CBS In Need Of Core Changes

CBS IN NEED OF CORE CHANGES
[SOURCE: MediaDailyNews, AUTHOR: Diane Mermigas]
Wall Street is lowering earnings expectations for CBS Corp. as they anticipate the worst for the advertising-dependent, pure-play broadcaster being squeezed by shaky program ratings and a soft advertising market. But those warnings may not go far enough. With 90%-plus advertising exposure, CBS is not only more vulnerable than its media peers to a possible economic recession but also to something far more devastating and permanent: the replacement of television's random advertising pricing and placement with more of a fully accountable, front-end automation system being forged by Google. Google's automated process allows smaller advertisers the same targeted consumer reach as big advertisers, and lowers the cost of ad placement while boosting margins. It also allows content owners to charge more appropriate market prices for their inventory while reaching a broader range of consumers. Google's overhaul ad buying process is gaining traction. It will be broadly adopted to become a universal system of advertising measurability and accountability within five years
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