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Wednesday, June 29, 2016

Globalization Verse Isolationism

We live in interesting times.  While domestically, our political system grapples with issues ranging from immigration to unemployment, from freedom to security, from guns to the right to choose.  And as a democracy, we have a full range of thoughts and actions on how to accomplish our goals.  There are those that believe that we should be armed, that we must build walls to restrict entry, and we must tell others what they can do with their own bodies.  Others seek more regulation and restriction, interdependency, and choice.  But the one truth is that each of us have our own point on the line on where we stand, similar with some and different with others.

But what we face in the US seems no different than what is faced abroad and Brexit certainly demonstrates that a majority were fed up with status quo.  But unlike a revolution, a vote to exit the EU may answer one issue while creating so much more uncertainty.  In this case, no one seemed to plan out what the next steps should be should the vote pass.  Change and uncertainty consistently go together.

The riding question is if such a move to withdraw and separate is truly the right strategy.  Technology, media, communication, environmental issues, and so much more have made this planet Earth a much more smaller place to inhabit.  We all live on this one planet and for now we have no other planet to move to.  Rather than isolating ourselves, restricting movement, pushing others away, we need to learn how to listen, how to get along and ultimately to start growing up and behave like adults, not children.  Violent physical conflict should never be the answer; communication, conflict resolution, and compromise should be the global mantra.  Ultimately, "Can't We All Just Get Along."

As for our upcoming election, perhaps some will see a lesson learned from what the UK is now experiencing;  others will not.  Let's hope that a majority finds that we can find an orderly process.  But the world around us must also grow up too.  Violence should never be the answer.  But that esson might take a lot longer to learn. 

Tuesday, June 28, 2016

Intel Wants You To Know What They Do

Fascinating article in the NY Times about how Intel is using original content to craft its branding message.  It's no longer Intel Inside, rather, it is "experience what’s inside" to further describe the effects that Intel technology has on people's lives.  Of course no one tends to buy an Intel product and we think of them as components inside another brand.  Whether this ad campaign changes its bottom line or pushes them toward a more consumer product push remains to be seen. 

Friday, June 24, 2016

When Spokespeople Get Fired

The world of advertising with celebrity endorsements, funny catch phrases, and ordinary spokespeople, all try to capture the attention of the public and convince us that the product or service offered is the best one.  Over the years, a large number have become quite memorable, from Tony the Tiger for Frosted Flakes to Jared for Subway, some good and some bad.  And of course some great catchphrases too, from "Where's the Beef" to "Can You Hear Me Now?"

Yet advertising is a tricky business and nothing ever goes as planned.  Who would know that Jared would go from losing weight on Subway sandwiches to child porn.  But once a connection is made between performer and endorsement, managing that relationship, even when the campaign is stopped for a new direction, is a tricky business.  So I wonder why Verizon, who made their name on their spokesperson saying the phrase "Can You Hear Me Now", one that truly resonated in the annuls of advertising, would not have kept their young spokesperson on some kind of exclusive retainer.  Instead Verizon got a slap in the face.

The original...



And now...



Does AT&T have to worry about their young spokesperson "Lily, does Activia have to worry about Jamie Lee Curtis, or does it pay to keep them under some exclusivity?  Verizon certainly will find out if Sprint has caught them napping or not.

Wednesday, June 22, 2016

Goodbye Cablevision, Hello Altice

I started my ad sales career at Cablevision of Boston, a Charles Dolan business that was a part of the Cablevision Systems empire.  I left and rejoined Rainbow Media, a subsidiary of Cablevision and the network side of the business.  There I worked with cable networks like Bravo and IFC; eventually, more networks and responsibilities were added to my job description.  I watched the industry move from start up to mature and was sad when the Boston system was sold to Comcast and especially when Bravo and half the team I worked with was sold to NBC.  Eventually I was downsized too and left the Cablevision team.  Since then, Rainbow left Cablevision to become a standalone business AMC Networks, just as MSG did the same.  And today, Cablevision itself has officially sold itself.

The cable industry continues to mature.  Where once it was the upstart competing with broadcast; today, it is grouped with broadcast and competes with streaming.  Those early days were quite special and money flowed freely.  Business trips, management conferences to amazing locales, turkeys at Thanksgiving, stock options and more.  But as accountability tightened up and profit margin mattered more than employees (or even customers), many of those perks were dropped. 

I look at my career as I look at my life as chapters in a book still being written.  Those early chapters with Cablevision and Bravo/IFC were amazing.  I think back to them at times and smile.  To see the company that I spent more than 15 years with become no more does make me feel a little sad.  No regrets though as one must continue to keep writing the new chapters in living one's life.  Who knows what the next story will look like. 

Tuesday, June 21, 2016

Screens Bigger, 3D Blows According To Katzenberg

Speaking at CineEurope, Jeffrey Katzenberg, CEO of Dreamworks Animation, stated what we all know.  3D is gimmicky and used poorly while movie goers really prefer bigger screens, per Variety.  I couldn't agree more. 

I have always found 3D movies distracting, even when done on films like Avatar.  The glasses used are uncomfortable and the screen is more likely to strain the eyes then produce a better picture.  Instead, theater owners that have spent capital improvement on bigger screens, better seats in a stadium style arrangement, and a superior audio experience, have hopefully found consumers coming back again and again. 

At the same time, the price point used to buy a seat must remain reasonable, especially for a family outing.  If you price too high, these customers will find their home theater experience more than adequate.  Recently, I took our family of 4 to the movies.  Using Flixster, we bought the film, theater time and exact seats.  When we got to the movies, we only had to wait to pick up the printed copies.  No waiting in lines, no wondering if the movie was sold out or if we would find seats together.  At the same time, the cost for tickets, including the Flixster fee, exceed $50.  Add a stop at the refreshment stand and many families will be using their entire monthly entertainment budget. 

 Some movie houses have added more dinner options to encourage consumer spending, others have arcade areas to catch a few quarters more.  Ads before the movies adds more revenues.  One ad especially caught our attention.  It was for a production of One Man, Two Guvnors that had been filmed during its Broadway run and would be run in the theater.  An interesting way to add more options to what a movie screen can deliver.  As for the movie industry, continue to build a better destination experience, especially inside the auditorium and movie lovers will continue to return.

Sunday, May 22, 2016

Spectrum vs Xfinity vs Optimum

It's official!  Time Warner Cable and Bright House Networks are part of Charter Communications.  And with the merger will come new marketing intended to forget the old brand and think only good thoughts of the new cable company.  And the name Charter has chosen to market cable, phone and data is Spectrum.  If you think you have seen that name before, you have.  The Flyers and Sixers once played in the Spectrum.  There once was a cable network called Prism (sounds like Spectrum a bit) and there is a company already called Spectrum Brands.

Of course the notion of renaming its services under a different brand name comes right from the cable playbook.  Comcast introduced us to their Xfinity brand while Cablevision started it with its Optimum brand.  Whether Altice decides to keep that name once it acquires Cablevision in the next month or so remains to be seen.  Still, the strategy has proved a successful one.  Many people have no idea that the brand and the company are the same.

Can Charter take the Time Warner Cable properties and upgrade them and thus help improve their service and reputation?   Current TWC customers, especially in California, hope so.  If cord cutting doesn't kill them first, an opportunity to regain consumer trust and build a world class operation could certainly be possible.  We will have to wait and see how Charter Communications takes on this acquisition and invests in its infrastructure. 

Friday, May 13, 2016

Self Driving Cars To Combat Texting While Driving

With my son learning how to drive, I tend to say ad nauseum to watch out for the other drivers.  And it amazes me to watch how horribly others drive.  Sure, know one wants to start an accident, but I see daily drivers holding their cell phone by their wheel, looking down as they drive.  It makes their driving erratic and as my neighbor learned the hard way, caused an oncoming car to swerve into her lane and hit her.

The law may tell us to not text and drive and to keep our cell phone in our pocket, but the buzz and ring are Pavlovian, resulting in a desire to take them out and look at them.  We are all guilty.  It seems the current law may not be working no matter how many tickets the police may give or how many accidents are the result.

It may just be time to quickly embrace self driving cars.  If we can't control our impulses to text and drive, then we need our cars to be our friend and drive for us.  Uber without a driver.  For every life we save or accident we prevent, the better our self driving car experience will be.  For us and for others on the road.  But until all cars are self driving, put the cellphone away while driving and for your sake if not others, stop texting and driving. 

Tuesday, April 26, 2016

Less Commercials To Save Linear Television

We gravitate to streaming services like Netflix and Amazon Prime so that we can watch our video content when we want and how we want, without commercials.  It has been the rise in commercial minutes per hour that has hastened the departure of viewers from linear TV. But perhaps slowly, networks are recognizing that too many commercials may be a wrong play.

Starting next year, Saturday Night Live, an NBC late night staple for 40 plus years, is reducing the number of commercials by 30%.  According to Ad Age, "It will do this by removing two commercial breaks per episode, giving viewers more content, said Linda Yaccarino, chairman-advertising sales and client partnerships, NBC Universal."  In addition, it will also use branded original content to drive ad revenue.  It may not be as blatant as Jack Benny selling Lucky Strike cigarettes or Jello, but it will certainly attach a particular brand to real content.  Certainly more appealing than most of the commercials that currently air.

The article also adds that other cable networks are also considering reducing ad load.  "Viacom and Turner are also working to reduce the number of commercial minutes in prime time."  Let's hope that more follow.  And while the cost of an ad may rise, so too may be the number of viewers that stick with a linear show and continue to watch. 

Friday, April 22, 2016

Viacom Couldn't Risk Losing Dish Carriage

For all the craziness surrounding Viacom these days, including the health of founder Sumner Redstone, dealing with a potential Dish drop might just have been the death of Viacom.  Luckily, MTV, Comedy Central, and the other Viacom channels will continue to be enjoyed by the 14 mm Dish subscribers.  According to Deadline, the programmer agreed to multiple demands, including channels that "will run on the satellite company’s Sling TV streamed service."  An important need to build value as a TV Everywhere provider.

And while other terms weren't announced, one must wonder if a price increase was also passed through.  Given the threat of cord cutting, it gets harder and harder to keep passing those costs on to the subscriber.  There is now a greater need to find revenue growth through more advertising and other assets.  Sling TV counts as one more way to drive growth and customer satisfaction to the Dish customer.