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April 11, 2006

Alternative Media In High Gear

There's been a lot of talk lately about the growing world of Podcasts, Blogs, & RSS Feeds.  Now, PQ Media track's the growth of these market segments and their growing importance as a part of the modern advertising matrix. 

From PQ Media:

The culmination of six months of primary research, this report found that blog, podcast and RSS advertising are the fastest growing segments of the alternative media industry. These segments, known as user-generated online media, expanded at an aggregate 198.4% to $20.4 million in 2005, and are expected to grow another 144.9% to $49.8 million in 2006.

  • Blog advertising accounted for 81.4%, or $16.6 million, of total spending on blog, podcast and RSS advertising in 2005, but will comprise only 39.7% of the total in 2010
  • Podcast advertising, meanwhile, reached $3.1 million in 2005, and is projected to grow at a compound annual rate of 154.4% from 2006 to 2010, when it will be larger than blog advertising
  • RSS advertising, non-existent until mid-2005, generated spending of $650,000 in 2005, but will be the fastest growing segment over the next five years

A free download is available from PQ's site that includes the executive summary and index of the report, which is also available for purchase.

March 15, 2006

2006: The Year of the Woman?

So far this year we've seen XM set the tone by hiring Oprah Winfrey to create her own channel on satellite radio geared toward women.  Three weeks later NBC makes a large push to get a digital -hold on the world of the woman consumer by acquiring the popular website, iVillage,   "The Internet Home for Women."  Sirius chimed in with its own version today by launching Cosmo Radio.  The channel devoted to all things Women in the same style as the magazine, Cosmopolitan. 

Cosmo Radio is part of Sirius radio's Lifestyle package that already includes Martha Stewart's channel and the Lime channel, which addresses healthy living.  This is just the latest example of women being targeted as specific consumers and satellite radio's timeline for success.

Both XM and Sirius have made it clear to become and remain successful in this business, one must produce quality music programming covering all musical tastes.  After that is established, you first go after the tech-savvy "early adopters," then go after the men with incredible sports packages and aggressive radio personalities (Opie and Anthony, Howard Stern) and lastly the women with entertaining and enlightening programs with brand names and people you know and trust.

Links:
Radio Ink

February 21, 2006

Sporting for New Owners

The web has changed the dynamics of information.  The latest example is Paul Allen's Sporting News, which is now in the market for new ownership.  What is particularly interesting is the direct impact that the internet has had on the Sporting News' identity.  The magazine which, historically has had a reputation for providing intricate statistical information now faces a challenge in an age where statistics and sports analysis tools are readily available online. The big question is will the magazine's identity crisis have an impact on its sale price?  We'll continue to monitor the situation here at The Media Backpage.

Link:

NY Times Article

February 15, 2006

SI Takes iTunes to the Beach

Sports Illustrated's Swimsuit issue is always an 'event' but this year the magazine makes a big splash with a dedicated website that is both content rich and full of A-list advertisers from Honda to Budweiser, as well text-based ads from Yahoo! Search Marketing. 

Beyond the print issue, SI has used several techniques to raise awareness and promote the issue online.  First, the Swimsuit site taps into several different options for users to experience the issue from extended pictorials to sponsored streaming video, and special sponsored sectionsSecond, SI has integrated a number of tools whereby fans can both experience and promote the issue from buddy icons for instant messaging to downloadable cell phone backgrounds.  

The multi-platform approach has also sought to monetize videos that SI shoots each year of the pictorial shoots by producing vignettes on some of the models.  The magazine has made these mini-programs iPod friendly, and available for download through Apple's iTunes for $1.99 each or $9.99 for the set. (iTunes link). 

Links:

Media Post

Nielsen Goes To College

IN THE WORLD of marketing and advertising a key target group is that of college students 18-24.  Despite the segments importance for advertisers and networks, it has been historically difficult to measure what college students view, since they live in temporary dwellings that are not traditionally included in the ratings mix.  As the media landscape continues to be redefined, both content companies and their advertisers are seeking better metrics to track their efforts.  With that in mind, Nielsen Media Research, the company that measures television audiences, has announced that they will include college students beginning in early 2007.  In doing so the company will be able to better determine what they are watching (my bets are MTV, Fox, ESPN, and Comedy Central) and empower broadcasters and advertisers to better understand the demo.  As part of the unprecedented move, Nielsen will survey college students who live both on and off campus from dorm rooms to frat houses.

Links:

Crain's New York

Nielsen Press Release

February 8, 2006

The Reverse-Tivo Effect

The Super Bowl is always a massive-hyped event that draws over 90 million Americans to the viewing table, produces extravagent fanfare, celebrity parties, and 30-second commercials that dominate the water cooler on Monday.  However, with the addition of Tivo, DVRs, video iPods, and blogs, advertisers really are getting their money's worth out of the millions it costs to air one, 30 second spot.  With the blogging world as large as it is, website portals like Google Video, MSN, Yahoo, and AOL all replaying the Super Bowl commercials, companies that invested one-quarter of their annual advertising budget on one ad are reaping the benefits.  The Wall Street Journal profiled Emerald Nuts and it's profits tripled in one year from running their first Super Bowl commercial ad during the 2005 big game.

The reverse-Tivo effect is, basically people skipping the program they record to get to the commericials.   This is bizarre occurrence that only happens one day a year.  It's the reason why networks shell out billions of dollars for the rights to broadcast NFL games.  It is also one of those rare situations where everyone wins; the network is happy, the advertiser is happy, and the consumer is happy.  Just make sure the commercial is funny, or else your finished.

NY Times

February 3, 2006

The Trend Continues: Print Newspapers Are Dying Fast

The Tribune Company posted a 38% drop in profits as 4th quarter reports were released this week.  The parent company to the LA Times and Chicago Tribune said this week that its fourth-quarter ’05 profit was down 38% from a year earlier on charges related to the shutdown of an LA Times printing facility and 900 job cuts, along with decreased ad revenue at its newspapers and TV stations.  In total, sales at Tribune's television and radio business dropped 11 percent as demand for ads from telecommunications and automobile companies fell. 

This is a very scary trend for the world of traditional media.  For the past 50 years, Print, TV and Radio have been a goldmine for advertising.  With the internet as a major player now, newspaper readership is continuing a downward spiral and finally the advertisers are following suit.  Most major newspapers have poured cash into their online services as a way to keep pace with the developing trend.  However reading content from these papers online is still free and will stay that way.  Newspapers make their money in circulation and in advertisements.  With the automobile industry footing the bill.

However, in recent years automobile advertising has increasingly been finding new ways to reach potential customers through online ads, video podcasts, sponsorships and other modern opportunities.  If they continue to pull money from newspapers, we might see the end of the print version of an American staple. 

If that is the case, look for online newspapers to charge subscription fees for their content.  Most offer you a free look at the last two weeks of articles that appeared in print, like the LA Times, NY Times, The Washington Post Boston Globe.  However papers like The Wall Street Journal already charge a subscription fee to view their articles.   A successful model that might keep the industry alive for a few more years.  

However, newspaper giants like Tribune will never make the kind of money they did from the last half of the twentieth century.

NY Times
Radio INK

January 31, 2006

This Just In: Advertising Wants In Your iPod

So I'm a bit skeptical on the issue because we've addressed it before on The Media Backpage.  The issue is how can the advertising community best utilize the latest craze of video iPods?  Advertisers are still navigating these unfamiliar waters with the further development of the video iPod and recently companies are trying to take their traditional 30-second spots for television and reformat them for your iPod.  This is the wrong approach.  Advertising executives need to think outside their traditional realm as video blogs and programs are their own medium and need to attract uniquely crafted messages.  The sooner companies learn how to capitalize on this new medium, the better chance they have of getting their product or service noticed by this ever-growing population. 

Keep monitoring the trend on The Media Backpage - we're all over this trend.

January 16, 2006

After 25 Years an Absolut Makeover

While most advertisers often try new ideas few stick with the same campaign for a quarter of a century.  Despite traditional logic or other advertisers behavior has the folks at Absolut Vodka have stuck with the same Absolut campaign style for the past 25 years.  The campaign, which was rooted in print for the past few decades, prior to television outlets accepting the hard liquor ads, routinely featured a design of an Absolut bottle in any number of settings or locations.   

Absolut VodkaBeginning today, Absolut will begin a new series of advertisements that will unlike their predecessors appear on television and feature a variety of American icons.  The new ads will for one thing be similar to the previous campaign in that they are sure to continue the tradition of playing on the Absolut name and the distinct look and design of the drink's bottle.

The campaign is designed to tap into TV's new-found acceptance of hard-liquor advertising and help reach more twenty-somethings.  We're also pretty sure the ads will in some sense become instant classics like their ancestors.

It's All About the Mobile...too?

The MediaBackpage is all over this topic.  Last week, you saw broadcast television stations like CBS, talking about launching "smaller screen" soap operas to hit your cell phones.  It didn't take long for advertisers to follow suit. In part of a push by marketers to create an "up close and personal" advertising campaign, cell phone providers are exploring ways to deliver video, audio, banner clips directly to your mobile.

It gets better, The New York Times details the latest technological advancements as marketers are gearing up to use your GPS to send advertisements that are relevant to your location.  Meaning a store or restaurant can send you a 3-second advertisement clip as you pass by, to try an entice you to come inside.  Are you ready for this yet?

January 5, 2006

Traditional Advertising Will Never Be the Same

Allstate changed its advertising philosophy and opted to not load-up on "upfront" ad buys in 2006.  Traditionally, Allstate gears up about $100 million to the big four networks (CBS, NBC, ABC and FOX) which allows the networks to flaunt their fall television schedule and gives them financial flexibility before the TV season begins (when buying upfront, the networks give advertisers huge discounts).  According to the Wall Street Journal, broadcast networks attracted 35% of the TV audience down from 57% 10 years ago...in the same period, the big four broadcast networks nearly doubled upfront sales to $8.3 billion from $4.5 billion.  Allstate has always been one of the most loyal advertisers in the business and if this trend continues across the board, it only proves that advertisers are focusing their time and money on the developing new media. Wall Street Journal Link (Subscription Req'd.)

Meet Us

Jason Cohen Jason Cohen is a veteran of both the media and public relations industries. He established CityCast Media, LLC. with the vision to provide strategic-integrated public relations and marketing solutions.

Jason Cohen Brett Kaplan joins CityCast Media with a wide variety of experiences in media from Westwood One Radio to Major League Baseball. Throughout his career Kaplan has tapped into new technologies and sought creative partnerships that create unique media content

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