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Response This Week June 28, 2017

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28 Jun, 2017

DIGITAL EDITION

JUNE 2017

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INDUSTRY NEWS
VidCon Recap: YouTube Unveils New VR Format; Video Ads Lead to Purchases 
ANAHEIM, Calif. – YouTube introduced several new features at VidCon, the web video conference hosted here last week.
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Fox Adopts 6-Second Ad Format, Commits to Non-Skippable Spots 
LOS ANGELES – YouTube’s non-skippable, six-second ads are gaining traction. Fox Networks Group has now joined YouTube in adopting the format and the new ads will air first on Fox’s digital and on-demand platforms, and will eventually reach linear television.
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ANA Fights California Privacy Proposal 
NEW YORK – The Association of National Advertisers (ANA) is fighting a proposed California privacy law that would make broadband providers get consumers’ opt-in consent before drawing on their online browsing history for ad purposes.
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Trump Adds Rural Broadband to Infrastructure Proposal  
WASHINGTON – President Donald Trump says he plans to improve broadband availability in rural areas as part of his $1 trillion infrastructure plan.
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Hulu Could Reach $500 Million in Annual Revenues 
NEW YORK – Hulu’s new live package of linear TV networks could generate annual advertising revenue of $71.1 million and $568.3 million in subscriber fees, says MoffettNathanson Research.
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NEWS CORNER

Response This Week will be on hiatus next week due to the Independence Day holiday. The e-newsletter will return to your inbox on Wednesday, July 12.

DRMetrix releases its latest build of AdSphere, which retains copies of all commercial airings for 10 days. This is how the company is able to make airing level videos available within airing detail exports. Previously, outside of airing detail exports, the system would always playback the original master of the commercial, which typically dates back to the date of first airing.

strong>Dish Network’s virtual MVPD player, Sling TV, controls the lion’s share of subscribers in the nascent vMVPD market with more than 2 million subscribers, comScore reports. The research company says Sling TV, AT&T’s DirecTV Now, and Sony’s PlayStation Vue have around 3.1 million users among them.

Several U.S. Senators have warned Attorney General Jeff Sessions that AT&T’s planned $85 billion merger with Time Warner will lead to “higher prices, fewer choices, and worse service for consumers.” The lawmakers are urging the Department of Justice to “closely scrutinize” the deal and reject the merger if they find that the “substantial harms arising from the transaction outweigh the purported benefits.”

Over-the-top (OTT) television reaches 51 million TV viewing households, 3.1 million of which have so-called “skinny” digital TV packages of networks, according to comScore. In homes with those digital TV service bundles of networks – from Sling TV, DirecTV Now, or PlayStation Vue – viewing amounts to more than half (54 percent) of all OTT viewing time. Netflix is next at 17 percent, followed by Hulu with 9 percent, YouTube at 7.1 percent and Amazon with 3.2 percent.

United Parcel Service (UPS) will levy peak surcharges to U.S. residential packages for the holiday season, an unprecedented move by the shipping giant to pay for rising costs. The charges, ranging from 27 cents to 97 cents per package, will be applied to individual and commercial customers shipping to U.S. residences in November and December.

An investigation by Public Citizen’s Commercial Alert says despite warnings from the Federal Trade Commission, Instagram influencers and advertisers continue to violate agency mandates to disclose paid posts. From May 1 to June 12, Public Citizen’s investigation tracked the Instagram activity of the 46 influencers who received a reminder letter from the FTC. Of the influencers who posted sponsored content, only one fully and consistently complied with FTC policy.

Traditional cable TV operators’ continued loss of video subscribers will translate into lower gross profit margins during the next four years – with other company businesses looking to carry more of the load, says MoffettNathanson Research. Big cable companies such as Comcast and Charter Communications, as well as smaller cable operators like Cable One, will see a steady erosion of gross profit margins per video subscribers in the coming years.

WPP CEO Martin Sorrell predicts Amazon could become Google’s biggest threat in terms of ad revenue and that this will change the advertising landscape for brands. Multiple sources suggest that Amazon is working on building out its advertising platform to support “razor-thin margins” in the grocery supply chain following the acquisition of Whole Foods for $13.7 billion.

Nearly half of online viewers watching something live streamed once weekly, according to Magid Advisors. Facebook Live leads the space with 45-percent market share, followed by YouTube Live with 44 percent, according to data. Instagram came in at No. 3 with 28-percent market share; Twitter, 19 percent; Snapchat, 17 percent; Twitch, owned by Amazon, 12 percent; Livestream, 10 percent; Periscope, 9 percent; YouNow, 6 percent; and UStream, 4 percent.

Google plans to stop scanning the inboxes of Gmail’s free users to personalize ads later this year. The move follows Google’s strategy for business customers, Diane Greene of Google Cloud wrote in a blog. The decision brings Gmail ads in line with how Google personalizes ads for other Google products.

CNN invests $40 million in to build a video channel called Great Big Story that will be distributed as a streaming TV app, a channel for streaming skinny bundles, and a linear TV channel internationally.

UPCOMING DR EVENTS

FEATURED EVENTS:

DRMA Summer Bash
July 25, 2017 | Los Angeles
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eTail East 2017
August 14-17, 2017 | Boston
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ALSO COMING SOON:

Affiliate Summit East 2017
July 30-Aug. 1, 2017 | New York
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NACDS Total Store Expo 2017
August 19-22, 2017 | San Diego
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LeadsCon New York 2017
August 21-23, 2017 | New York
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View All Events

JOB BOARD

Check out all of the new postings on Response's Job Board!
A niche job board for those with careers in all aspects of the direct response industry. Here are the featured jobs of the week:

Position: Marketing Manager - PRSM
Location: Dallas
Posted: 6/26/17
View/Apply

Position: Co-Marketing Specialist - Randstad Technologies
Location: New York
Posted: 6/23/17
View/Apply

Position: Director of Marketing - ACAMS
Location: Miami
Posted: 6/21/17
View/Apply

View All Jobs:
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