August 2012

TV ad campaigns fail to reach audiences

Nationwide US television advertising campaigns are failing to reach a large portion of their target audiences, according to new research based on TV viewing data.

Using figures from Nielsen and Kantar Media, ad targeting company Simulmedia has found that in many cases as many as three-quarters of marketers’ TV ad impressions are viewed by just 20 percent of their target audiences. According to its report, Unilever’s $6.3 million TV ad campaign for its Axe body spray was not seen by 60 percent of the 18 to 24-year-olds it was intended to reach in March this year. Similarly, Progressive Insurance spent $31.9 million on television ads in June, but a fifth of all adults older than 20 did not watch any of its TV ads that month. Similar patterns were observed during ad campaigns run by several of the largest advertisers in the US. In spite of the fragmentation of audiences across new media, TV ad spending remains the bulk of many companies’ marketing budgets. US advertisers are expected to allocate 42.2 percent of their total spending – $64 billion – to TV ads this year, an increase on the 39 per cent share five years ago, according to WPP’s GroupM.

The Best Book Reviews Money Can Buy

Reviews by ordinary people have become an essential mechanism for selling almost anything online; they are used for resorts, dermatologists, neighborhood restaurants, high-fashion boutiques, churches, parks, astrologers and healers — not to mention products like garbage pails, tweezers, spa slippers and cases for tablet computers. In many situations, these reviews are supplanting the marketing department, the press agent, advertisements, word of mouth and the professional critique. But not just any kind of review will do. They have to be somewhere between enthusiastic and ecstatic. “The wheels of online commerce run on positive reviews,” said Bing Liu, a data-mining expert at the University of Illinois, Chicago, whose 2008 research showed that 60 percent of the millions of product reviews on Amazon are five stars and an additional 20 percent are four stars. “But almost no one wants to write five-star reviews, so many of them have to be created.” Liu estimates that about one-third of all consumer reviews on the Internet are fake. Yet it is all but impossible to tell when reviews were written by the marketers or retailers (or by the authors themselves under pseudonyms), by customers (who might get a deal from a merchant for giving a good score) or by a hired third-party service.

Viacom Loads More Ads on Channels

Fewer people have been tuning into some of Viacom’s cable channels over the past year, so the company has turned to a timeworn but controversial method of maintaining ad revenue: adding more commercials.

According to data from TV-research firm Nielsen, the media conglomerate's Nickelodeon and Comedy Central networks boosted the amount of ad time they aired in the first half of 2012 by 9% from a year earlier, to a combined 1,901 hours. That followed a 7% rise in all of 2011 and a 4% rise in 2010, Nielsen found. As viewership drops at some of Viacom's channels, what the company receives for a typical commercial spot can decrease. Increasing the amount of commercial time allows Viacom to make up some of the impact of the sharp ratings declines. Viacom's U.S. ad revenue fell 7% in the June quarter from a year earlier, after rising 1% in the March quarter. But that compared with a 29% drop in viewership at Nickelodeon, one of the company's biggest channels, in the first half of the year, according to a report by Barclays Capital, based on Nielsen data. Other Viacom channels, including Comedy Central, have also lost viewers, but by a much smaller degree.

Twitter appeals order to reveal protester's information

Twitter filed an appeal with the New York State Supreme Court, looking to overturn a lower court's order to reveal the personal information of one of its users.

New York City prosecutors are demanding Twitter's data on Malcolm Harris, who was arrested for disorderly conduct during an Occupy Wall Street protest. The prosecutors asked Twitter for Harris's email address and all of his tweets in a three-month period. Twitter argued that police would need a search warrant to access the communications and that Harris has the legal standing to challenge the request on his own. A lower court denied Twitter's motion in June and ordered the company to handover the information.

FCC Denies Stay of Viewability/Dual Carriage Order

The Federal Communications Commission has denied broadcasters' request for a stay of the FCC's viewability/dual carriage decision that, starting in December, cable operators with hybrid analog/digital systems don't have to deliver must-carry TV stations in both formats. The FCC voted unanimously in June to lift that requirement. Broadcasters had been pushing the FCC to extend that requirement another three years, while cable operators said it was time to lift it and give them more capacity to offer other services consumers might want. Both sides were doing hefty lobbying in the run-up to the vote, but cable's arguments held sway in the final order.

Appeals Court Upholds Injunction Against ivi

A federal appeals court may have put the final nail in ivi's coffin.

The U.S. Court of Appeals for the Second Circuit upheld a lower court's temporary injunction against the online pay TV service that was streaming over-the-air TV stations on the Internet without getting permission from the station owners. The ruling was a sweet victory for TV station owners, which are still in legal battle with Aereo and Barrydriller.com, two services that also aim stream TV station signals over the Internet. Broadcast owners NBC, CBS, Fox, ABC, The CW, PBS, Tribune, Univision and others sued ivi in 2010 for infringing on their copyright. The U.S. District Court for the southern district of New York granted the broadcast owners' request for a preliminary injunction in 2011.

Is Twitter good or bad for political journalism?

The rise of social media tools such as blogs and Twitter have changed the political landscape, in part by speeding up the news cycle and broadening the range of sources that are available. But are these developments good or bad for the practice of political journalism?

Pasadena publisher launches a system for outsourcing local news

A publisher in Pasadena (CA) who said he received death threats when he started hiring workers in India to write local stories five years ago nevertheless has launched a business to help other local publishers start outsourcing.

James Macpherson, who founded local news site Pasadena Now nine years ago, launched a business called Journtent last week, just a month after the outsourcing company Journatic sparked panic in US newsrooms when it emerged that local stories outsourced to Journatic by the Chicago Tribune, the Houston Chronicle and others had been written abroad and then published with fake, American-sounding bylines. More recently, there have been reports of Journatic laying off staff and cancelling independent contracts as it tries to recover from the scandal.

US general says his forces carried out cyberattacks on opponents in Afghanistan

The U.S. military has been launching cyberattacks against its opponents in Afghanistan, a senior officer says, making an unusually explicit acknowledgment of the oft-hidden world of electronic warfare.

Marine Lt. Gen. Richard P. Mills’ comments came at a conference in Baltimore during which he explained how U.S. commanders considered cyber weapons an important part of their arsenal. “I can tell you that as a commander in Afghanistan in the year 2010, I was able to use my cyber operations against my adversary with great impact,” Gen Mills said. “I was able to get inside his nets, infect his command-and-control, and in fact defend myself against his almost constant incursions to get inside my wire, to affect my operations.” Gen Mills, now a deputy commandant with the Marine Corps, was in charge of international forces in southwestern Afghanistan between 2010 and 2011, according to his official biography. He didn’t go into any further detail as to the nature or scope of his forces’ attacks, but experts said that such a public admission that they were being carried out was itself striking.

German privacy advocates give Facebook an ultimatum on app center

Germany's biggest consumer lobby group believes Facebook is violating privacy laws with its new app center and has set a deadline for the social network operator to fix it, or potentially face legal action. The German federation of consumer organizations said on Monday the social network was giving away customer data via its new app center without notifying users. It will consider legal action against Menlo Park-based Facebook if the site fails to fix the problem by Sept. 4, a spokeswoman said.