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The Daily News Of TV Sales

May 11, 2016

EV AND HYBRID LOYALTY AT ALL-TIME LOW

TOP TRADE-IN CHOICE IS AN SUV

Automakers continue to work on new all-electric and hybrid vehicles, largely to meet future government fuel-efficiency requirements. But with gasoline prices remaining low, even the people who were early adopters of hybrids and electric vehicles (EVs) are moving back to conventional cars and trucks when they trade in for a new model.

According to , only 27.5% of all hybrid and electric vehicle trade-ins in the first quarter of 2016 have been applied to the purchase of another EV or hybrid, such as the Audi A3 Sportback e-tron (pictured). The rate is a precipitous drop from the 38.5% of hybrid and EV trade-ins in 2015, and the findings reinforce a trend first identified last year by Edmunds that owners of alt-fuel vehicles are returning to traditional gasoline-powered vehicles in greater numbers than ever before.

Even so, the trend back toward traditional vehicles is not having the negative effect on the environment that one might expect. According to the University of Michigan Transportation Research Institute, the average fuel economy of cars sold in the U.S. in March was 25.3 mpg, up 25% from when the institute started tracking this number in October 2007.

"This trend is not an indictment of the quality of these cars—hybrid and electric vehicles tend to be equipped with some of the most sought-after technology on the market today," says Director of Industry Analysis Jessica Caldwell. "This is an economics trend, since today's low cost of gas no longer makes it worth paying the price premium of hybrids and EVs.” She notes that there are so many fuel-efficient vehicles on the market today that environmental concerns weigh less than they might have in years past. “When you're buying a vehicle that can get over 30 mpg, you can still say you're doing your part to help the environment," she explained.

A detailed analysis of Edmunds' vehicle trade-in data tells a story of many hybrid and EV owners jumping from one extreme to another. In fact, Edmunds found that a hybrid or electric trade-in is more likely to go toward the purchase of a SUV (33.8%) than another hybrid or EV. The trend is even more apparent when looking only at EV trade-ins—25.7% of EV trade-ins went toward the purchase of a SUV, compared to just 4.8% that went toward another EV.

"The overwhelming popularity of SUVs trumps just about any other trend in today's market," says Caldwell. "SUV sales are up 22% in the last five years, and almost every other segment has suffered as a result. It's especially true for hybrids and EVs, which generally don't offer the size that today's shoppers crave."

ADVERTISER NEWS

After testing appliance sales at 22 stores, J.C. Penney will roll out to almost 500 more starting this summer, as well as testing deals with Ashley Furniture and Empire Today. “The pilot confirmed that we should not limit our business to apparel and soft home in order to achieve significant revenue growth,” Penney’s CEO said……The news is still bleak at Lumber Liquidators, still trying to recover from a devastating report on 60 Minutes. Quarterly same-store sales were down 13.9% with transactions down 13.8%......Bad news also at Gap Stores. In a pre-announcement for its fiscal quarter, the company says it expects comps to be down for all three banners, Gap, Banana Republic and Old Navy. It blames a “tepid macro environment for apparel”……Wells Fargo will launch a new loan product to small businesses called FastFlex designed to compete with online lenders. Amounts from $10,000 to $35,000 could be made available in as little as one day……Investment bank Canaccord Genuity says Dick’s Sporting Goods could take over as many as 180 Sports Authority stores in the bankruptcy auction that starts next week. All of those locations do not have a competing Dick’s or Academy Sports store within at least a 5-mile radius……Excluding gas and the impact of an early Easter, Ingles Markets reported a 1.6% comp store sales increase for its fiscal second quarter…… Honda says the new Ridgeline which will reach dealers next month will have “class-leading fuel economy.” The midsize pickup segment has been very hot this year, with sales up 16% for the first four months……But as the compact sedan segment weakens, Automotive News says Buick is going to phase out the Verano after the 2017 model year……Tyson Foods beat expectations for both profit and revenue in its fiscal second quarter and it says “pricing and marketing investments we’ve made are paying off in strategic products” including offerings from Hillshire Farm, Jimmy Dean, and Ball Park……Although Convenience Store News says many c-store companies are struggling to match numbers from last year’s record first quarter (when oil prices fell dramatically), Murphy USA appears to be an exception. Profit of $85.9 million was almost quadrupled last year’s $22.9 million with “merchandise contribution dollars” from inside the stores up 16.8%. 23 new stores are currently under construction with a goal of 60-80 new stores this year…….A study from Market Force Information finds Kwik Trip ranks highest among c-store customers now, beating out last year’s winner Wawa. The study notes 23% of customers bought fresh food during their last visit to a c-store and 89% were satisfied with the quality.

NETWORK NEWS

Teen Choice 2016 will air Sunday, July 31, at 9:00 pm (ET) on FOX. Voting has begun online to select the design of the event’s surfboard and to pick new award categories. The two-hour live broadcast will honor the year’s most loved stars from the best films, most-loved TV shows, fiercest music and the top moments in fashion, digital and comedy……NBC Sports’ coverage of Nyquist’s victory in Saturday’s 142nd Kentucky Derby averaged 15.5 million viewers—marking the fourth consecutive year the “Run for the Roses” has topped 15 million viewers on NBC, according to final data from Nielsen. Viewership peaked with 17.9 million viewers from 6:45-7:00 pm (ET) when Nyquist crossed the finish line……Azteca America has signed Western Union as the first sponsor of its Real-Time Participatory Media (RPM) initiative. The sponsorship includes a branded quiz, logo placement and a :30 spot.

MONDAY RATINGS

The usual Monday pattern repeated, with The Voice delivering the demo win for NBC, while ABC had the most viewers on the strength of Dancing with the Stars. The Nielsen overnights put NBC at an average 1.9 rating in Adults 18-49 and 5.2 in Households, with an average audience of 8.325 million viewers. ABC was at 1.5 18-49, 6.4 HH and 9.739 million; CBS, with Mike & Molly, 1.3 18-49, 4.3 HH and 6.725 million; FOX, with Gotham, 0.9 18-49, 1.9 HH and 3.042 million; Univision 0.6 18-49, 0.9 HH and 1.572 million; Telemundo 0.6 18-49, 0.8 HH and 1.411 million; and The CW 0.3 18-49, 0.6 HH and 0.853 million.

WEEKLY RATINGS

For Week #33, May 2-8, ABC was at 1.3 18-49 and 3.5 HH; CBS 1.2 18-49 and 5.0 HH; NBC 1.1 18-49 and 3.5 HH; FOX 0.9 18-49 and 1.7 HH; Univision 0.6 18-49 and 1.0 HH; The CW 0.5 18-49 and 0.9 HH; and Telemundo 0.5 18-49 and 0.7 HH.

LOCAL TV REVENUES BEATING EXPECTATIONS

The protracted presidential primary season and generally stronger economic data are being credited with driving stronger-than-expected local television station revenues this year. BIA/Kelsey is now forecasting that U.S. local TV station over-the-air (OTA) advertising revenues will reach $20.8 billion in 2016, up 12.1% from 2015. Online local TV station ad revenues will grow to just over $1 billion in 2016, up 13.3% over last year. This follows a down year for local TV OTA revenues in 2015 (an off-year for elections), which dipped 7.2% compared with 2014.

“Perhaps no local media is enjoying this year’s protracted presidential primaries and the expected large number of Senate and gubernatorial races more than local television stations,” said Mark Fratrik, senior vice president and chief economist, BIA/Kelsey. “The election and the economy, driven by stronger employment figures and continuing low interest rates, are helping push local TV ad revenues above expectations this year.”

Fratrik reports that the improvement is consistent by region across the country. East: 7.9% decrease in revenues in 2015; 11.1% increase expected in 2016. Midwest: 7.2% decrease in revenues in 2015; 14.6% increase expected in 2016. South: 6.0% decrease in revenues in 2015; 12.6% increase expected in 2016. Southwest: 4.5% decrease in revenues in 2015; 8.4% increase expected in 2016. West: 9.6% decrease in revenues in 2015; 11.9% increase expected in 2016.

AT&T SETS ADDRESSABLE UPFRONTS

AT&T AdWorks says it has conducted a series of cross-screen addressable TV and mobile advertising trials and is now ready to pitch the concept to advertisers at what it’s calling customized Addressable Upfronts. AT&T says the trials were conducted in collaboration with Opera Mediaworks, one of the world's largest mobile advertising and marketing platforms, so advertisers could reach their target audiences across TV and mobile devices. Advertisers were able to measure results on a variety of key performance indicators from brand/message favorability to sales.

"These results show the immense value of cross-screen addressable advertising. They also display our innovative audience targeting and measurement capabilities across screens," said Rick Welday, president, AT&T AdWorks. "We can deliver ads to a brand's target audience. And we can measure how addressable advertising performs across platforms. This is a huge opportunity for brands."

One test was for a sister company, AT&T Mobility. AT&T AdWorks served addressable ads to a subset of DirecTV customers who did not have an AT&T mobility service registered at the same address. The addressable TV advertising results showed a 19% lift in sales. There was an additional lift in sales to nearly 27% when a consumer received the same addressable ad on both their TV and mobile devices, the company said.

The cross-screen addressable advertising trial for Walmart targeted a custom audience, and held out a control group. When comparing treatment and control groups, the cross-screen addressable campaign showed a statistically significant lift in both brand and message favorability.

Another test for an unidentified luxury auto brand focused on driving sales for a specific high-end model. AT&T AdWorks targeted households anonymously identified as in the market for a luxury car. It reports that the trial saw an 87% lift in sales for the luxury model among households that saw the addressable ad on both TV and mobile.

FCC RIFT ON CHARTER-TWC

The FCC order approving Charter Communications’ acquisitions of Time Warner Cable and Bright House is out, showing a sharply divided Commission. It prohibits Charter for seven years from imposing data caps or charging usage-based pricing for residential broadband; requires free interconnections; bans for seven years contracts restricting program providers from online distribution; and requires a high-speed broadband buildout to two million more homes and a low-income program for eligible households.

Republican Ajit Pai voted no, saying the Commission had “turned the transaction into a vehicle for advancing its ambitious agenda to micromanage the Internet economy.” Fellow Republican Michael O’Rielly approved in part, but dissented on some conditions that he said exceeded the FCC’s authority. Democrat Mignon Clyburn concurred on the order, but avoided an outright “yes” because she thought some of the conditions didn’t go far enough, particularly in not requiring Charter to add more independent networks.

THIS AND THAT

Walmart has sued Visa in a New York court over debit card transactions. Walmart doesn’t like it that Visa requires it to allow customers to verify chip-enabled debit card transactions with a signature, rather than a PIN. Walmart claims PIN is the only truly secure verification……A federal judge has agreed with the FTC and blocked Staples’ planned acquisition of Office Depot as anticompetitive.

DONE DEALS

Cordillera Communications announced two new executives for its St. Paul, MN headquarters. Steve Chase, currently Director of Sales at the company’s KOAA (NBC) Colorado Springs, CO, has been named as Vice President, Director of Sales. Attorney Bo Ebeling joins Cordillera as Director of Operations. He succeeds Dan Stein, who will retire at the end of May, and will work in the areas of operations, research, programming, contract negotiations, third-party vendor relationships, retransmission consent, and regulatory compliance……Kelley Easby-Smith has been promoted from General Sales Manager of KJNB (CBS/FOX) Jonesboro, AR, to Group Director of Sales for both KJNB and WNBJ (NBC) Jackson, TN.

AVAILS

Local Sales Manager ABC 9/CW 58 TUCSON in beautiful Southern Arizona is seeking a qualified dynamic leader to join our market leading team. The LSM is responsible for creating and executing a local sales strategy for our ABC and CW Scripps properties as well as our digital products. Successful candidate must have extensive advertising sales experience; management experience strongly preferred and a deep understanding of TV ratings. 

CLICK HERE for more info or to apply now. EOE.

T Media Sales, a national rep firm, located in Los Angeles seeks a highly motivated, detail oriented sales assistant. This position will provide valuable support for the sales team from order entry to contract management; relationships with buyers and network clients. The ideal candidate will be a resourceful problem-solver, have excellent communication skills, and be a team player. He or she must be well-organized and be able to multi-task. Proficiency with Microsoft Office; Excel, Word and PowerPoint is a must. College degree preferred. Send resume to: jobs@

KPTV Fox12 / PDX TV Portland, OR is searching for a General Sales Manager.  The GSM leads, manages and develops the sales team, maximizing broadcast and digital revenue through effective inventory and customer relationship management. Candidates must have a strong business development and NTR track record. Experience with National Sales preferred. The GSM must maintain a highly visible presence within the national and local advertising community. Qualified candidates can apply at CLICK HERE for more info or to apply now. EOE.

WUPV, in Richmond, VA has a fantastic opportunity for an experienced LSM or senior account executive ready to move up to our open LSM position in market #56. Strong background in Local Core/Digital sales and agency negotiation preferred. A well-developed skillset to budget, grow and accurately forecast revenue a must. If you possess creative leadership skills, the ability to develop new business, relationship-building skills and a successful track record in television and/or media sales, send your resume to dhayes@. Drug Screen and MVR check required. EOE-M/F/D/V.

KCCI, Hearst Television’s CBS affiliate in Des Moines, has an opening for an experienced Local Sales Manager. Looking for a leader with a proven track record of success in multi-platform sales. A manager who enjoys making local sales calls, invests in the success of others, and creating new sales ideas. A teacher who is fair, consistent and positive with the ability to support, and inspire our sales and marketing team is a MUST. Leadership ability is essential. Please click HERE to apply. EOE.

Regional Sales Account Executive: Morgan Murphy Media, (WISC-TV, TVW, , Phase 3 Digital, and Madison Magazine), Madison, WI is seeking an experienced transactional seller to join one of the few family-owned media companies in the country. Candidate must be a tough negotiator, have a deep understanding of Nielsen and comScore ratings, and must be able to build and maintain strong professional relationships. Send cover letter, resume, and salary requirements to: hr@. Equal Opportunity Employer. Visit our website at

Sales Assistant needed to assist multiple AEs in all aspects of the sales process for KTTV Fox 11, KCOP My13 and in Los Angeles. Responsibilities include but are not limited to inputting orders, checking contracts for accuracy, maintaining files for sales orders and organizing make goods. Will have frequent communication with media buyers and their assistants as well as interaction with other internal departments. May also be required to produce sales presentations in PowerPoint. CLICK HERE for qualifications, more info, and to apply now. EOE/M/F/Veteran/Disabled.

KOAA5, the #1 NBC in beautiful Colorado Springs, CO, has an opening for Director of Sales. Cordillera ownership affords you bigger opportunities. Our present DOS was promoted to a newly created corporate DOS position, creating this opening. Must have a minimum 3-5 years of highly successful broadcast and digital sales management experience. We're looking for a motivator and coach to keep our team nourished and accountable in order to keep our clients successful and growing. Send credentials to: sales@. EOE.

A group is suing Quaker Oats saying their oatmeal is not 100% natural. And it gets worse: The guy on the box? He’s Jewish.

--Conan O’Brien

Kate Middleton revealed that her children have a pet hamster named Marvin. Well, technically, its full name is Marvin, Duke of the Running Wheel.

--Jimmy Fallon

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SPOTS N DOTS

The Daily News Of TV Sales

May 11, 2016

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