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sales@spotsndots.com Copyright 2017.The Daily News of TV Sales Thursday, May 18, 2017

MILLENNIALS ENGAGE WITH TRUSTED BRANDSTRUST TOPS PRICE WITH CONSUMERS Millennials may not come to mind when you think of Reader’s Digest, but the long-established magazine is also after the lucrative young generation of consumers, just like pretty much everyone else. So its third annual “Trusted Brands” survey focused to some extent on Millennials—and found that they are even more brand conscious than other generations when it comes to trust. The Trusted Brands survey found that Millennials are more likely to engage with brands they trust. Millennials are identified as more likely to experiment with new brands and remember ads from trusted brands. They are highly responsive to brands that engage; 71% report they trust brands that value their contribution and feedback. There aren’t really any big surprises on the list. Southwest was the most trusted airline and Ford won for both passenger cars and SUV/crossover. McDonald’s was top’s for fast food, Kellogg’s for cold cereal and Tropicana for juice. Walmart was #1 for mass retailing, Purina for pet food and Tide for laundry detergent. The highly competitive wireless provider category was won by Verizon and Apple won as most trusted for mobile phones. Bank of America was the most trusted bank, State Farm, auto insurance, MetLife for life insurance and Fidelity for investments. CVS was the most trusted pharmacy and trusted products you might buy there include Nivea, NyQuil, Visine, Olay, Tylenol and Listerine—each winning for their respective brand categories. The survey results say gaining consumer loyalty is more vital than ever, with 72% of survey participants citing trust as important for purchasing decisions, an increase from 69% in 2016. More than 5,500 American’s were surveyed.

EMERGENCY? WE TURN TO LOCAL TV The National Association of Broadcasters has released new research from Morning Consult confirming the critical role that TV broadcasters play in times of emergency. The polling shows that in emergency situations, Americans turn to broadcast TV (and radio) above all other media by a factor of nearly four to one. In an online survey of 2,251 adults 18+, Morning Consult found that nearly six in 10 adults are most likely to use local radio and TV stations and/or broadcast networks for updates in the event of an emergency. While 57 percent of respondents selected local radio, TV and/or broadcast networks as the media of choice during dangerous weather or emergency conditions, other sources of media rated much lower: text messages, 15 percent, online news sources, 14 percent, and cable news, 12 percent.

ADVERTISER NEWS In today’s very tough climate for brick-and-mortar retailers, even managing to show positive same-store sales may not be enough for chains to be optimistic. As we reported, Dick’s did show a gain of 2.4% for the quarter that ended on 4/29, but even with that positive it’s cutting back on expansion plans. The Wall Street Journal reports the

chain will open 15-20 new stores in 2018 while it waits for real estate prices to come down and possibly as few as 5-10 in 2019. Both are big drops from the 43 that had been planned from this year……Target joins many other retailers with disappointing quarterly results; comparable store sales are down 1.3%, hurt by a 0.8% drop in the number of transactions and a 0.6% decline in the average transaction amount. Comparable digital channel sales were up 22%, but that was not enough to make the overall picture look good

and the CEO says Target “face(s) multiple headwinds in the current landscape”……Big changes are coming for some West Coast Coke bottling plants: Illinois-based Reyes Holding LLC will take over for a Coca-Cola company-owned operation with territory in California and Nevada including L.A., San Francisco, San Diego and Las Vegas. Another Reyes subsidiary already handles Coke bottling in six Midwestern states including the Chicago, Detroit, Minneapolis and Milwaukee markets……Urban Outfitters blended same-stores sales fell by 3.1% despite a gain of 1.5% at the Free People banner. That was dragged down however by a 3.1% decline at the namesake chain and a 4.4% fall at Anthropologie……Convenience Store News says Iowa-based Yesway intends to acquire, improve and rebrand 500 convenience stores in the next several years, and is specifically targeting Texas, Oklahoma, Arkansas and Missouri as key areas for that expansion…… With prescription drugs still a major TV advertiser category, Johnson & Johnson says it, along with subsidiary Janssen Pharmaceutical Company plans to file for approval for 10 “potential blockbusters” between this year and 2021. It also has more than 50 line extensions coming in the same time frame...(Continued on page 3)

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

NETWORK NEWS ABC made the announcement during its upfront presentation that Katy Perry will take the first seat at the judge’s table when the network brings back American Idol. ABC Entertainment President Channing Dungey said, “We are so lucky to have this strong and talented woman to help inspire and guide the next crop of artists as they pursue their dreams.” American Idol is set to debut in midseason and viewers can expect to see format changes, according to Dungey. She also declined to confirm reports about Ryan Seacrest returning as host……ABC plans to get into the hot live-musical space by airing a two-hour special event, The Wonderful World of Disney: The Little Mermaid Live! The event will meld Disney’s animated classic The Little Mermaid with live musical performances in a live action/animated hybrid presentation. The event will air on ABC on Tuesday, October 3rd……Fox has picked up New Girl for an eight-episode seventh and final season. The show was renewed after a week of rumors that the show was on the brink of cancellation. The Fox fall schedule has Empire moving to the 8 PM (ET) timeslot as a lead-in for Star, while Gotham will move to Thursday at 8 PM (ET), leading into the new Seth MacFarlane sci-fi dramedy The Orville at 9 PM (ET). The network is moving Lethal Weapon to Tuesday at 8 PM (ET), while new shows including The Gifted will air at 9 PM (ET), and Ghosted will run after The Simpsons Sunday’s at 8:30 PM (ET)……The CBS fall schedule will add six new series including The Big Bang Theory spinoff, Young Sheldon taking the Thursday 8:30 PM (ET) time slot behind TV’s top-rated comedy, while the new drama SWAT will move into the 10 PM (ET) berth. The Thursday comedy block will debut in late fall after CBS’ five Thursday Night Football games are concluded. The new comedy 9JKL will air on Mondays at 8:30 PM (ET) followed by Me, Myself and I at 9 PM (ET). The new drama Seal Team airs on Wednesdays at 9 PM (ET)......CBS also gave a series order to a multi-camera pilot from Johnny Galecki (the Big Bang Theory). The project called By the Book (formerly known as Living Biblically) centers on a modern-day man at a crossroads in his life who decides to live according to the Bible.

SHOULD COLLEGES ADVERTISE?Some markets do receive advertising from colleges looking for students, and perhaps more of them should be utilizing TV in more markets. The number of students is declining and undergraduate enrollment was just 16.3 million last fall (1.9% less in just one year), which The Wall Street Journal comments “leave(s) schools to battle to lock in each admit-ted applicant.” While financial aid is nothing new, the pa-per notes schools have been forced to offer deeper tuition discounts to lure more students and boost revenue, but it appears that strategy hasn’t been successful. Some have lowered their “sticker prices” and along with larger discounts via financial aid, the National Association of College and University Business Officers fears further declines in net tuition revenue “may limit the institutions’ ability to fulfill their educational and public service missions.”

AVAILS Comcast Spotlight seeks a Regional Automotive Director, based in Miramar, FL. This position is responsible for developing, leading and supporting the region’s growth in the automotive category within all Comcast Spotlight products, solutions and advertising tiers. The role requires high collaboration and integration with Spotlight constituents in Corporate and Region in development of strategies and tactics that can support new business and share growth of automotive

advertisers’ marketing spend. CLICK HERE for more info or to apply now. EOE/LGBT employer. FOX Carolina, WHNS-TV, Greenville, SC (Market #37) is searching for a Director of Sales. Greenville SC is a thriving city with a vibrant and growing downtown that recently hosted its first NCAA basketball tournament. Fox Carolina has a strong local news presence, strong NFL numbers, quality programming and a commitment to the

community. Bachelor’s degree In Marketing or related field, or equivalent training and/or experience. Six to eight years local television sales required. CLICK HERE for more information or to apply now. EOE. Cox Media Group, Seattle WA, seeks a Digital Sales Manager. The DSM’s responsibility is to identify and drive digital strategies in order to attain revenue and share goals through development of overall direction, product and service launches and training. Our digital assets include across all screens, kirotv.com, seattleinsider.com, Live Streaming, SEO, SEM, and Social Media. 3+ years of sales management experience, strong problem solving and communication skills, and a Bachelor’s degree from four-year College preferred. CLICK HERE for more info or to apply now. EOE. KHOU Media Solutions, Houston, seeks an Account Manager to manage the day-to-day responsibilities of key accounts with team members. this person provides an optimal customer experience by having a deep understanding of the company’s multimedia solutions. Responsibilities include maintenance of client schedules on television and online in addition to implementation of special projects and promotions. Minimum 2 years of account engagement in a professional, fast paced sales environment. Qualified candidates can send a cover letter and resume to: shunter@khou.com. No calls. EOE. Place a job in Spots n Dots! Do it ONLINE HERE, or send your listing to ads@spotsndots.com

ACCOUNT ACTIONS MediaPost reports that gaming giant Activision Blizzard has completed a global media review that began early this year and has opted to retain Omnicom’s OMD and WPP’s MEC as its agencies. OMD will continue to handle the North American portion of the assignment and MEC retains the business outside of North America. The firm spent around $102 million on measured media in the U.S. last year according to Kantar Media.

5/18/2017

James Corden

Hackers have stolen a copy of the new “Pirates of the Caribbean” movie and are

holding it for ransom. Yeah. They could release this

movie illegally. I guess you could say it’s a “pirated”.

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

WHAT’S DRIVING DIGITAL AD GROWTH? We wrote earlier this week of Brian Wieser’s view that double-digit percentage growth for digital advertising is being primarily driven by new advertisers with businesses built around digital media, rather than traditional brands. The Pivotal Research Group analyst provide some examples of how businesses operating in digital environments may spend a higher percentage of their sales on advertising relative to offline competitors. “During 2016, Amazon spent 4% of its revenue on paid advertising, while retailers such as Kroger and Home Depot spent only 1%; Target and Best Buy spent 2%. Although the comparable figure for Kohl’s and JC Penney was closer to 6%, our guess is that e-commerce-based retail probably has higher advertising intensity per dollar of revenue, which undoubtedly benefits digital media owners disproportionately,” Wieser explained. “Similarly, we can guess that niche manufacturers who sell their wares primarily via e-commerce are also more likely to spend a higher percentage of revenue on paid advertising, if only because they lack efficiencies that larger brands who afford TV may experience in using mass media.” To the extent that digital-centric advertisers with a higher intensity of spending account for a growing share of the overall ad market, Wieser says total ad spending may grow a bit more than he had been expecting. Note that growth in Q1 was estimated at 4%, virtually all from digital. But the analyst is expecting tepid growth—if any—in the years ahead for traditional media.

COMPETITIVE INFO Facebook announced yet another glitch in its ad measurement metrics. The social media company’s official blog says its technicians recently found and fixed a bug that misattributed some clicks on video carousel ads as link clicks. “This bug occurred when people were on mobile web browsers on smartphones—not on desktop or in the Facebook mobile app,” the post stated. Instead of being billed only for link clicks (clicks to an advertiser’s selected destination), the Facebook advertisers affected were incorrectly billed when people clicked on the videos in the carousel to enlarge and watch them. “Advertisers will receive a full credit for the charges they incurred for these misattributed clicks,” Facebook assured its advertisers.

KAGAN; SUBS SLIP IN FIRST QUARTER Traditional multichannel defections picked up speed in the first quarter with an estimated loss of 802,000 subscriptions, according to Kagan, a group within S&P Global Market Intelligence. That’s a decline of 0.8%. But total subscriptions still numbered 97 million. The impact of new streaming options suggests an important component of the loss comes from a shift in platforms rather than outright cord cutting. Combined, the telcos lost 324,000 subscribers in the first three months of the year.

RESTAURANT OUTLOOK REMAINS GLOOMY The second quarter 2017 Restaurant Consumer Confidence Index (RCCI) from the advisory firm Bellwether Food Group has very little good news for its clients. “Our clients have been asking us for a predictive tool around consumer restaurant spending, and we’re now able to provide that,” said Bellwether Founding Partner Rob Hardy.. He noted that the previous RCCI report in January accurately predicted the downturn in consumer traffic and spending in the first quarter of 2017.

When asked how they thought they would be doing financially a year from now, 43% of consumers expect to be worse off. Hardy added, “Expectations for how often consumers will eat in restaurants over the next three months were down almost across the board for segments and dayparts, with only dinner at casual dining and fine dining showing any uptick.” The report also confirmed that consumers see a value gap between eating at home when compared to

eating at restaurants. 42% of consumers prefer going out to restaurants vs. cooking at home. 61% of consumers feel that restaurant meals are too expensive compared to cooking at home. And 29% of consumers say they are eating out at restaurants less because of higher health insurance costs. New Q1 results won’t change the outlook. Red Robin’s first quarter same-store sales were down 1.2% Famous Dave’s, which had said earlier this month it would sell all company-owned restaurants to franchisees, now says it may close some underperforming units after a quarter in which comps were down 4.5%. And Jack in the Box subsidiary Qdoba’s had a 5.9% drop at company-owned locations.

5/18/2017

Seth Meyers

A 101-year-old man recently became the oldest person to sky dive. At least that’s

the explanation coming from United Airlines.

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