the daily news of tv sales monday, may 9, 2016 fcc ... · resume to: [email protected] kcci,...

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DISPUTE OVER VIDEO COMPETITION REPORT Broadcast television stations are adding to video competition with HD, new digital channels and mobile transmissions, according to the 17th annual Video Competition Report from the Federal Communications Commission. The report to Congress also says over-the- top (OTT) services—which the report calls online video distributors (OVDs)—are growing and adding to competition. Meanwhile, the report indicates that TV Everywhere is stuck in low gear and MVPDs are experiencing a subscriber decline—although the report does credit cable operators with moving to all-digital delivery of video channels. While there are no real surprises in the report, its release did create some controversy at the FCC. The first 16 annual reports were issued by the Commission after review and a vote by the Commissioners. This time, though, the report was issued by the Media Bureau without any vote by the Commissioners. That upset the Commission’s two Republicans, Ajit Pai and Michael O’Rielly, who called for Congress to investigate the practice of bypassing the Commissioners. The report credited broadcast TV stations with taking “advantage of digital broadcasting technology to offer improved service to the public.” At the end of 2014 1,545 full-power stations (87%) were broadcasting in HD. Broadcasters were also making established and new networks available to more people through digital multicast signals. And the report noted that 145 commercial mobile DTV stations broadcast more than 160 live mobile video channels from the Top 50 television station groups. An increasing number of households are relying on over-the-air broadcasting without MVPD service. The report, citing Nielsen data, said that grew to 11.4 million households at the end of 2014 from 11.2 million a year earlier. The report didn’t try to quantify OVD use, but said it is growing and that tech companies are making more and more devices designed to be used for viewing streamed video. “OVDs account for an increasing portion of Internet traffic during peak hours,” the report noted. The annual report noted the second year of decline in total MVPD video subscribers, dropping to 101.6 million households at the end of 2014. “MVPDs continue to increase video revenue, in part, by raising the prices charged for video services,” the FCC said. ADVERTISER NEWS Creative packaging such as names and phrases on bottles and cans was believed to have been beneficial to Coke sales, and now Advertising Age says Budweiser is looking to gain some extra sales with patriotic packaging including replacing the Budweiser name with “America” in the familiar Bud script. Other patriotic phrases such as “E Pluribus Unum” and “Land of the Free” would also be used according to a filing the company made with the Alcohol and Tobacco Tax and Trade Bureau……NewsCorp’s New York Post is reporting J.C. Penney took “drastic cost-cut measures” last month as it approached the end of its fiscal quarter by slashing payroll and freezing overtime among other steps. A memo obtained by the paper said “we have an expense challenge for the month of April and are asking all stores to do their fair share.” Penney will report quarterly results later this week……Kellogg had a tough quarter with profit down 33% due to both reduced revenue and currency translations on international sales. The company says its U.S. breakfast business gained a bit in share (0.2 points) but in a declining category, revenue was down 1.2%......L Brands had a mixed April: same-store sales were up 5% at Bath & Body Works, but down 1% at Victoria’s Secret……While some other of the newer supermarket chains are struggling, Sprouts Farmers Market continues to prosper and expand. For the quarter that ended on 4/3, comp store sales were up 4.8% and total sales rose 16%. So far this year it has opened 14 new stores and is working on entry into six new states (Arkansas, Louisiana, Alabama, Florida, North Carolina and South Carolina) in the near future……Conn’s monthly comparisons continue to suffer after it chose to exit the gaming and digital imaging categories—total comp store sales were down 1.9% despite a 2.1% increase in furniture and mattresses……Fred’s comps were up a tepid 0.3% Continued on Page 3 FCC: BROADCAST, OTT INCREASING OPTIONS 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 Monday, May 9, 2016

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Page 1: The Daily News of TV Sales Monday, May 9, 2016 FCC ... · resume to: jobs@tmediasales.com KCCI, Hearst Television’s CBS affiliate in Des Moines, has an opening for an experienced

www.SpotsnDots.com

DISPUTE OVER VIDEO COMPETITION REPORT Broadcast television stations are adding to video competition with HD, new digital channels and mobile transmissions, according to the 17th annual Video Competition Report from the Federal Communications Commission. The report to Congress also says over-the-top (OTT) services—which the report calls online video distributors (OVDs)—are growing and adding to competition. Meanwhile, the report indicates that TV Everywhere is stuck in low gear and MVPDs are experiencing a subscriber decline—although the report does credit cable operators with moving to all-digital delivery of video channels. While there are no real surprises in the report, its release did create some controversy at the FCC. The first 16 annual reports were issued by the Commission after review and a vote by the Commissioners. This time, though, the report was issued by the Media Bureau without any vote by the Commissioners. That upset the Commission’s two Republicans, Ajit Pai and Michael O’Rielly, who called for Congress to investigate the practice of bypassing the Commissioners. The report credited broadcast TV stations with taking “advantage of digital broadcasting technology to offer improved service to the public.” At the end of 2014 1,545 full-power stations (87%) were broadcasting in HD. Broadcasters were also making established and new networks available to more people through digital multicast signals. And the report noted that 145 commercial mobile DTV stations broadcast more than 160 live mobile video channels from the Top 50 television station groups. An increasing number of households are relying on over-the-air broadcasting without MVPD service. The report, citing Nielsen data, said that grew to 11.4 million households at the end of 2014 from 11.2 million a year earlier. The report didn’t try to quantify OVD use, but said it is growing and that tech companies are making more and more devices designed to be used for viewing streamed video. “OVDs account for an increasing portion of Internet traffic during peak hours,” the report noted. The annual report noted the second year of decline in total MVPD video subscribers, dropping to 101.6 million households at the end of 2014. “MVPDs continue to increase video revenue, in part, by raising the prices charged for video services,” the FCC said.

ADVERTISER NEWS Creative packaging such as names and phrases on bottles and cans was believed to have been beneficial to Coke sales, and now Advertising Age says Budweiser is looking to gain some extra sales with patriotic packaging including replacing the Budweiser name with “America” in the familiar Bud script. Other patriotic phrases such as “E Pluribus Unum” and “Land of the Free” would also be used according to a filing the company made with the Alcohol and Tobacco Tax and Trade Bureau……NewsCorp’s New

York Post is reporting J.C. Penney took “drastic cost-cut measures” last month as it approached the end of its fiscal quarter by slashing payroll and freezing overtime among other steps. A memo obtained by the paper said “we have an expense challenge for the month of April and are asking all stores to do their fair share.” Penney will report quarterly results later this week……Kellogg had a tough quarter with profit down 33% due to both reduced

revenue and currency translations on international sales. The company says its U.S. breakfast business gained a bit in share (0.2 points) but in a declining category, revenue was down 1.2%......L Brands had a mixed April: same-store sales were up 5% at Bath & Body Works, but down 1% at Victoria’s Secret……While some other of the newer supermarket chains are struggling, Sprouts Farmers Market continues to prosper and expand. For the quarter that ended on 4/3, comp store sales were up 4.8% and total sales rose 16%. So far this year it has opened 14 new stores and is working on entry into six new states (Arkansas, Louisiana, Alabama, Florida, North Carolina and South Carolina) in the near future……Conn’s monthly comparisons continue to suffer after it chose to exit the gaming and digital imaging categories—total comp store sales were down 1.9% despite a 2.1% increase in furniture and mattresses……Fred’s comps were up a tepid 0.3%Continued on Page 3

FCC: BROADCAST, OTT INCREASING OPTIONS

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 Monday, May 9, 2016

Page 2: The Daily News of TV Sales Monday, May 9, 2016 FCC ... · resume to: jobs@tmediasales.com KCCI, Hearst Television’s CBS affiliate in Des Moines, has an opening for an experienced

PAGE 2

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

NETWORK NEWS ABC has ordered to series Designated Survivor starring Kiefer Sutherland. The drama is scheduled to debut this fall……Coach Blake Shelton will debut his new song, “Go Ahead and Break My Heart,” on the tonight’s live episode of The Voice at 8:00 pm (ET) on NBC. The country music superstar will be joined by special guest and fellow Voice coach Gwen Stefani. This song is part of Shelton’s new album, “If I’m Honest,” which is due out May 20……CBS has given Criminal Minds a full season renewal for the 2016-17 season, which will be its 11th. The series starring Joe Mantegna has been drawing an average 12.04 million viewers……Univision’s joint venture with Patricio Wills now has a name—W Studios—and its first production. W Studios will develop La Piloto (The Pilot), from Jorg Hiller. Inspired by real-life events, La Piloto tells the story of Yolanda, a girl who dreams of becoming a pilot. Destiny grants her wish, but she winds up flying small planes used to move drugs across Mexico, Colombia and Central America. Casting is now underway.

WEEKEND RATINGS The season finale of Blue Bloods powered CBS to victory on Friday night, scoring a primetime average 1.0 in Adults 18-49 in the Nielsen overnights and an average audience of 7.86 million. ABC, with Shark Tank, was at 0.9 18-49 and 4.70 million; NBC 0.8 18-49 and 4.51 million; FOX 0.5 18-49 and 1.56 million; and The CW 0.3 18-49 and 0.86 million. The NBA Playoffs owned Saturday primetime, giving ABC an average 1.4 in 18-49 and an average audience of 4.19 million. NBC, with the NHL Playoffs, was at 0.9 18-49 and 3.00 million; CBS 0.5 18-49 and 3.51 million; and FOX 0.3 18-49 and 1.00 million.

ACCOUNT ACTIONS WPP has rebranded its dedicated Ford agencies as GTB, an acronym for Global Team Blue. That includes the operations formerly known as Team Detroit, Blue Hive (which handled Ford outside the U.S.) and Retail First, which was created to drive traffic to Ford and Lincoln dealers. Hudson Rouge, serving Lincoln, will keep its name. GTB has 49 offices around the world……MediaPost reports that Granite City Food & Brewery has tapped LRXD, Denver, as its first agency of record. Minneapolis-based Granite City operates 35 restaurants in 14 states.

THIS AND THAT The FCC issued a brief announcement confirming that the five commissioners have approved the acquisition of Time Warner Cable and Bright House Networks by Charter Communications, but provided no details on the vote or conditions required……MIT economist Alberto Cavallo says his research has found that most of the time—72%—prices for online purchases are identical to those in stores......Ad Age says the Ted Cruz campaign and Super PACs spent $37.7 million on TV and radio for his failed campaign. For John Kasich the tally is $20.7 million.

AVAILS WIVB News 4 and CW 23 in Buffalo, NY is looking for a General Sales Manager to lead its Broadcast and Digital sales operations. This position is responsible for the performance of WIVB/WNLO (CBS/CW) and includes all digital sales components. The ideal candidate will have a Bachelor’s Degree, with a minimum of 5-10 years of recent television sales management experience including Local, National and Digital sales. CLICK HERE for more info or to apply now - choose ‘State’, then ‘City’ to see job details. Equal Opportunity Employer.

KPTV Fox12 / PDX TV Portland, OR is searching for a General Sales Manager. The GSM leads, manages and develops the sales team, maximizing broadcast and digital revenue through effective inventory and customer relationship management. Candidates must have a strong business development and NTR track record. Experience with National Sales preferred. The GSM must maintain a highly visible presence within

the national and local advertising community. Qualified candidates can apply at CLICK HERE for more info or to apply now. EOE. T Media Sales, a national rep firm, located in Los Angeles seeks a highly motivated, detail oriented sales assistant. This position will provide valuable support for the sales team from order entry to contract management; relationships with buyers and network clients. The ideal candidate will be a resourceful problem-solver, have excellent communication skills, and be a team player. He or she must be well-organized and be able to multi-task. Proficiency with Microsoft Office; Excel, Word and PowerPoint is a must. College degree preferred. Send resume to: [email protected] KCCI, Hearst Television’s CBS affiliate in Des Moines, has an opening for an experienced Local Sales Manager.

Looking for a leader with a proven track record of success in multi-platform sales. A manager who enjoys making local sales calls, invests in

the success of others, and creating new sales ideas. A teacher who is fair, consistent and positive with the ability to support, and inspire our sales and marketing team is a MUST. Leadership ability is essential. Please click HERE to apply. Equal Opportunity Employer. Regional Sales Account Executive: Morgan Murphy Media, (WISC-TV, TVW, Channel3000.com, Phase 3 Digital, and Madison Magazine), Madison, WI is seeking an experienced transactional seller to join one of the few family-owned media companies in the country. Candidate must be a tough negotiator, have a deep understanding of Nielsen and comScore ratings, and must be able to build and maintain strong professional relationships. Send cover letter, resume, and salary requirements to: [email protected]. Equal Opportunity Employer. Visit our website at http://www.channel3000.com5/9/2016

The American bison was just named the official mammal of the United States. To put

this in perspective, the bison narrowly beat out the McRib.

Conan O'Brien

Page 3: The Daily News of TV Sales Monday, May 9, 2016 FCC ... · resume to: jobs@tmediasales.com KCCI, Hearst Television’s CBS affiliate in Des Moines, has an opening for an experienced

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

PAGE 3

SMALL BUSINESSES OVERWHELMED BY REGS A survey of retail small businesses by GfK finds that they are generally optimistic about the future, but that they are increasingly concerned about the growing volume and cost of government regulations. The National Retail Federation (NRF) which commissioned the survey, says small retailers are being hindered in their ability to create jobs and drive economic growth due to the expanding scope and cost of government regulation. “Overregulation is undermining the resolve of small retailers,” declared NRF President and CEO Matthew Shay. 81% of the business owners surveyed said regulations weaken the appeal of owning a business. 69% said they are “overwhelmed by regulations, rules, and mandates,” including labor regulations, health care mandates, tax codes and safety guidelines. And only 44% believe government regulations achieve their objectives. NRF said the concerns were consistent regardless of political ideology and age, with majorities of conservatives and liberals, Millennials and older generations saying they were worried about regulations. The survey also looked at attitudes toward specific policies. 79% of small retailers support efforts to lower federal tax rates by eliminating tax loopholes, and 73% of small retailers are concerned by the complexity of the federal tax code. Nearly 60% believe proposed regulations to fine companies that allow flexible employee schedules would hurt their businesses. Overtime expansion proposed by the Labor Department would likely result in negative consequences for 44% of small business owners, according to the survey. And 37% of small retailers said raising the minimum wage to $15 per hour would either cause their business to fail or threaten its existence.

STATE COURT RULES AGAINST GM A Chevrolet dealership in Yonkers, NY (a suburb just over the city line from New York City) has won a victory in a state court that Automotive News says could force automakers to change the ways in which they measure dealers’ performance. General Motors has been using a metric called Retail Sales Index (RSI) to measure dealerships’ performance. The problem with that according to Beck Chevrolet is the RSI is based on a statewide average (including Buffalo where Chevy has a 23.1 share helped by the presence of thousands of GM factory workers). Chevy’s overall share in the New York City market is just a sixth-place 5.3% according to IHS Automotive/Polk. The court ruled GM’s failure to weigh local-market factors violated state law, saying “It is the equivalent of holding a dealer in New York State to a standard based on the market of a foreign country.” And a lawyer who had been involved in drafting the law told Automotive News he believes the case “is going to apply to all manufacturer sales-performance formulas in all states when it comes to attempts to terminate dealers.” GM says it is studying the ruling and has no comment beyond that. It could appeal, but Automotive News suggests that’s unlikely.

AVAILS WUPV, in Richmond, VA has a fantastic opportunity for an experienced LSM or senior account executive ready to move up to our open LSM position in market #56. Strong background in Local Core/Digital sales and agency negotiation preferred. A well-developed skillset to budget, grow and accurately forecast revenue a must. If you possess creative leadership skills,

the ability to develop new business, relationship-building skills and a successful track record in television and/or media sales, send your resume to [email protected]. Drug Screen and MVR check required. EOE-M/F/D/V. Sales Assistant needed to assist multiple AEs in all aspects of the sales process for KTTV Fox 11, KCOP My13 and MyFoxLA.com in Los Angeles. Responsibilities include but

are not limited to inputting orders, checking contracts for accuracy, maintaining files for sales orders and organizing make goods. Will have frequent communication with media buyers and their assistants as well as interaction with other internal departments. May also be required to produce sales presentations in PowerPoint. CLICK HERE for qualifications, more info, and to apply now. EOE/M/F/Veteran/Disabled

PLAYSTATION OTT ADDS DISNEY Sony’s PlayStation Vue OTT service has added a group of channels from Disney and reduced prices to attract more subscribers (existing subs also get the $10 per month reduction). In addition to PlayStation devices, the OTT service can be accessed through Amazon Fire TV and Fire TV Stick, as well as iPads, iPhones and Google Chromecast on compatible iOS devices. ABC O&Os in several markets, Disney Channel, Disney Jr., Disney XD, ESPN and ESPN2 have been added to the basic “Access” package with over 60 channels, now priced at $39.99 per month. Fusion, ESPNU, ESPNNews and SEC Network have been added to the 75+ channels “Core” level at $44.99. All are also available on the 100+ channels “Elite” service at $54.99.

ADVERTISER NEWSContinued from Page 1last month; its CEO notes a lower-than-anticipated average price on prescriptions and “the impact of severe weather on the front of the store”……Mexican casual-dining chain Chuy’s had its 23rd straight quarter of positive comps with a 3.2% gain. The chain currently consists of 74 locations in 15 states and 11-13 more are slated for this year……J. Alexander’s Holdings reported a quarterly 3% drop in same-restaurant sales for its flagship chain, but a 0.7% increase at its smaller Stoney River Steakhouse & Grill banner. “I think the economy stunk in many markets,” the CEO said……Bojangles’ quarterly comps were up 2%; its CEO says “That discounting war is just not something that we’re going to participate in.”5/9/2016

‘Space Jam 2’ is in the works.It’ll feature LeBron James playing with a bunch of

make-believe teammates—or as LeBron calls them,

‘teammates.’

Jimmy Fallon