In 1973, a company wanting to reach 95 percent of women aged 25-49 would only need three network commercials. "Today, you would need 92 commercials to reach that same group"
-- Jon Kramer, Group President of EMARK

Proctor & Gamble is cutting back on its TV spending. The WSJ suggests that a bulk of the money will shift to product placement. I'm curious how far we can take product placement without losing viewership and also how much business product placement can really drive. Curiously, none of the news media suggested the money might roll to interactive.

[From LA Times and WSJ]

According to TheStreet.com, Gannett bought PointRoll for more than $100 million. This is an incredibly impressive feat for outgoing founder and CEO, Jules Gardner.

Next week, Mitsubishi will be taking over Yahoo's front page for the day. This effort will generate 100 million impressions and hopefully generate 20,000 leads for the Eclipse. To get this, Mitsubishi needs around a 5% CTR and a 0.40% conversion rate from click-to-impression. That seems doable.

Takeovers are a great way to achieve both branding and direct marketing goals. But I have to wonder, how many impressions does Mitsubishi really need to accomplish this goal?

Owning all impressions on a homepage is guaranteed to bring a smile to any Fortune 500 CMO. It's simple, easy to understand, and fits the high reach model that they're used to buying on. It's also incredibly easy work for publishers and the agencies that negotiate the deals. Yahoo sells homepage takeovers for a flat fee for a full day.

I imagine that the Mitsubishi deal could be a ton more efficient if Mitsubishi set a frequency cap at 1 per user per day. Yahoo is unlikely to do this because it goes against their sales model (which works quite well for them) but I can't help but wonder if Mitsubishi's effort wouldn't be that much better for it.

For a big company, CNET does a great job pushing the publishing envelope. They have given up some significant ground to Gizmodo and Engadget but now the Empire Strikes Back. By embracing the blog empire model (modeling off of Weblogs Inc., which is loosely modeled off Gawker Media and About), they are now embracing niche publishing via their niche blogs. The look and feel can be improved but Nick and Jason now have competition from big media.

"At some stage it becomes more expensive to buy Google than it does network television"
-- Rishad Tobaccowala, Chief Innovation Officer, Publicis Groupe Media

Tobaccowala is correct but we're already at that stage. If the minimum CPC for Google Search is $0.05, then the effective CPM per pageview generated from an advertisement on Google is already $50. That's expensive -- and way more expensive than what advertisers pay for network television.

Perhaps what Tobaccowala really means is that, from a total cost perspective, Google may garner more money than network television on the average traditional advertiser's media plan. Frankly, I doubt this will ever happen unless network television completely falls apart. AdWords on Google are already expensive (from an eCPM perspective) and most advertisers buy 10-1000 keywords (unless you're eBay or Amazon and buy millions of keywords) per month. Even if the search volume/inventory doubles, total billings spent wouldn't come close to amount required to compete with network TV billings. Moreover, even if the cost of AdWords doubles, it's not there. Search is a great way to reach a lean-forward audience. It's also an incredible business that may one day overtake network TV in total aggregate billings across all media deals. But unless search evolves into a completely different animal, it's unlikely to take over network TV from a media-billings-per-plan perspective.

[from ClickZ and MarketingToday]

"Advertisers really need to take P2P very seriously, because...right now, P2P is happening, and it's happening without advertising. It will grow, and it's only a matter of advertisers supporting that content. Marketers need to think how they can take advantage of the technology. It's a very simple extension to embed the ads into that content."
-- Brian Wieser, vice president, director of industry analysis at Magna Global USA

Wieser has an interested take on migrating TV programming to P2P networks. He's right that it's easy to insert advertising into a file and flood P2P networks with the files. But it's not clear that consumers will choose content via P2P with advertising if they can just as easily get content without advertising. I'd love to see a legal BitTorrent exchange where on-air programming was distributed by TV Networks with advertising and the actual delivered impressions were tracked (and paid for by advertisers). Easier said than done but that might help advertisers and content producers keep up with an on-demand generation.

[from MediaPost]

"The collapse of the old marketing model will unleash vast forces, and it will be coming at you. The marketing world isn't ready yet. The agency world isn't ready yet. Hollywood isn't ready yet. The online universe certainly isn't ready yet."
-- Bob Garfield, Editor-at-Large at Advertising Age

I'm not at OMMA and I don't want to take a juicy quote out of context but
I can't help but wonder if Bob Garfield, the premiere reviewer of :30 in the country, is ready for the collapse.

The reality is that marketers already spend billions online every quarter. Yes, the online universe can use more money but the system is well primed to take and recieve. Publishers still offload remnant inventory at rock bottom prices because there simply isn't enough quality advertising money to go around.

AdAge's readership, mostly traditional agency execs, built their business on buying :30 spots. Fortunately for them, continued expansion of broadband ensures a future for tv. In the short and long run, advertisers will transition to :15 spots and run them online...meanwhile searching for remarkable ways to improve the impact of their standard web units.

The buying marketplace will continue to fragment over time. It will be difficult to reach 20MM people over 30 seconds in one moment . But the good news is that when you run your ads, people will see them.