Given supply and demand dynamics amid shrinking television ratings, it still makes sense for brands with big TV budgets to participate in the annual Upfront negotiating ritual. Unlike last year, the President of National Video Investment\u00a0for OMD USA\u00a0doesn\u2019t foresee significant price inflation this time around.<\/p>\n

\u201cBy and large, if you have a sizable amount of advertising dollars to spend in national television we try and get you into the Upfront, because history has proven it\u2019s an advantageous position to be in,\u201d Chris Geraci says in this interview with Beet.TV.<\/p>\n

For a variety of reasons, some advertisers can\u2019t make a long-term commitment for TV inventory. In those cases, Omnicom tries to structure shorter, multi-quarter deals if possible, according to Geraci<\/a>.<\/p>\n

Even with the arrival of digital publishers and their inventory, giving brands more choices of where to run their ads, supply and demand still dictates pricing during the Upfront. This is particularly the case when audience fragmentation and audience losses ultimately impact the available supply of gross ratings points.<\/p>\n

\u201cWe actually saw a little bit of growth in last year\u2019s Upfront in terms of advertiser spending,\u201d Geraci says. \u201cThat combined with what was a pretty horrendous year in terms of ratings performance certainly produced a significant amount of inflation.\u201d<\/p>\n

He doesn\u2019t expect to see similar TV budget growth in 2017, \u201cBut inflation is part of the deal when you\u2019re talking about a supply and demand environment.\u201d<\/p>\n

Advertiser demand for better audience targeting beyond traditional age\/sex demographics spawned the recently announced OpenAP consortium involving Fox, Turner and Viacom. Geraci describes the move as be \u201cgreat\u201d because it provides a uniform metric in the advanced targeting arena.<\/p>\n

Asked if he expects to see more programmers join OpenAP, he doesn\u2019t see why others would not. \u201cYou\u2019re basically offering something to the agency and advertiser community that is going to be simpler to use, it will be easier to make comparisons,\u201d Geraci says. \u201cI don\u2019t really know what the downside would be of not being part of it.\u201d<\/p>\n

When the subject turns to the continued emergence of brand-safe environments for video ads, he believes it\u2019s going to be \u201cshouted from the mountaintops\u201d during the Upfront season. But he offers perspective as well.<\/p>\n

\u201cI think that there are still plenty of places in the online world where brand safety can be all but ensured,\u201d Geraci says. \u201cWe\u2019re talking about a very specific problem dealing with what is, for the most part, user-generated, non-professional content that has always been an obvious concern.\u201d<\/p>\n

This segment is part of a series leading up to the 2017 TV Upfront. \u00a0It is presented by FreeWheel. \u00a0 To find more videos from the series, please visit this page<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

Given supply and demand dynamics amid shrinking television ratings, it still makes sense for brands with big TV budgets to participate in the annual Upfront negotiating ritual. Unlike last year, the President of National Video Investment\u00a0for OMD USA\u00a0doesn\u2019t foresee significant price inflation this time around. \u201cBy and large, if you have a sizable amount of […]<\/p>\n","protected":false},"author":17,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"mc4wp_mailchimp_campaign":[]},"categories":[6338],"tags":[3898,4342,4724,5144,5938,6127,6273],"_links":{"self":[{"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/posts\/45507"}],"collection":[{"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/comments?post=45507"}],"version-history":[{"count":0,"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/posts\/45507\/revisions"}],"wp:attachment":[{"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/media?parent=45507"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/categories?post=45507"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dev.beet.tv\/wp-json\/wp\/v2\/tags?post=45507"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}