TV Trends: TV Networks’ Reach Metrics - October 2016 -- Pivotal Research Group

While the presence of highly rated programs often lead advertisers to choose to buy inventory from one network over another large advertisers typically optimize their television budgets across networks for reach and frequency Consequently when an advertiser negotiates to buy a package of gross ratings points from a given network a package of ad inventory with wider reach generally offers superior value vs a network with narrow reach for an identical number of GRPs This is because there should be less unintended duplication in the former package relative to the latter Meanwhile MVPDs need to concern themselves with the same metric to know how many different consumers watch a given channel or group of channels Wide reach will usually be positive for a network at least if it indicates a significant number of consumers might shift MVPDs if that network was unavailable on an incumbentamp8217s serviceNarrow reach can be harder to interpret For advertisers narrow reach is usually negative by itself but neutral in context of a campaign involving many networks For MVPDs narrow reach can be negative if it means few consumers are watching although both distributors and networks know that programming covering a wide range of tastes can ultimately make a distributoramp8217s overall offering stickier within individual households A small number of households may also turn out to be intensive viewers of a network making that network disproportionately valuable in a bundleDuring October 2016 the big four broadcast networks once again dominated the industryamp8217s reach metrics with 8588 of households watching each network for at least one minute during the month On a people 299 basis the figure for these networks ranges from 7275 Among 1834s the same networks dominate with a range of 5863 Reach of these networks fell only slightly yearoveryear October 2016 vs October 2015 among people 299 for the leading broadcast networks and rose significantly amp8211 by between 24 amp8211 for 1834s The CW TBS ESPN FX and AMC were among the nextbroadest reaching networks for each of households people 299 and 1834s TNT was among the top ten for households and people 299 while Comedy Central was among the top ten for 1834s The median change in reach on a yearoveryear basis among networks we looked at was essentially flat among all people and adults 1834 but fell by 15 among households Most networks continue to have relatively low reach as only the big four broadcast networks maintain greater than 50 reach among both people 299 and 1834 The falloff beyond the top handful of networks is relatively steep as the 10ranked network for adults 1834 has only 29 reach while 10 for people 299 has only 34 reach Among households 10 had 45 reach Median reach for a network for networks assessed here among households is 26 while median reach among people 299 is 17During October the most significant yearoveryear improvements in reach against 1834s came from Fox News the Fox broadcast network CBS NBC and Time Warneramp8217s CNN The expanded reach for Fox News and CNN is unsurprising given the election but the expansion in reach among broadcast networks suggests some degree of success in airing programming that appeals to younger viewers It may also be that audiences prone to cordcutting and cordshaving reconcentrate their viewing on broadcast networks benefitting those networks by default Reach fell most significantly among younger audiences at AMCamp8217s BBC America NBCUamp8217s CNBC Viacomamp8217s Spike NBCUamp8217s Esquire and Time Warneramp8217s TBSAmong households reach improved most at Fox News Fox Business Viacomamp8217s Logo Foxamp8217s National Geographic and Viacomamp8217s MTV Among households reach fell by the most at NBCUamp8217s CNBC Viacomamp8217s TV Land Spike TBS and NBCUamp8217s E We note that Spike and TV Land were likely impacted by tiering of these networks at Comcast earlier in 2016 Among all people 299 reach improved most at Fox News Fox NBCUamp8217s MSNBC NBC and National Geographic It fell by the most at CNBC TBS TV Land Discovery Family Channel and EsquireA dataset for reach and yearoveryear change in reach for major networks follows in this noteFULL REPORT INCLUDING RISKS AND DISCLOSURES CAN BE FOUND HERE TV Update 102816pdfClick the social buttons above or below to share this story with your friends and colleaguesThe opinions and points of view expressed in this article are exclusively the views of the author andor subjects and do not necessarily represent the views of MediaVillagecomMyersBizNet Inc management or associated bloggers

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TV Trends: TV Networks’ Reach Metrics - October 2016 -- Pivotal Research Group

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TV Trends: TV Networks’ Reach Metrics - October 2016 -- Pivotal Research Group

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