Winners and Losers at the NewFronts So Far
The NewFronts aren’t over. In fact, the string of sales presentations aimed at convincing advertisers to park more spending in digital video continue through Thursday. But most of the biggest digital media players gave their pitches last week, which means it’s time to weigh in on winners and losers–Which media companies stood out? Did the overall process convince anyone to spend more money online as opposed to say, on TV?
Amanda Richman, president of investment and activation at Starcom, summed up the NewFronts this year as such: “Less swagger, more substance as the marketplace matures.”
But another top ad buyer said she came away from last week unsure what if anything she should bring to her clients from the NewFronts. Yet another buyer described the events as “the most overhyped week of the year.”
Clearly, opinions varied. However, here are some early takeaways, according to multiple media buyers:
Bloomberg
Hulu, with its mix of originals and TV show acquisitions, really stood out:
“Their story is compelling,” said Jordan Bitterman, chief strategy officer for North America at Mindshare. “The numbers are strong. They’ve got a good pipeline of content coming in.”
Adam Kasper, chief media officer for Havas Media, noted that the shows like “11/22/63,” Hulu’s upcoming adaptation of a Steven King book, marked the first time that he wanted to grab a show on behalf of a client during the NewFronts.
YouTube smartly stuck to its message and went after TV:
The Google-owned Web video giant put on a lavish show, once again emphasizing its home grown stars and monster reach, particularly among millennials. Its presentation focused on which YouTube channels are available via Google Preferred, its premium sales offering, which Google says sold out last year.
If there were any knocks against YouTube, it’s that the company may have leaned on its millennial reach too much. “If you were in the audience representing financial services, insurance or home improvement, you probably walked away with little understanding of how your brand fits,” said Mr. Bitterman.
But that John Green speech was polarizing:
Mr. Green, a YouTube creator who also wrote the book that inspired the hit film “The Fault in Our Stars,” delivered a lively speech at YouTube’s event during which he warned advertisers that they risk missing out on a whole generation if they don’t recognize that younger audiences engage with content differently.
Some found Mr. Green’s tone to be nagging, particularly when he labeled TV as part of the “distraction business.” Much of YouTube’s content aspires to do little more than provide minor distractions, and many marketers in the room have made a lot of money by running ads on TV.
But others found the talk, which Mr. Green posted to Medium, inspiring.
“I could see that he had an element of ‘you guys are old and stuck in your ways,’” said Sarah Baehr, executive vice president and managing director at Carat. “But if you’re uncomfortable [with what he is saying], it’s probably because it’s true on some level.”
JASON SZENES/EUROPEAN PRESSPHOTO AGENCY
Advertisers still have lots of doubts about whether people watch Web series, particularly on AOL AOL -0.16% and Yahoo YHOO +0.61%:
In conversations with many buyers last week, there were still many questions about the audience sizes for short-form Web series, since there is typically little in the way of data for these shows that is comparable to TV ratings.
“I’m not really sure everyone can deliver at the scale they say they can,” Ms. Baehr said of the NewFront presentations in general.
Mr. Kasper noted that when people log on to Hulu, they are seeking to watch TV shows. “I don’t have the impression that people are going to AOL or Yahoo to see what is on there,” he said.
An AOL spokesperson responded: “AOL is not trying to out-TV TV with 30-minute scripted episodes,” he said. “AOL averages one billion multi-platform video views every month and our programming garnered two Emmy nominations in 2014. We’re set to build on that momentum this year.”
Yahoo executives noted recently that several of the companies digital magazines have generated sizable audiences for video series–in the neighborhood of a million people a week, while live concerts have also brought in new fans.
However, it perhaps says something about this year’s NewFronts when arguably two of the buzziest moments were Hulu nabbing the rights to Seinfeld and AOL inking a deal with NBCUniversal to distribute TV shows.
The Wall Street Journal
There are probably too many NewFronts and too many shows. And the second week may have to go:
Yahoo boasted that it now has 55 Web series. Maker Studios said it has 200 in development. Those are only two of the 30-plus companies hosting NewFronts this year. Indeed, a lot was being thrown at advertisers last week, leading many to questions about whether a second week of NewFronts, particularly one dominated by multi-channel networks, made any sense. A fair number of last week’s attendees from Los Angeles and Chicago were headed home on Friday and were not planning on coming back.
However, the IAB noted that the sheer number of NewFronts was driven by momentum for online video overall.
“There is an unprecedented demand for premium digital video content and the advertising opportunities it provides,” said Anna Bager, the IAB’s senior vice president of mobile and video. “The scope and scale of the NewFronts this year is just a reflection of the reality of the marketplace.”
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