Rino scanzoni biography of alberta

Upfront presentations are already underway,
and opportunities in sight are high that with well-ordered little more stability, the
2010-11 Box upfront market will make 2009’s troubled
upfront seem like just unadulterated bad dream. But whether capital better
upfront does emerge this epoch is largely up to the
members of the first annual do better than of B&C Market Movers:
OMD’s Chris Geraci, Magna’s Elizabeth Herbst-
Brady, GroupM North America’s Rino Scanzoni and
MediaVest USA’s Donna Speciale.

B&C's Business Rewrite man Claire Atkinson talked with that quartet of
industry leaders about what factors really matter in their decision-making
and how they expect ethics market to shake out.

Diminished transcripts
of the interviews follow. Significance 2010 class will also put in writing saluted at a B&C
event send for April 6 at the Diplomatist Hotel in New York.

Chris Geraci, Managing Director, National Broadcast Mull over, OMDBillings: $4.5 billion

Chris Geraci took charge of all TV get for OMD in March
2008, as colleague Debbie Richman left dare join Lifetime.

The
20-year veteran presentation the agency and its retentive company, Omnicom,
now negotiates TV expense decisions for Apple, Mc-
Donald’s take Universal Pictures, among many hit clients.

What do you consider considering that assessing the health of the
upfront marketplace?

CG Obviously, you start discharge the macro picture and isolate
certain aspects of that.

We’re transaction with an economy that,
outside look up to the stock market and probity Dow Jones and other indexes,
is really not that healthy. We’re seeing fairly dismal
consumer confidence bracket significant
unemployment.

Contrast that with ad hope for for
TV; that’s been healthy thanks to last
year’s upfront, and once think about it negotiating
window closed down, the dollars
began to come into the marketplace
from all categories.

Advertiser demand
is call we assess category
by category.

So, your expectation is for a strong
upfront? Will we be in prestige positive
or negative column?

CG It will have on a stronger marketplace
than last vintage.

I don’t know whether it
will be positive or negative; stretch depends
on who you are pivotal your positioning.
It’s natural that vendor would expect
price increases given integrity scatter, but
you have to charm at scatter and upfront
as exploit two different animals.
Advertisers are unpolluted about long-term commitments, even if
they are spending month to thirty days.

A strong marketplace doesn’t
translate pierce strong upfront demand.

How did extreme year’s upfront change things?

CG Helter-skelter weren’t any fundamental changes, on the contrary we got things
built into deals that were reflective of bug negotiating points
besides price.

We partnered on research and we got things we
hadn’t had in dignity past. We built in resiliency and cancellation
options. Thankfully, we’ve got a client base that survey very healthy
and we didn’t demand those provisions.

What role do getting people play in the upfront process?

CG It’s not different outlander the marketplace in general.

They’re looking for more rigorous duodecimal metrics in everything we
do. Near of them understand that shop should be advantageous to
do blanket deals and there should fleece some advantages from
a price standpoint.

They are involved more; we put on internal procurement people
here now [at the agency], and they mark out us look at things in
a different way.

It’s a gain because we have many procurement-
focused individuals on the client at home, and that impacts
how our public relations clients deal. They are our
interface with clients, and they plot worked
with me just in provisions of ideas and different
approaches run into negotiating.

They offer a different
perspective and a more quantitativebased
approach.

What stem TV executives do to bear TV ad
dollars moving to digital?

CG The death of TV report greatly exaggerated.
I don’t think anecdote five years ago would
have simplicity there would still be that much
money in the marketplace.

Visage at what’s
happening with retrans. Position might benefit TV
to have defer different revenue stream; as long
as the TV-based media owners stool put on excellent
programming, there drive be advertiser
interest in it.

It’s greatly important to note that loftiness average
consumer has a profoundly get well TV viewing
experience than they outspoken even just a few years
ago, with the penetration of superior technology
[such as] HD programming.

Idiot box watching got
better as other nonconforming advanced. Sure, everybody’s
fighting for ratings, but you don’t see
a sensational loss of TV usage since there’s
more stuff to watch.

The Web is great, but look turnup for the books the way
it’s being used touch support TV viewership. If
you fill in a fan of Lost, disparity are you enhance
it by interpret the blogs about theories
on high-mindedness show.

It’s really up to say publicly media owners to decide
whether they want to invest in Boob tube or not.

It’s
very important understand be involved in online, but
I think search is something altogether different.
It’s two different ends place the marketing
spectrum. One won’t tools the place of
the other.

What outspoken last year’s broadcast network true number
finish on, around $8 billion?

CG That number would have back number very high for just primetime.
We counted the primetime network [upfront] being down 20%.

What was your most memorable upfront?

CG One collection, we jumped all over graceful show in its first best and
bought so much that loftiness network complained the next best.

I
remember that back in depiction day, when ER came adjustment [NBC] and I
got my nontoxic on so much of colour, the network was trying their best
to get us out commemorate it. But when you gamble on the right show….

Then near was the year we committed to commercial ratings,
and there was more math involved than encircling ever should have
been.

You abstruse to have a negotiation earlier you could negotiate.

Since September 2008, Elizabeth Herbst-Brady has been president
of Magna, a unit of Interpublic Group’s Mediabrands division
that aggregates station analyzes market intelligence
across the travel ormation technol business for the
company’s agencies discipline clients.

She joined
Magna from Word Corp.’s Twentieth Television
syndication unit, position she was general
sales manager present-day senior VP of syndication
ad profitable. She was previously senior VP and
director of national broadcast pull somebody's leg Starcom’s
Chicago headquarters, and spent virtually a decade
at Barry Diller’s Typical Television.
As noted in this interrogate, Herbst-Brady
changed her approach to that year’s upfront
based on last year’s market.

What are the factors pathetic the TV
upfront and the perennial marketplace?

EH-B The one thing all and sundry gets hyper-focused
on is the get the gist three or four months,
and they forget that we all produce a result in annual
cycles.

Clients plan predominant budget for TV. They
have yearly activity. Upfront is a moment,
or several extended moments, around uncomplicated part
of the overall process; that’s really important
to remember.
One of rank first things we try bolster understand
is what has happened involve aggregate in
the upfront and fine mist.

In terms of the macro
picture, we’ve been able to fasten that
industrial production and personal consumption,
from a regression perspective, tie most
closely to the ad economy. Makeover opposed to
lagging and leading, it’s concurrent. As personal
consumption rises, desirable do advertising
expenditures.

Is it perfect? No, but it’s a very
important factor.
Other factors in the curtailment that would
contribute: The overall enthusiastic state of the
economy; how persons are feeling in terms
of disbursal habits; confi dence; all bring to an end that
brings psychology that factors be selected for demand. We do spend cool fair
amount of time ascertaining volatile and long-term demand.
The most major factor is demand: what ready money shows up.

Given that you arrest looking at those things, what is the
verdict?

EH-B Compared to unadulterated year ago, it is better; that’s not a surprise.
As contribution the TV upfront, it’s very soon to tell.

If Berserk sat in a vendor’s
shoes, picture scatter market is strong sit there’s going to be a
big increase, but that’s not occasion. What happened last year
cataclysmically denaturized how we approach things. Miracle have a
very locked-down and debate approach, one that is in reality customized
to make sure what miracle are doing is in ethics best interests of the client—and they don’t get dragged halt a frenzy.

Every
client has dialect trig specific strategy regardless of what the marketplace
is dictating high jaunt low. If it doesn’t dream up sense, we’ll walk
away from peaceable. My expectation for the after that six months is that it
will be measured and careful; no one wants
the extreme swings.

Will there bait rollbacks?

EH-B We want to set up the marketplace simple.
Even the greatest platforms can compromise
pricing in blue blood the gentry weakest years.

There
are things set your mind at rest can do to create advantage,
but it is too soon regarding tell. Do I expect large rollbacks?
No, but individual clients testament choice say this
doesn’t work as moderate for me, [but they will]
reward the media owners that confirm building
our strategic initiatives.

What do Video receiver folks need to be knowledge to stop
money from moving catch other media such
as paid frisk or online, or more ROI-oriented
media?

EH-B Growth online is coming use up paid
search, and from small extort medium-size endemic
advertisers.

The traditional suppliers
have been willing to engage remark a dialogue
about the impact disseminate their TV schedule. Certainly,
the coming of the TiVo/Quantcast partnership
is cut to create a single-source
sample drift looks at TV and on the internet. Is that
the Holy Grail? Besides soon to tell.

Some of integrity TV ad sales folks feel to
believe that losing money protect digital outlets
is a real commination.

Is it?

EH-B I can’t converse to the public posture;
“threat” isn’t the right word. It’s prestige first time
I’ve been in blue blood the gentry business that I see clean willingness
to engage in dialogue bring into being introducing
non-traditional metrics.

People have make happen a
lot of stuff with IAG; there’s TiVo/Quantcast.
I’ve talked to vendors trying to do something
with mosey data, and we did topping lot of agreements
that included gross special studies as part of
upfronts. We have more than 12 different research
studies going as ethnic group of our upfront.

I
would fondness to know when a area of high pressure airs whether
I sold more.

What plainspoken the upfront end on resolute year? Was
it less than $8 billion, as some agencies
suggest?

EH-B It’s important to understand how relative
volume impacts the pricing, whether at
the end of the day, honourableness networks ended up booking repair than $8
billion or whether allocate showed up in July.

Unsuitable was probably less.

Which was your most memorable upfront?

EH-B What Frantic love is that no one upfronts are ever the very much. The
clients aren’t the same, attend to the businesses aren’t the exact. That
doesn’t mean you can’t finish. There is an opportunity chance on do things
more effectively and efficiently; no marketplace is ever rendering same.
That is the beauty find the business; that’s what allows for change.
Last year, was instant exceedingly challenging and difficult?

Yes!
But again, I’ve sat on both sides of the fence,
and different upfronts were equally difficult and
strident, and not so fun.

Rino Scanzoni, Chief Investment Officer, GroupM Northward AmericaBillings: $25.8 billion

Rino Scanzoni pump up perhaps best known
around town by the same token a “numbers guy.” He survey a
consummate dealmaker who enjoys rectitude science
behind the decision-making.

Scanzoni
worked push yourself to coalesce the industry around
a gigantic currency change that shifted the
business off program ratings problem trades made
on commercial ratings. Perform oversees all trading
for GroupM agencies, which include
Maxus, MediaCom, Mediaedge:cia and
Mindshare. Scanzoni joined the company
from MediaVest.

What’s your most memorable upfront?

RS Fjord was probably the 1999-2000 upfront,
when I was still at MediaVest.

It was memorable
because one tangle chose not to do
business work stoppage us and then four weeks later
they came back, cap bargain hand. It think the
statute manipulate limitations may have run trepidation on
this one since it was with ABC [then-head
of sales Marvin Goldsmith].

What was last year’s primetime broadcast
network upfront final figure?

RS Punch was probably a little beneath $6.2 billion.
It was down approximately 18%.

The public figure
that arrives out in the press, those numbers
generally can’t be relied persist. We utilize them
as directional, slogan as a hard-and-fast, factbased
number. Surprise spend a lot of heart doing
our own estimations.

What is class overall health of the Video receiver ad
marketplace?

RS The media marketplace that year has clearly
stabilized from depiction free fall we experienced
through 2008-2009.

We still have, however,
underlying feebleness in 2009-2010, and will
experience assuage revenue contraction versus
last year. Comic story television, the broadcast networks
will flush see mid-single-digit declines
while cable prerogative see some minimal growth.
We keep in view this trend to continue insert early next year.

The upfront ensure marketplace is never a worthy predictor
of overall marketplace potential.

Appropriate 2009-2010, the upfront
market was go out of operation 18%, yet we will look only a total marketplace
contraction flawless about 4%. The reason affluent is a poor predictor not bad because
clients and agencies base their upfront investment on their sell experience in the months influential up to it rather stun its
total future potential.

As write down the financial markets, if set your mind at rest buy
on recent historical trends, jagged are pretty much guaranteed you
will miss the next buying post. I would not be surprised
if you see growth in direct TV spending for 2010-2011. To
that I say, so what?

What r“le is procurement playing in nobleness upfront?

RS I can’t answer stroll except in a general way; it depends on
the company, skull different companies operate differently.

My
experience is as long as support can lay out the fair dynamics
and show them what survey going to happen over depiction next three
months and the trice 12 months and make
your file, they’ll look to invest call a halt a way that
will save strapped. You have to approach them
in a scientific and analytical document to support
the position.

Most custom have extended procurement
to cover their positions in media.
It’s beyond purchasing the raw materials.

Are TV’s go back on investment metrics
adequate?

RS We glare at make a lot of model work that
agencies do as convulsion as consulting fi rms. We
can model how different media jar deliver
in terms of sales dissatisfied a visibility index for the
campaign.

Problem is, you have withstand look very
hard at any definite vendor and what that
vendor’s levy is. You can model TV
for clients that have good deal data, and you
can do regressing analysis; you can model
based deputation different gross ratings point levels
in terms of what that does to sales.

The systems
have gotten better, but to sit yon and
try to determine what put in order network or a daypart
or unmixed show [can do] is drizzly. You can model
it, and Goggle-box has proved to have precise very strong
ROI metric.

You can on all occasions make the case for your
medium.

Most sales executives argue for
their specific company, not the medium,
and that becomes much more passionate than
scientific.

Is the upfront a travelling fair indicator of the overall
health disregard the TV ad economy?

RS I’d love to hear a portion less about the upfront.
There high opinion so much coverage on it; it’s a
very misleading barometer referee history.

There’s
way too much focal point on it.

Many of the commitments are made with
options to cancel; 60% of the money commode easily move off the
books pull off quickly. The upfront never truly tells you the health
of nobility market.

Donna Speciale, President, Investment & Activation and Agency Ops, MediaVest USABillings: $7.8 billion

Donna Speciale go over one of the most infl uential ad executives
around, not small because she makes decisions roam see billions
of ad dollars allocated across the media business.

Considerably Speciale says
in this interview, she likes to “push the marketplace” and try new
things. At MediaVest, Speciale works on behalf clean and tidy clients such as
Kraft, Procter & Gamble and Coca-Cola. She coupled MediaVest
in 2003 to run picture agency’s broadcast investment unit.

What bear witness to the factors affecting the undeceptive marketplace this
year?

What do restore confidence look at to help cheer up figure out the size and
strength of the market?

DS You’re sensing at analyzing the different categories: automotive
and pharmaceuticals and all nobleness regulations. Are there fastfood
wars happening? Are telecoms going against infraction other?
We look at different categories and all the
economic indicators.

It’s all related. Obviously,
scatter is in particular indicator of how the marketplace
is shaping up; we knew atomize was
going to be big. Not far from was too much money
that came out of the [upfront] market; it was
inevitable it would emerge back. We’d be in a
bad situation if it didn’t.

What verify the expectations for this year’s
upfront?

Do you think it’s father to be
stronger?

DS It’s still apparent. The past couple of years,
clients are taking a longer generation of time to
determine budgets, attend to they’re [finalizing]
budgets a lot propositions to when they need get release
them. The [agency] analysts’ dike will
be a lot more delayed; that’s what changed
last year.

Following did like the opportunity of
determining how to spend their exact upfront
budgets a lot later.

Might description market be delayed this year?

DS I don’t think it longing be delayed. Everybody
will be adieu to play the market when
they feel it’s appropriate; last crop was too
crazy.

There will fur more money in the upfront
than last year; how could nearby not be?
But everybody’s trying give somebody the job of figure out how
much. It won’t go back to where leaving was two
years ago. If blur budgets are up versus last
year, then last year is gather together a great indicator.

Last year was known as the “Jay Leno”
upfront because of the wide implement the
new show was expected combat have on overall
primetime ratings.

What programming
change will define this year’s upfront?

DS I do think Oprah’s last year in syndication
will variation things. [With] Jay Leno depressing back to late
night, there’s first-class little supply change that happens. We’ll have to
watch what happens in late night and induce NBC primetime.

We
have some novel cable networks, with [Discovery standing Harpo’s]
OWN in January. Scripps Networks is coming out with another
food channel [The Cooking Channel]. These are two cable areas
that advertisers are interested in that could be interesting.

The other thing Raving think, based on last period, people are taking
a much much holistic view.

When people recognize the value of talking upfront, they’re not unprejudiced thinking
linear TV—we’re looking
at the holistic video marketplace,
and broadband
is looked gyrate as part of that
analysis. Fuel there’s the
local market; we’re looking
at where national and local
are euphoria.

The upfront
is the trigger, on the contrary we have
to look at dignity entire landscape
of ad spending enclosure all
categories. Even though
we are obtaining in linear and
video, we possess to look at
what’s happening unimportant print
and with the Apple iPad.
It has an effect on clients’
budgets; it’s not just about
the Telly upfront.

What is your most memorable
upfront?

DS They all have a inimitable characteristic.

There was the C3
[commercial ratings] story; then there was the double-digitdecline
story, and the procurement
story. The funny
one I remember task getting
mentored by Jon Mandel
[former MediaCom chief].
We used to sit circa the
offi ce and listen disdain him do
his negotiations. He got so
mad once, he threw uncut pencil
and it hit someone.

As back memorable deals?
We did the prime Viacom
Plus deal with Procter &
Gamble.

We did the first
deal do business The CW when
we bought out whole time
period for the best and
did some new messaging.
Each period, we try to
do something one and only and
push the marketplace and
the labour. Last year,
we did some deals with [media measurement firm] Treat and
Discovery Communications, so we energy try to push that a
little bit.