print and outdoor and radio, but we also need to buy whatever is the new mobile experience or the new digital network.”

The operative notion expressed by network marketing executives was: leave no stone unturned in the pursuit of promotional ideas. Mr. Earley expanded it, “We were down to pebbles, and we were looking into grains of sand we could turn over.”

Fox went to the old playbook, beginning the bulk of its new shows a week early. That means it had a mostly free shot last week to let viewers sample those shows. And the effort was rewarded. Three new Fox series did relatively well, the comedies, “Dads” and “Brooklyn Nine-Nine,” and the drama “Sleepy Hollow.”

The latter was a full-court effort. Fox began promoting “Sleepy Hollow” in May, the day it was announced to advertisers in New York, and it never let up.

Fox set up a representation of the set in Madison Square Park in Manhattan. People could stage a pseudo fight with the Horseman, and Fox would turn it into an image they could send to friends. Actors in headless costumes visited multiple cities and even state fairs. Fox set up green-screen effects at affiliated stations so the local weather forecasters could do their reports “headless” on the night of the premiere.

“We even had Headless walking around Times Square the day of the premiere,” Mr. Earley said. (Over the long promotional period, he developed a first-name-basis relationship with the character.) For “Brooklyn Nine-Nine,” a show set in a police precinct, Fox took over the Jay Street subway station and handed out free coffee and doughnuts. The two shows scored well in the areas networks follow before a new season: awareness and intent to view, as measured by Nielsen and other research organizations. Each network watches these figures closely throughout the summer, though they are, most agree, profoundly unreliable.

“When it looks good for our shows, we’re very happy,” Mr. Schweitzer said. “When it doesn’t go well, we say, ‘It’s not right.’ ”

Among the factors affecting awareness and intent to view are familiarity with stars and what is known as “title inflation.” People think they know something about a coming show by its title, even though they do not.

That was a risk on “Sleepy Hollow,” Mr. Earley said, because of what he called “literary awareness” and familiarity with the classic Disney cartoon. Unsurprisingly, the show with the best awareness and intent-to-view scores going into the season is “The Michael J. Fox Show” on NBC, because of the star’s strong personal appeal.

Similarly, “Marvel’s Agents of S.H.I.E.L.D.,” ABC’s new drama, is riding into the season with huge anticipation because of its associations with comic books and movies.

In contrast, CBS’s new comedy “The Crazy Ones” did not break through based on its title, but when viewers were made aware that the show stars Robin Williams, the scores rose markedly.

Marla Provencio, executive vice president for marketing at ABC, said of the awareness studies: “It’s a tool rather than rule. We’ve had certain shows launch where the awareness and the intent weren’t that great. There are so many other things that are variables. Obviously your lead-in is a great variable. And in the terms of the way people view television these days, it’s a very hard thing.”

Last fall, one show seemed to be exploding in terms of awareness and intent to view: an ABC drama called “666 Park Avenue.” It disappeared quickly. On the other side, CBS had a show in 2000 with a tiny awareness score. It wound up being a multibillion-dollar franchise called “C.S.I.”

As difficult as it is to break through the clutter of the new fall shows, some opportunities have arisen. Mr. Earley cited the DVR, first seen as a threat, now — along with video on demand, and digital sites like Netflix — a boon, offering a chance for shows to survive as alternative choices. “You don’t have to be someone’s favorite,” Mr. Earley said. “You can be the second favorite.”

And then there is social media. Marketers are experimenting with how to use such sites to increase awareness of shows, fuel word of mouth and even promote shows during broadcasts.

Ms. Provencio said, “We have no metrics for the social space, but you can’t tell me, with the way Twitter worked for ‘Scandal,’ that there isn’t a correlation to the fact that ratings went up once the Twitter-fest happened.” “Scandal,” an ABC drama, exploded in the ratings midway through last season after it became the talk of Twitter.

The effectiveness of all of the efforts to appeal to viewers will begin to be measured when the bulk of the shows finally arrive this week.

As Mr. Schweitzer put it: “We get this stuff on the air, and then the viewer tells us. They’ll tell us starting Monday.”

Article source: http://www.nytimes.com/2013/09/23/business/media/networks-go-to-extremes-to-promote-new-shows-for-the-fall-season.html?partner=rss&emc=rss

DealBook: Seeing Opportunity, WPP Adds to Its Investments in Latin America

“This is Latin America’s time,” said Martin Sorrell, the chief of WPP Group.Neil Hall/Reuters“This is Latin America’s time,” said Martin Sorrell, the chief of WPP Group.

Martin Sorrell, chief executive of the British advertising giant WPP, is not deterred by the political tension in Argentina or economic setbacks in Brazil. Far from it: his firm is still investing in Latin America.

In its latest move, WPP has invested $70 million in Buenos Aires-based information technology services company Globant, in exchange for a 20 percent ownership stake. The agreement closed last week, according to Martin Migoya, the chief executive of Globant.

“This is Latin America’s time,” said Mr. Sorrell, whose company has acquired Chilean, Mexican and Brazilian agencies over the last two years, including F.biz and Gringo.

WPP’s new investment in Globant also gives it increased access to social and gaming technology development, a focus of the Argentine start-up and an area the company has been aggressively chasing. Last year, WPP acquired the digital marketing agency AKQA, originally based in London.

“We’re not in the business of creating technology,” but applying it more to our clients, Mr. Sorrell said.

According to ZenithOptimedia, a media buying agency, ad spending in Latin America is estimated to increase by 10 percent this year, to $41.78 billion. That compares with a projected growth rate globally of just 4.11 percent.

Digital is a driver of the increase. The ZenithOptimedia report also forecast that online ad spending in Latin America grew by 22.9 percent in Latin America in 2012, versus 7.8 percent globally. And this year, digital ad spending in the the region is expected to grow 22.7 percent, compared with 10.2 percent globally.

WPP’s competitors are also increasing their investments in the digital sector. The Publicis Groupe said last month that it acquired two digital agencies — Monterosa and Rokkan. It previously bought the Rosetta Marketing Group, Razorfish and Digitas.

In a December research note, JPMorgan Chase Cazenove maintained its positive stance on both WPP and Publicis in part because it said that “more revenues from outside mature markets and from digital should sustain mid-term growth in spite of the uncertain macro outlook.”

Still, compared with recent transactions in the industry, WPP’s investment in Globant is a bit of an outlier because it is a minority shareholder. “Our primary focus is taking control of a company,” Mr. Sorrell said, but he added that the company was open to taking smaller stakes.

The WPP investment values Globant at about $350 million, according to Mr. Sorrell. Two earlier firms, Riverwood Capital and FTV Capital, have invested about $40 million, according to Mr. Migoya. Endeavor Catalyst is also a small investor.

Globant, which was founded by four Argentines in 2003 with $5,000, said its revenue in the first half of last year was $57 million. Clients include Google and several WPP companies.

Globant has also bought four smaller companies, including the Brazilian technology company Terra Forum last year. Negotiations with WPP preceded this, but Mr. Migoya says that having a presence in Brazil “had a certain influence in WPP’s investment.”

Globant has also influenced Argentina’s nascent start-up scene. Electronic Arts was a Globant client when John Pleasants was chief operating officer. When Mr. Pleasants left Electronic Art to lead Playdom, he continued working with Globant.

As a result, Mr. Pleasants became more aware of Argentina’s software developers. In 2010, Playdom bought Three Melons, a social gaming company based in Buenos Aires, before it was acquired by the Walt Disney Company.

Article source: http://dealbook.nytimes.com/2013/01/03/seeing-opportunity-wpp-adds-to-its-investments-in-latin-america/?partner=rss&emc=rss

Publicis to Acquire Rosetta for $575 Million

PARIS — Publicis Groupe of France bolstered its already substantial investment in Internet advertising on Tuesday, saying it had agreed to buy Rosetta Marketing Group, one of the biggest independent digital marketing agencies in the United States, for at least $575 million.

Publicis, which owns ad agencies like Leo Burnett and Saatchi Saatchi, has moved more aggressively than many of its rivals in expanding its digital capabilities, betting that spending on Internet marketing will continue to gain market share from more traditional forms of advertising. The planned deal for Rosetta is its third major digital acquisition, after the purchase of Digitas for $1.3 billion in 2006 and Razorfish for $530 million in 2009.

“The transformation of the advertising market will be colossal,” Maurice Lévy, the chief executive of Publicis, said in a conference call.

Rosetta, based in Hamilton, New Jersey, specializes in areas like search engine advertising and direct marketing, and also has a strong position in the health care business, already an area of focus for Publicis. Rosetta’s clients include Bristol Myers Squibb; Hewlett-Packard; Johnson Johnson; Research In Motion, the developer of the BlackBerry; and the T-Mobile division of Deutsche Telekom.

Until recently, Chris Kuenne, who founded Rosetta in 1998 and serves as its chief executive, had appeared eager to stay on the sidelines of a merger-and-acquisition race in which big advertising companies like Publicis and WPP Group, based in London, snapped up many of the leading Internet marketing specialists.

“Everybody comes knocking and calling and we’re not really interested,” he told Advertising Age, a trade publication, last year. “There’s a race on in the agency world to assemble three key things: the right assets, the right people and the right culture. MA takes care of part one but has the potential to screw up the other two.”

On Tuesday, Mr. Kuenne changed his tune. “We recognize that in order to achieve our long-term business and geographic growth potential, we need the reach and resources of a global group,” he said in a statement.

Assuming the deal is completed, the portion of revenue that Publicis derives from digital activities would rise to more than 30 percent, from 28 percent last year, the company said. Publicis wants that total to rise to 35 percent within three years.

As with other digital acquisitions by Publicis, the price raised some concerns among investors. Rosetta is expected to generate less than €250 million in revenue this year.

But analysts said they were reassured by Mr. Lévy’s track record in bringing Razorfish and Digitas under the Publicis umbrella. They said the deal also reduced the likelihood that Publicis, the third-largest advertising company worldwide after WPP and Omnicom Group, might mount a much larger bid for the No. 4 player, Interpublic Group, which Mr. Lévy has previously run his slide rule over.

“This is just the kind of acquisition that the market wants to see them do, rather than a big merger like Interpublic, where the main benefit is cost-cutting,” said Conor O’Shea, an analyst at Kepler Capital Markets in Paris. He questioned, however, whether Publicis might be concentrating too much of its digital expansion in the United States, where Digital, Razorfish and Rosetta are strongest, rather than moving more aggressively into faster-growing Asian markets.

Under the terms of the agreement, Mr. Kuenne and other shareholders of the privately held Rosetta could receive a deferred payment, in addition to the initial $575 million, if the agency meets financial performance targets.

Rosetta has tried to position itself as a different kind of agency, providing consulting services rather than merely churning out advertising, which is seen as something of a commodity in the digital era. Unlike many agency founders, Mr. Kuenne came to the business from an advertising client, Johnson Johnson, rather than breaking away from an existing agency.

“We start with the underlying business problem — what is this brand trying to accomplish?” he said in the conference call.

Article source: http://feeds.nytimes.com/click.phdo?i=93c1220157c9fcfb3b306674a3b9e444