Network Upfront Week: It's All About Content, Content, Content

It's Network TV Upfront Week, and once again networks will reinforce their focus on traditional series programming and will de-emphasize bells and whistles -- such as their digital and value-added offerings. Three seasons ago, networks were focusing more on expanded service offerings including experiential marketing, promotional tie-ins, marketing programs, research capabilities and online extensions. Today, networks, advertisers, and agency middle-men are more focused on the traditional role of network advertising as a vehicle for reaching large audiences with 30-second commercial messages in quality content. While networks offer program sponsorship packages, billboards and a wide spectrum of marketing and research enhancements, these are secondary to the primary role of network television as the lead artillery -- spraying brand messages across a wide audience.

Jack Myers Media Business Report reports that over the past decade, broadcast network ad revenues increased 8.9% from $17.0 billion to $18.5 billion, tracking well below the rate of inflation. Over the next decade,Media Business Report projects traditional broadcast network commercial ad revenues will increase an average 2.1% annually, while digital revenues will grow almost 30% annually, representing an average annual combined growth rate of 6.0%. By 2020, digital revenues are projected to generate 26% of total broadcast network advertising, compared to only 4.1% of total network ad revenues in 2010. (Myers' full 2000-2020 forecasts in 55 media and marketing categories are available exclusively to Jack Myers Media Business Report subscribers.)

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