Media agencies say Paramount has ‘listened to the market’

By AdNews | 17 September 2024
 

Media agencies commended Paramount’s digital-first strategy, highlighting the “significant” and “unique” converged advertising trading technology revealed at the network's Upfront 2025.

The entertainment-focused programming lineup, which includes a number of tentpole franchises coming back alongside the return of Big Brother to the network, was also highlighted as a bright spot for advertisers.

Avenue C’s managing partner, Will Chapman, said it’s a tricky time to be in television.

However, Paramount ANZ boss Beverley McGarvey said in her opening statement at the Upfront that 2025 will be the year of being resourceful.

“Being resourceful certainly helps when the juggernaut that is Paramount is a call away, and this year I felt the global support more than previously,” he said. 

“The biggest announcement was Paramount Connect, a significant global tech investment that provides a single-entry point for Total Television. 

“It’ll launch for Paramount’s online platforms in January and then it’ll launch with linear in H2 of 2025. Despite the Total TV delay, the online proposition is compelling and fortunately has been tried and tested globally. 

“It removes audience duplication, manages VOD fragmentation, controls frequency and likely more scalable than competitor VOD solutions – all significant wins for advertisers. 

“The pricing model, however, of fixed CPM, is going to be interesting when the rubber hits the road.

“As Dr (Karen) Nelson-Field (of Amplified Intelligence) has pointed out, not all screens and content are created equal so paying a fixed cost across the board will need to be teased out. 

“Complementing Paramount Connect is a deeper partnership with KERV for CTV interactive formats. For the right brand the formats offer amazing opportunities (shop the runway at AMA’s was the example used).

“For a lot of brands, however, it’ll likely be square peg round hole where the cost premium won’t be warranted. Nonetheless – these formats are exciting and getting AU up to speed with available global solutions.”

OMD Sydney’s group investment director, Stef Drazic, said Paramount showed that it has listened and is moving with the market. 

“The great Sandra Sully said: 'We know in the industry they say ‘content is king’ but now ‘data is king', a fitting summation of Paramount’s approach to 2025, with a focus on consumer engagement and brand efficacy,” said Drazic.

“It was no accident that Paramount led its upfront not with content, but a major trading announcement: Paramount Connect. While converged buying and testing is not new in 2025, Paramount Connect offers the industry something unique – the inclusion of SAVOD Paramount+ in the model. 

“Advertising spend on SAVODs is on an upward trajectory, without necessarily the same detailed audience measurement, transparency and insight we have grown to expect for our clients. If Paramount has the capability to provide such, advertisers will get their hands on a flurry of data, learnings and insights that will ultimately assist in evolving our planning and buying smarts across Total TV and importantly, SAVODs.

“From a content perspective, while Paramount, aside from football, still lacks the sporting calibre of its rival networks, there is a clear focus on its strength – entertainment, delivering a catalogue of both local and world-class content.  

“In all, Paramount made it clear that it is a digital-first business, where its intersection of premium content, globally backed data and tech capabilities, and first to market innovation will enhance consumer engagement and ultimately business efficacy for advertisers.” 

iProspect’s group investment director, Nicola Barnes, said a major highlight of the Upfronts for media planners and buyers was the introduction of Paramount Connect.

“It’s promising to note that this tool, coming from the US, is already proven and should facilitate a smooth transition, providing a single customer view and enhancing audience insights for our advertisers,” she said.

“We also heard about the expansion of contextual CTV advertising, including the rebranding of the pause ad as “Pause to Shop,” and a strengthened partnership with Innovid to introduce social and vertical video solutions.

"This is an exciting move which will enable many of our clients who don’t have traditional TVCs to leverage their existing social media content in a premium big-screen format.

“From a programming perspective, Paramount is bringing back fan favorites – some with a twist. Shows like MasterChef “Back to Win,” Australian Survivor: Brains v Brawn II, and the return of I’m A Celebrity to its summer slot will kick off the year. The Paramount+ lineup is also set to impress with a variety of new comedy formats, showcasing the network’s strength in this genre.

“One of the biggest announcements was the return of Big Brother, reviving its original format with live nominations and evictions, potentially a strategic move expected to boost linear TV viewership.

“Overall, Paramount’s message was clear: they are committed to leveraging their global scale and assets while adopting a digital-first strategy. This approach is crucial for navigating the fragmented video market and maximizing media spend for improved business outcomes.

“Their focus on enhancing data partnerships also promises better targeting and measurement solutions, which are vital for our clients and their investments.” 

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