Tuesday, December 11, 2007
Internet Advertising Forces Money Back Guarantee Advertising On TV
Is Internet advertising having such an impact that networks are forced to give money back guarantees?
Last week ZenithOptimedia said Internet spending grew 32% this year, while all other media measured grew by single-digit percentages.
It also predicted Internet advertising will pass three milestones in the next three years: It will overtake radio advertising in 2008, attain a double-digit share of all global advertising in 2009 and overtake magazine advertising in 2010.
NBC Refunds Advertisers
Fourth-ranked broadcaster NBC has quietly begun reimbursing advertisers an average of $500,000 each for failing to reach guaranteed ratings levels, the first time a network has taken such a step in years, media buyers said.
CBS, ABC and Fox also are doling out make-goods, primarily for the first quarter. They have blamed softness on a new ratings formula, but media agencies disagree. None of the networks would comment.
How will TV networks take back control? It's coming and it is the Next Google.
The Next Google will be able to collect data, second-by-second, from all services/devices connected to the broadband pipe and deliver relevant advertising to ANY display.
Quoting the CEO of The Next Google.." the ability to report actual anonymous second-by-second program and advertising audience viewership data from tens of millions of set top boxes (STB)s represents a huge technological and informational leap from today's television measurement standard"
Don't you think advertisers will end up paying higher rates knowing their ads are being delivered in this manner?
Know what company does this?