NBC Seals First Upfront Sale Based on Commercial Ratings

Jun 13, 2007  •  Post A Comment

NBC has completed what appears to be the first major upfront deal based on commercial ratings.
Group M’s operating units—Mindshare, Mediaedge:CIA and Mediacom—have agreed to almost $1 billion in commitments for most of their clients.
With all broadcast dayparts, all NBC Universal cable networks, digital, Spanish-language, branded content and product integration included, it’s likely to be the biggest deal Group M’s has ever done.
Group M was one of the most aggressive agencies in promoting commercial ratings, and the deal for both broadcast and cable was done on the basis of live commercial ratings plus three days’ worth of playback on digital video recorders. Last year, all ad deals were done solely on the basis of live program ratings.
The deal was choreographed by Rino Scanzoni, chief negotiating officer for Group M, and negotiated separately by the individual agencies for their clients.
Both Group M and NBC confirmed the deal, but declined to provide details, including price.
During its glory days, NBC garnered the most money during the upfront and commanded the highest prices on a cost-per-thousand basis. Two years ago, its upfront take dropped by nearly $1 billion and last year, its CPMs were cut in a market that favored the buyers.
(Editor: Horowitz)

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