from Advertising Age:
“What I’m hearing is cable is definitely going to be better than broadcast. They’ve been stronger throughout this recession and from the media buyers I’ve heard their clients are more interested in the cable networks,” said Marci Ryvicker, a media analyst at Wachovia Capital Markets. Ad commitments for cable ad time sold during last year’s upfront — when networks sell a large portion of their ad inventory for the coming season — were estimated at $7.5 billion, a 10% to 15% increase from 2007’s $6.9 billion.
Mind you, cable isn’t necessarily due for a whopping increase. Buyers suggest top-tier cable networks — those that produce original programming that have gained ratings traction — could see just a few percentage ticks upward in the cost of reaching 1,000 viewers, or CPM, a common measure of ad time during the upfront market. What happens to overall dollar volume is another matter altogether. In a time when marketers are holding on to their dollars ever more tightly, however, such a forecast is cause for tepid optimism for cable.