Media buyers reportedly got the better end of the deal at this year’s upfronts in the US.
A softer advertising market, plus a screenwriters’ strike, gave media agencies and brands more flexibility in negotiations.
Analyst Paul Verna says the same forces inhibiting topline TV ad spending are acting on the upfronts.
“These include economic uncertainty, falling ratings, cord-cutting, downward pricing pressures, shifts in viewership from TV to CTV, and migration of ad dollars from traditional to digital media,” he says.
Television advertising spend is forecast to fall 3.6% to $US18.64 billion for the 2023-2024 TV season, according to Insider Intelligence.
But it’s still big business, with up to 30% of TV ad spend committed during the upfronts week.
Last year this amounted to $US19.04 billion, according to one estimate.
The upfronts started in 1962 with the big TV networks and have spread to other media platforms including YouTube and, for the first time this year, Netflix
The purpose is to match advertisers with new programming.
The networks traditionally pull out their big stars, organise lavish dinners with favoured media buyers, and generally add sparkle to negotiations.
However, this year the shine was dulled by the writers’ strike, according to entertainment reports.
“If TV’s upfront week used to be defined by spectacle — a parade of stars and musical performances culminating in glamorous parties with open bars and lobster canapés — to say the 2023 instalment was muted would be an understatement,” according to the Hollywood Reporter.
And the headline from CNN: “With writers striking, the network upfronts try making the best of a flawed script.”
The upfronts explained:
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.