KANTAR SEES POLITICAL INVENTORY SQUEEZE · 2016-11-08 · 2016 to October 23, 2016. Pictured is a...

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AUTOMOTIVE & RETAIL MOST IMPACTED With the 2016 election coming to an end today, Kantar Media has been looking at how much political advertising has displaced traditional marketers on television. One of the most active battlegrounds has been North Carolina where high-profile and competitive races for President, U.S. Senator and state governor are being fiercely contested. The demand for TV commercial time in the state by political advertisers has been intense and the volume of political ads has sharply increased during the run up to Election Day, Kantar noted. More commercials from politicians have meant fewer spots from other advertisers, so Kantar has focused on data from North Carolina to learn how other vertical categories are being affected. The analysis focused on local news broadcasts, which typically account for 60-70% of political ad time purchased on local TV stations. Data are based on the state’s three largest TV markets— Charlotte, Raleigh and Greensboro/High Point/Winston-Salem—and cover the period of January 4, 2016 to October 23, 2016. Pictured is a promo from Hearst Television’s WXII (NBC) Winston-Salem for last month’s debate between Sen. Richard Burr (R) and challenger Deborah Ross (D). Local news broadcasts in the three markets have carried more than 26,500 minutes of commercial time through October 23. Kantar says auto manufacturers and dealers had a 26.3% share of this ad time and was the top category, followed by retail (13.7% share) and political (10.5% share). Since general election advertising began in earnest at the beginning of August, auto share of ad time in local news has been declining. For example, during the last week of September auto activity dropped from the prior week when it ordinarily should have been rising to its monthly peak. Retailers have also been displaced by political advertising. Although retailers generally buy local TV time in a broader range of inventory than politicians, news programming is still a central part of their schedules. As local news inventory became scarcer during August, retailers pulled back a bit in the genre but still maintained a significant presence to promote back-to- school shopping and Labor Day sales events. During the past Continued on Page 3 ADVERTISER NEWS While it’s now generally accepted that 2016 won’t beat 2015 in total automotive sales, it does appear sales of light trucks (including SUVs and crossovers) will surpass 10 million units for the first time. Car sales, however, appear likely to fall below 7 million for the first time in five years and only the fourth time in more than 50 years. Light truck sales are up 7.1% year-to-date through October, while car sales are down 9.7%......Sonic Automotive has started a service in its Denver market EchoPark stores where used vehicle private sellers and buyers can get together to make a deal. For a fee under $100, EchoPark personnel will assist with paperwork, appraisals and an (extra-cost) vehicle inspection if desired, and if the potential buyer backs out, EchoPark could buy the vehicle…… With Yum Brands now having spun off its Chinese operations into a separate company, it looks like a priority will be to expand Taco Bell in the U.S. There are currently almost 7,000 Taco Bell locations in the country, but the chain just announced plans to add another 2,000 in the next six years and reach $15 billion in annual sales by that time……A much smaller restaurant chain, Noodles & Company, may be going in the other direction, warning it’s looking at closing an undisclosed amount of underperforming locations after a quarter with a 0.9% same-store sales decline at company-owned units. It does have plans to open 10-15 new locations but only in “low-risk markets with strong brand awareness and proven success”……Bojangles’ same-store sales were up 0.8% in the third quarter despite having to close 90 locations for a while during Hurricane Matthew. That was the 26th straight quarter with positive comps for the Charlotte-based chain……A couple of retailers disclosed Thanksgiving/ Continued on Page 3 KANTAR SEES POLITICAL INVENTORY SQUEEZE www.spotsndots.com PDF/TXT newsletter Subscription: $325 per year Call toll free: 888-884-2630 This publication cannot be distributed beyond the office of its named subscriber. Send sales-related job listing to: [email protected] Copyright 2016. The Daily News of TV Sales Tuesday, November 8, 2016

Transcript of KANTAR SEES POLITICAL INVENTORY SQUEEZE · 2016-11-08 · 2016 to October 23, 2016. Pictured is a...

Page 1: KANTAR SEES POLITICAL INVENTORY SQUEEZE · 2016-11-08 · 2016 to October 23, 2016. Pictured is a promo from Hearst Television’s WXII (NBC) Winston-Salem for last month’s debate

www.SpotsnDots.com

AUTOMOTIVE & RETAIL MOST IMPACTED With the 2016 election coming to an end today, Kantar Media has been looking at how much political advertising has displaced traditional marketers on television. One of the most active battlegrounds has been North Carolina where high-profile and competitive races for President, U.S. Senator and state governor are being fiercely contested. The demand for TV commercial time in the state by political advertisers has been intense and the volume of political ads has sharply increased during the run up to Election Day, Kantar noted. More commercials from politicians have meant fewer spots from other advertisers, so Kantar has focused on data from North Carolina to learn how other vertical categories are being affected. The analysis focused on local news broadcasts, which typically account for 60-70% of political ad time purchased on local TV stations. Data are based on the state’s three largest TV markets—Charlotte, Raleigh and Greensboro/High Point/Winston-Salem—and cover the period of January 4, 2016 to October 23, 2016. Pictured is a promo from Hearst Television’s WXII (NBC) Winston-Salem for last month’s debate between Sen. Richard Burr (R) and challenger Deborah Ross (D). Local news broadcasts in the three markets have carried more than 26,500 minutes of commercial time through October 23. Kantar says auto manufacturers and dealers had a 26.3% share of this ad time and was the top category, followed by retail (13.7% share) and political (10.5% share). Since general election advertising began in earnest at the beginning of August, auto share of ad time in local news has been declining. For example, during the last week of September auto activity dropped from the prior week when it ordinarily should have been rising to its monthly peak. Retailers have also been displaced by political advertising. Although retailers generally buy local TV time in a broader range of inventory than politicians, news programming is still a central part of their schedules. As local news inventory became scarcer during August, retailers pulled back a bit in the genre but still maintained a significant presence to promote back-to-school shopping and Labor Day sales events. During the pastContinued on Page 3

ADVERTISER NEWS While it’s now generally accepted that 2016 won’t beat 2015 in total automotive sales, it does appear sales of light trucks (including SUVs and crossovers) will surpass 10 million units for the first time. Car sales, however, appear likely to fall below 7 million for the first time in five years and only the fourth time in more than 50 years. Light truck sales are up 7.1% year-to-date through October, while car sales are down 9.7%......Sonic Automotive has started a service in its Denver market EchoPark stores where

used vehicle private sellers and buyers can get together to make a deal. For a fee under $100, EchoPark personnel will assist with paperwork, appraisals and an (extra-cost) vehicle inspection if desired, and if the potential buyer backs out, EchoPark could buy the vehicle……With Yum Brands now having spun off its Chinese operations into a separate company, it looks like a priority will be to expand Taco Bell in the U.S. There are currently almost 7,000 Taco Bell locations

in the country, but the chain just announced plans to add another 2,000 in the next six years and reach $15 billion in annual sales by that time……A much smaller restaurant chain, Noodles & Company, may be going in the other direction, warning it’s looking at closing an undisclosed amount of underperforming locations after a quarter with a 0.9% same-store sales decline at company-owned units. It does have plans to open 10-15 new locations but only in “low-risk markets with strong brand awareness and proven success”……Bojangles’ same-store sales were up 0.8% in the third quarter despite having to close 90 locations for a while during Hurricane Matthew. That was the 26th straight quarter with positive comps for the Charlotte-based chain……A couple of retailers disclosed Thanksgiving/Continued on Page 3

KANTAR SEES POLITICAL INVENTORY SQUEEZE

www.spotsndots.comPDF/TXT newsletter

Subscription: $325 per yearCall toll free: 888-884-2630This publication cannot be

distributed beyond the officeof its named subscriber.

Send sales-related job listingto: [email protected]

Copyright 2016.

The Daily News of TV Sales Tuesday, November 8, 2016

Page 2: KANTAR SEES POLITICAL INVENTORY SQUEEZE · 2016-11-08 · 2016 to October 23, 2016. Pictured is a promo from Hearst Television’s WXII (NBC) Winston-Salem for last month’s debate

PAGE 2 The Daily News of TV Sales @ www.spotsndots.com

NETWORK NEWS ABC announced a full-season pickup for the new Tuesday night comedy American Housewife, starring Katy Mixon. Nine additional episodes of the ABC Studios-produced series have been ordered. The series is Tuesday’s #1 comedy this season in Total Viewers (7.7 million) and Adults 18-49 (2.4/8)……NBC’s Summer hit America’s Got Talent is going to celebrate the holidays with its first star-studded America’s Got Talent Holiday Spectacular on Monday, December 19 at 8 PM (ET). The two-hour special will feature performances by past season fan favorites Grace VanderWaal, Jackie Evancho, The Clairvoyants, Mat Franco, Piff the Magic Dragon, Olate Dogs, The Regurgitator, Professor Splash and more. Nick Cannon will host, along with AGT judges Mel B, Simon Cowell, Heidi Klum and Howie Mandel……Telemundo announced the premiere of the scripted drama series La Doña on Tuesday, November 29 at 9 PM (ET). Starring Aracely Arámbula, David Chocarro, Danna Paola and Rebecca Jones, the series reflects the life of hundreds of thousands of women who are victims of gender violence every day and struggle to rebuild their lives……The I Love Lucy Christmas Special airs Friday, December 2, at 8:00 pm (ET) on CBS. This year’s edition features two back-to-back episodes of the classic series—the colorized “Christmas Episode” (first presented in black and white in December 1956) is paired with the newly colorized “Lucy Gets in Pictures.” This episode (first aired February 21, 1955) is well known for the scene in which Lucy faces numerous mishaps as she attempts to descend a staircase while wearing an enormous feathered headdress for a role in a new motion picture……The final round of the 2018 CONCACAF World Cup qualifiers begins on Friday, November 11 with the U.S. Men’s team hosting archrival Mexico in Columbus, OH. Univision Deportes will be live starting at 7 PM (ET) on Univision Network……Hot off his history-making fifth win for the CMA Entertainer of the Year Award, Garth Brooks will be a key adviser for the Top 12 artists on the Monday, November 14, 8 PM (ET) telecast of NBC’s The Voice……The Hollywood Reporter says CBS is working on a spinoff of The Big Bang Theory. The comedy, from Big Bang co-creators Chuck Lorre and Bill Prady will center around the young version of Jim Parsons’ Dr. Sheldon Cooper.

SUNDAY RATINGS NBC dominated Sunday primetime with Sunday Night Football, although CBS got a boost from its own NFL game overrun into prime. SNF was the #1 program with a 5.6 rating in Adults 18-49 and 15.38 million viewers, while pregame Football Night In America was #3 at 3.7 18-49, giving NBC an average 4.9 18-49 for the night and 13.78 million viewers. That CBS NFL overrun was #2 at 4.7 18-49, with 60 Minutes following at 2.1 for an average 2.2 18-49 and 12.02 million for the night. FOX was well back at 1.1 18-49 and 2.61 million, led by The Simpsons at 1.4 in the demo. ABC, led by Once Upon a Time at 1.1 18-49, was at 0.8 18-49 and 3.56 million; Telemundo 0.9 18-49 and 1.76 million; and Univision 0.9 18-49 and 1.47 million.

AVAILS WNCN CBS North Carolina, Media General’s CBS affiliate in Raleigh, NC has an immediate opening for a goal oriented senior level sales professional. The company has all the sales tools and resources needed for you to succeed. Must grow existing client billing, cultivate new business, and generate digital and non-traditional revenue. Applicants must have 3-5 years’ experience selling broadcast television, be driven, and self-motivated. Apply online at www.mediageneral.com/careers, job ID NCN-000435. EOE. Background check and drug screen required.

Account Executive: Looking for an opportunity with the best company in the business? WKCF, Hearst’s powerhouse CW affiliate in Orlando, has an opening for an experienced seller. With 27 hours of local news each week, plus strong syndicated and prime programming, we are one of the top rated CW’s in the country. We also offer premier digital products, state-of-the-art sales training, and a winning culture! Contact: Samantha Johnson, LSM,

[email protected]. EOE The Networks of Mid-Missouri is seeking a highly motivated, competitive professional to lead its KQFX (FOX) and NMIZ (MyNetwork) team as Local Sales Manager. The LSM will implement the company’s plan to cultivate new local business, grow long lasting relationships with clients and shape a productive sales team through training and management. The position leads the revenue generating effort of the company through selling television air time, internet and special events. Cover letter and resume to: [email protected]. Tell us where you saw this ad! Equal Opportunity Employer. Comcast Spotlight, the area’s top media sales organization is looking for a talented Director of Sales for our Baltimore market. The ideal candidate will have a successful and proven track record in television & digital sales with 5+ years in related experience. The DOS will execute multi-platform sales strategies, tactics and action plans to drive our Regional/National line of business and achieve company financial targets. Qualified candidates can CLICK HERE for more info or to apply now. EOE/Veterans/Disabled/LGBT employer. WMC-TV in Memphis, THE local leader in business advertising solutions for the Mid-South is searching for a Media Sales Consultant. We have the account maintenance

covered, allowing you to do what you do best... CLOSE!! No make goods, No order entry, No book break outs, No posting, No

UD, no AV, No busy work…. Just selling and closing!! Sound too good to be true? It’s not!! CLICK HERE for more info or to apply. We pay top commissions for top talent. Equal Opportunity Employer.

11/8/2016

A report says North Korea’s elite get to enjoy perks like

pizzas, pony rides, and dolphin shows. In other words:

Kim Jong Un is running his country like a divorced dad

with weekend custody.

Conan O'Brien

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The Daily News of TV Sales @ www.spotsndots.com PAGE 3

LOCAL TV REVENUES NEARING $31 BILLION BIA/Kelsey estimates that local television revenue will approach $31 billion in total gross revenue in 2016. This revenue total comprises over-the-air and online advertising revenue, retransmission consent and other revenue. The Television Broadcasting 2016 report indicates that of the anticipated $31 billion revenue total, the four O&Os are expected to generate $6.1 billion in gross over-the-air (OTA) revenue and $9.3 billion in station gross revenue in 2016. This compares to $6.4 billion in OTA ad revenue and $9.9 billion in gross TV revenue for the six publicly traded groups profiled and $4.2 billion in OTA TV revenue and $6.6 billion in gross TV revenue for the eight privately held. Of the $25.8 billion in gross revenue generated by these groups, $6.5 billion will be generated from retrans and over $1.1 billion from online/digital activities. “It’s incredible that 18 groups that represent just over 50% of the number of commercial stations earn over 80% of the revenue for the entire industry,” said BIA/Kelsey CEO Tom Buono.

THIS AND THAT NBCUniversal has a deal to take over ad sales for Apple News in 2017. Apple itself has been handling ad sales for the mobile news app. Apple News claims 70 million active monthly users……People may love YouTube, but it appears few are willing to pay for it. The Verge reports that YouTube Red had only 1.5 million paying subscribers as of late summer, plus another million signed up for a trial but not yet paying. For a monthly fee, people get to watch videos without ads on YouTube Red and also see some content not available on the free ad-supported version……Prometheus Radio Project and Media Mobilizing Project have sued in the Philadelphia-based Third Circuit Court of Appeals over the FCC’s biennial ownership rules review. They want shared services agreements to be attributable as TV station ownership. Meanwhile, the NAB is expected to file its own suit in the DC Circuit making the opposite argument—that the FCC’s ownership rules remain too regulatory and are arbitrary and capricious.

KANTAR SEES POLITICAL INVENTORY SQUEEZEContinued from Page 16-7 weeks, retail’s visibility has shrunk and its share of local news ad time is at its lowest level of the year. For August 1 through October 23 political ads claimed 26.2% of inventory in local news, with auto at 21.1% and retail 11.1%. “Once the election cycle concludes today and political ads (temporarily) disappear from the airwaves, retailers will predictably re-emerge with campaigns to support their Black Friday and holiday strategies,” Kantar predicts. North Carolina offers an extreme, but not isolated, example of how political elections can disrupt local TV ad marketplaces and affect other categories of advertisers, according to Kantar. The directional patterns highlighted in this analysis have also occurred in dozens of other TV markets where there are tight races and well-funded candidates and groups. It’s just a question of magnitude.

AVAILS WPTA Television in Fort Wayne, IN has an immediate opportunity for a strong leader in sales management as Local Sales Manager of our ABC affiliate. At least 3 years broadcast media sales experience is preferred. Candidate must be able to collaborate with our Digital Sales Manager on multi-platform solutions that drive client results. Previous and/or current broadcast sales management

experience is a plus. If you’d like to be part of our team, send your resume & references to Doug Barrow, GSM: [email protected]. Equal Opportunity Employer. Cox Media Group Charlotte seeks a highly talented Director of Sales with a proven track record of recruiting and developing sales talent and achieving revenue success. Are you a leader who gets

real satisfaction in coaching people to achieve their full potential? Do you have a proven track record of recruiting and developing A+ sales talent? Do you tailor your management approach to each individual on your staff? 3-5 years of experience, a proven track record as a GSM, and a college degree preferred. CLICK HERE to apply. EOE.

MORE AVAILS ONLINE @ SPOTSNDOTS.COMPlace a classified, email: [email protected]

DONE DEALS Telemundo has named Daniela Chaparro Vegas Vice President of Marketing, based in Miami and reporting to Aileen Angulo-Merciel, Senior Vice President of Marketing and Creative. Previously, Chaparro Vegas served as the Vice President of Marketing and Digital at NBCUniversal International Networks Latin America……Hearst Television’s WBAL (NBC) Baltimore has promoted Justina Pollard to Director of Programming and Public Affairs.

ADVERTISER NEWSContinued from Page 1Black Friday plans: BJ’s Wholesale Club has now posted its Black Friday circular online, and will offer the deals in it from 11/18 to 11/28. And Toys ‘R’ Us will open its doors at 5PM on Thanksgiving and stay open all night until 11PM on Black Friday. Macy’s had previously announced a 5PM opening on Thanksgiving, an hour earlier than last year……Whole Foods Market will roll out its reward program nationally, after a two-market test. In Dallas, which started the program just over three months ago, the company claims almost 50,000 people have already signed up and are participating……In another supermarket industry note, Retail Leader reports Kroger has reached a milestone with its 500th Click-And-Collect site, over 100 added in just the last two months. The total includes the Harris Teeter locations Kroger acquired in 2013.

11/8/2016

This month, the world’s oldest person will turn 117, and she says she eats two raw eggs every day. When asked what

she wants for her birthday, she said, ‘A skillet. I’ve been asking

for a pan since 1916.’

Jimmy Fallon