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So Far, Kids' TV Saved From Ad Hits
Wayne
Friedman
MediaPost
October 13, 2008
A serious weakening in the economy has not affected the
crucial fourth-quarter kids' TV advertising
business--yet.
"We haven't felt it in the fourth quarter," says John
O'Hara, senior vice president and general manager of
advertising sales for The Cartoon Network. "We netted
out in a better position. One or two advertisers wanted
to expand [their upfront buys]."
Dan Barnathan--president of 4Kids Entertainment
Advertising Sales, the company that runs all kids'
programming on Saturday morning for Fox and CW--hasn't
seen many, if any, cuts to date either.
Industry leader Nickelodeon has not had a problem with
any TV marketers asking for pullbacks, according to
media executives. Nickelodeon representatives would not
comment for this story.
Other kids' TV network executives, as well as kids'
media-buying executives, agree that little has changed
with regard to advertisers cutting back their ad
schedules in the fourth quarter. Demand has held,
despite the seismic gyrations of the stock market and
the economy.
Shelley Hirsch, chief executive officer of Beacon Media
Group, a kids' TV buyer, says none of his clients have
asked for relief from the networks in pulling back media
schedules.
As with the prime-time TV market and other dayparts in
the fourth quarter, TV networks and other programmers
typically have a rule concerning upfront business: Kids'
TV advertising orders are firm and can't be changed.
But TV advertisers from time to time do ask to get out
of deals, given severe economic or financial
circumstances. Usually, networks-- looking to keep a
business relationship healthy--will oblige.
In regard to the $800 million kids' upfront buying
season, which occurs around the same time as the
prime-time, daytime, late-night and other time-period
sales in May, June, and July, almost half of all kids'
dollars go into the fourth quarter--in particular, the
crucial eight to 10 selling weeks before the holidays.
In recent years, the ad push has been driven by toy
manufacturers, movie companies and rapidly increasingly
video game media dollars.
Although economic concerns are making many TV
advertising executives nervous, they hope late scatter
money will be added to their coffers. Cartoon Network's
O'Hara expects that more retail, gaming, apparel,
footwear and movie company money could be added.
"Some of those categories will drive demand," he noted.
"We do have pockets of inventory. We are doing scatter
deals at healthy increases."
Media-buying executives say last year's upfront may have
been a little down, maybe $50 million--or flat--versus a
year ago to the current level of $800 million.
Pricing in the fourth quarter for kids' TV programming
was up about 5% higher than a year ago. But other
periods--first, second and third 2009--were softer, flat
or down a couple of percentage points versus a year ago.
One media buyer reports that kids' food TV advertising
money is down this season, as well as toy companies.
4Kids Entertainment's Barnathan says it appears that
apparel and retail advertisers are up slightly.
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