Taye Diggs and Kathleen Robertson team up in TNT's 'Murder in the First'
Credit:
Edward Chen
If there's anyone to keep an eye on during this upfront, it's
Donna Speciale.
Elevated to Turner Broadcasting's president-sales just weeks
before the annual negotiating dance with advertisers, she takes
over as the company faces a paradox: It's got the reliably big
audiences valued by advertisers, but viewers are being drawn by
pedestrian programming rather than the boundary-breaking fare
agencies and marketers are increasingly seeking.
Donna Speciale
The currency of the upfront is still eyeballs, and Turner has
plenty, boasting three of the top 10 cable networks among adults
18-to-49 with TBS, TNT and its Adult Swim programming block on
Cartoon Network. It's buzz that Turner
is lacking at a time when high-quality original series from the
likes of FX, AMC and History, among others, are
making social chatter a more important metric to advertisers.
Jeff Bewkes, CEO of Time Warner, parent of Turner, conceded as
much on the company's recent earnings call. "Over the past few
years, we didn't take enough creative risk with its programming
and, as a result, TNT has lost ground with younger viewers," he
said.
The programming problem, along with continuing ratings erosion
at TruTV; an audience falloff at TNT; an overreliance on "The Big
Bang Theory" on TBS; and a floundering CNN, puts pressure on Ms.
Speciale, who was promoted amid a shakeup that saw the exit of Greg
D'Alba, a 27-year vet who handled ad sales for news and digital.
And management is still in flux -- there has been no successor
named for Steve Koonin, president of Turner Entertainment Networks,
who oversaw programming for all Turner channels outside of news
before his unexpected departure April 13.
Experienced silo-buster
Ms. Speciale, previously president of ad sales for Turner
Entertainment and Animation, added oversight of digital and CNN ad
sales to her purview of entertainment, kids and young adults. With
all of Turner's brands aside from sports now under her, the network
group will go to market for the first time as a single portfolio,
allowing media buyers to strike deals more easily across networks
and platforms. It's a strategy other cable network groups like
NBC Universal have been implementing
in recent years.
"The timing is right," Ms. Speciale said. "What we are finding
is that our conversations with clients are now holistic
conversations about everything. So it isn't making a lot of sense
to make our sales teams be too vertical."
Ms. Speciale is an experienced silo-buster. Before joining
Turner in 2012, she was president of investment and activation at
MediaVest, pushing the media agency
into video agnosticism by aligning digital and video units under
one umbrella. And in her two short years at Turner, she blew away
most of the barriers that existed among the entertainment, kids'
and young-adult networks, which had gone to market
independently.
Buyers say the shift is more reflective of how today's media is
bought. "This type of structure lends itself to more flexibility to
move money across networks," said David Campanelli, senior
VP-national broadcast, Horizon Media.
Bringing Turner's digital assets, which include Funny or Die and
Bleacher Report, alongside the TV networks gives the company an
opportunity to reach an audience that's difficult to target on
TV—and one it may not be reaching with older-skewing shows,
said Team One Media Director Kirsten
Atkinson.
TNT, in particular, has struggled in recent years to maintain
its foothold. Its prime-time audience has fallen more than 13%
since 2009, averaging 1.8 million viewers, according to Nielsen.
And its median age is up to 51 from about 46 in the same period in
2009.
TBS has showed more strength, ending 2013 as the most-watched
cable network among adults 18-to-49, surpassing USA in the demo for
the first time, and continuing its winning streak into the New
Year. But much of the network's success comes from reruns of "The
Big Bang Theory."
"At some point the gravy train is going to run out. That's what
happened with 'The Office.' What will replace 'Big Bang'?" Mr.
Campanelli said.
TBS is also skewing older, with its median age at 44.1 from 34.8
in 2009.
Narrowing pricing gap
Turner's broadcast-replacement strategy was geared towards
positioning the company as more cost-efficient than the networks,
while delivering substantial reach. But media buyers say the
pricing gap between Turner's originals and broadcast TV's offerings
has started to narrow.
Media buyers also expressed concern that Turner has forsaken
more risqué content for reach. "TNT is somewhat like the CBS
of cable -- ratings are strong but buzz on some of their shows
isn't there," Mr. Campanelli said.
TNT's most-prized possession is basketball, with deals to
broadcast NCAA tournament and NBA games (the latter of which
expires at end of 2015-2016 season). Both significantly contribute
to ratings. But TNT still hasn't filled the void left when popular
police drama "The Closer" ended two years ago. And its current top
programs like "Rizzoli and Isles" and "Falling Skies" skew
older.
"Those aren't the 18-to-34 shows that are really, really
buzzing," Ms. Speciale said, referring to "Rizzoli and Isles" and
"Falling Skies." "And I'll be honest, I think that's what Michael
[Wright, head of programming for TBS, TNT and Turner Classic
Movies] is focusing on. I think it's great to have a buzz show and
we want one, trust me. We all want one."
That's put all the focus on TNT's summer slate, which includes
"Last Ship," "Murder in the First" and "Legends." Just last week,
both TNT and TBS green lit several series: TBS ordered "Angie
Tribeca," a satirical look at police procedurals from Steve and
Nancy Carell; "Buzzy's," a workplace comedy from the creators of
"Will & Grace;" and the family comedy "Your Family or Mine."
TNT picked up "Public Morals," a 1960's-set police drama, and
"Proof," a supernatural drama.
Filling a need
It's a tricky balancing act, and Turner President David Levy
stressed the networks won't give up their foundation, and their
success with originals and sports is what will allow Turner's
networks to start taking some risks.
"What I'm happy about is we have consistent originals that have
been on for multiple seasons. It's great to have a buzz and we all
want it, but one show doesn't make a network," Ms. Speciale
said.
Media buyers acknowledge programs like AMC's "Breaking Bad" and
"The Walking Dead" don't come around often. And even though TNT's
ratings are down, it still regularly attracts audiences other
networks wish they had. This helps fill the market's desperate need
for ratings points, and as a result media buyers say TBS and TNT
will continue to attract big bucks from advertisers.
Adult Swim has also become a hot prospect for marketers looking
to reach the elusive 18-to-34 demo. With animated series like "The
Boondocks," Adult Swim posted its most-watched year in 2013 and
expanded its programming block to start an hour earlier, at 8
p.m.
TruTV is also in the midst of a revamp under the leadership of
President and Programming Head Chris Linn, after losing more than
30% of its total audience in prime time since 2009. Those efforts
won't materialize in time for upfronts, but Ms. Speciale is
bullish. "TruTV will be a network to be reckoned with. In a year
from now it's going to be a different network," she said.
Then there's CNN. Under the helm of Jeff Zucker it's been
repositioning itself and broadening beyond breaking news with
original documentaries and series like Anthony Bourdain's "Parts
Unknown."
Despite these efforts, CNN's ratings remain challenged. In fact,
Turner's umbrella strategy is expected to be most opportunistic for
the cable news network, which buyers say is having trouble going to
market on its own.
"It will help news by putting it with entertainment," Mr.
Campanelli said. "CNN is not strong enough at the moment to stand
on its own anymore."
"We're not just going to live in the news marketplace," Ms.
Speciale said. "Of course you will have the news marketplace, but
there's a whole other host of advertisers that are now going to
look at this -- advertisers we are working with on TNT and TBS that
don't necessarily buy CNN that way right now."
Media buyers have expressed some concern and confusion over the
departure of Mr. Koonin and Mr. D'Alba, both well-liked and
respected in the industry, so close to the upfront. But Mr. Levy
and Ms. Speciale don't expect the shakeup to have an effect on
negotiations. "No [advertiser] buys a network executive, they are
buying ratings and content," Mr. Levy said.
Both say turnover can allow the company to try new things, with
Mr. Levy alluding to a potential change in the way Turner will
market its brands. He declined to elaborate, but no doubt Turner is
hoping for a big bang.
Jeanine Poggi is editor-in-chief of Ad Age. In this role, she oversees the editorial vision of the newsroom and development of new editorial products. Jeanine joined Ad Age in 2012 as a TV reporter following stints covering the retail and media worlds for WWD, Forbes and TheStreet.