CRM - December 2007 - (Page 19)

Insight their network’s Web efforts, but ABC has given affiliates online recognition with geotargeting.“You see our logo on top, so National networks are distributing TV online to increase consumer we’re getting some credit for [the streamtouch points, but what does that mean for network affiliates? ing] as well,” says David Caldwell, creative ratings still high—despite declines in indi- services director at KTXS, a cobranded ou don’t need a TV to get TV. Networks have begun stream- vidual shows across the board—and Texas affiliate of both ABC and The CW. Local advertisers (and niche marketers) ing their shows over the Inter- advertisers displaying no signs of pulling have a vested interest: As the Web became net, in some cases mere hours out, many affiliates are staying positive. TV continues to be integral to personal a distribution channel, networks kept the after they’re broadcast on television. The trend has some in the industry feel- entertainment. Having the communal ad-based model that dates back to TV’s ing nervous. Local network affiliates, who experience of watching a show at the time earliest days, with 15- or 30-second spots carry network content, now face direct of broadcast still has the so-called “water- before, during, or after the streams. But competition from the online arms of the cooler effect.”“There’s nothing better than those ads have been for national brands, networks themselves. Although no one has watching The Office last night and being not the local dealerships and professionals yet shown any impact on affiliates from able to come in [to work] and say,‘Did you that affiliates have traditionally catered to through broadcast television. Internet-streamed content, conflict over see that? Wasn’t that funny?’ Microtargeting online may repurposed broadcast material is already and talk about it,”Baldwin says. Microtargeting may allow networks to supplant the brewing at the industry level: The Writers Still, Baldwin says he enjoys allow networks to local affiliates as middlemen Guild of America has threatened to strike knowing that if he does happen over profits from newer media, including to miss his favorite shows, they supplant affiliates as for smaller advertisers. But some affiliates remain confiwill be waiting for him online. middlemen for the Internet, cell phones, and iPods. Some are less excited about smaller advertisers. dent that there will always be a Despite fears of the Internet option eatplace for TV, KIEM’s Ingham ing into TV viewership, viewing remains at the TV-Internet relationship. record highs, according to Nielsen Media “Any rebroadcast of the show, we feel, says—even local TV. “The Internet won’t Research. The average American house- takes away from the potential audience. replace broadcast, just like television hold watched about 8.25 hours of TV per We don’t benefit from any of the [online] didn’t replace radio. They will co-exist.” Despite the competition, most stations day, level with last year. But as Internet rebroadcast,” says Hank Ingham, general streaming increases the networks’ viewer sales manager at KIEM, an NBC affili- are still hoping that Internet streams contouch points and as viewers enjoy the con- ate in California. And yet, rather than tinue to trail behind TV broadcasts. venience of on-demand shows, some local stealing TV’s viewers, Ingham says, the Otherwise, Caldwell asks, “What would affiliates worry about their business model. Web only fortifies audience loyalty. “The be the need for a [local] TV station, other “There was a little bit of concern, like, Internet offers additional opportuni- than the local news?” He adds that if all ‘Oh my God, are they trying to get around ties for nonviewers to sample network network content were available via the the affiliates?’” admits John Baldwin, cre- shows,” he says. “Once they’ve been Web, it would be very difficult for local stations to survive. “I don’t know what ative services director at WGAL, an NBC hooked, they’ll tune in to broadcast.” NBC affiliates have yet to benefit from we would do,” he says. —Jessica Tsai affiliate in Lancaster, Pa. But with overall PRIME TIME FOR STREAMING TV Y ( The Word on the Floor Various polls at the Association of National Advertisers Conference in Phoenix in early October asked for attendees’ anonymous participation through electronic polling devices. Here are some of the results: ) The 30-second ad is Dead 7% Dying 8% Which marketer will be most trusted? Other 8% The one The one with the with the next best analytics “big idea” 48% 52% How important is user-generated content to brand marketing? Essential 49% Worth a shot 46% A shot in the dark 5% Where will companies see the largest increase in investment? Web advertising 49% Its [disappearance] is exaggerated 70% Direct marketing 17% Sales promotion 11% PR 7% Search engine optimization 6% What will mean the most to marketers? (Top scorers) Creative 33% Marketing analytics 31% Which trend was over-hyped in 2007? (Top scorers) Widgets 31% Mobile 30% Other 10%

Table of Contents Feed for the Digital Edition of CRM - December 2007

CRM - December 2007 Contents Front Office Reality Check Customer Centricity SAP’s Midmarket Design A Shift in SAP’s Growth Strategy: Buy Big to Get Bigger The Buyer Is Your Owner Prime Time for Streaming TV The Word on the Floor Market Focus: Energy/Utilities: Speaking Truth to Power (Companies) The Pulse Required Reading It’s All Coming 2.0gether Power to the People Speak Up! Document Management That's a Breeze Customers Gain Traction With Off-Road Vehicles Getting Connected With Surveys Mobile Data Gets Better Reception Secret of My Success Re:Tooling The Tipping Point Pint of View

CRM - December 2007

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