Media Coverage Report Interpublic Media - TiVo Upfront

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					                      Media Coverage Report
          Interpublic Media - TiVo Upfront Announcement
                           (May 22, 2006)

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                                           May 16, 2006

NBC Looks Beyond TV for a Prime-Time Revival

By Stuart Elliott

NBC, eager to improve its ratings and advertising sales, is counting on digital media as much as
television for a comeback in the 2006-7 season.

In a two-hour presentation yesterday to advertisers and agencies at Radio City Music Hall,
executives at NBC, which is finishing fourth again in ratings for the 2005-6 season, emphasized
the breadth and depth of their digital offerings as they talked up the prospects of their new
dramas and sitcoms.

The NBC presentation kicked off what is called the upfront week, when the big broadcasters offer
previews of their prime-time lineups ahead of the fall season.

"No longer is content just for the television screen," said Jeff Zucker, chief executive at the NBC
Universal Television Group, part of the NBC Universal unit of General Electric.

"We have put a ton of thought and a ton of effort into the digital world," Mr. Zucker told a theater
filled with marketers and advertising agency employees and executives. "We want to be your
digital partner."

Analysts are calling this upfront week a watershed because the broadcast networks are
significantly expanding their presence in the new media, whether through Webisodes, video
downloads, podcasts or mini- series created for cellphones.

Commercial time is being sold for much of the additional content, which Mr. Zucker
acknowledged by telling the agencies and advertisers, "We want to make it easy for you to solve
your needs using our content."

So lengthy was the list of new-media opportunities described — "we have more than 100 ideas,
ready to go," Mr. Zucker said — that some members of the audience grew restive, wondering
when Kevin Reilly, president at NBC Entertainment, would return to discuss the prime-time

These are some of the initiatives outlined by Mr. Zucker, all intended to complement the new and
returning series on the schedule:

A broadband comedy channel (, offering computer users archives of shows like
"Leave It to Beaver" and a chance to create their own content to podcasts. The Web site will also
help promote sitcoms like "My Name Is Earl" and "The Office" as well as "Saturday Night Live"
and NBC's late-night lineup.

A broadband preview channel (, where episodes of new series will make their
debuts before they arrive on NBC.
Thirty Webisodes of the returning sitcom "The Office" that will appear beginning in the summer on
the NBC Web site (

An online contest, also on, for viewers of the returning drama "Law & Order: Criminal
Intent," who can study clues about the murder in each episode before the episode appears on
TV. The contest prize will be "determined by whoever would like to sponsor it," Mr. Zucker said,
drawing laughter.

An animated digital comic book based on characters and plot lines from "Heroes," a drama series
being scheduled for 9 p.m. Mondays.

"Heroes," featuring young actors like Ali Larter and Milo Ventimiglia, is one of six dramas that
NBC will add to its prime-time lineup for 2006-7. The others are "The Black Donnellys," "Friday
Night Lights," "Kidnapped," "Raines" and "Studio 60 on the Sunset Strip."

The dramas will be "the cornerstones of the new fall schedule," Mr. Reilly said.

For two decades, NBC was known for its sitcoms like "Cheers," "Frasier" and "Friends." But the
recent precipitous decline in ratings and ad sales is leading the network to try Plan B, the
dramatic genre. NBC tried a smaller-scale version of the strategy for 2005-6, but those dramas
failed to catch on.

The new dramas "are much better than what they've had," said Shari Anne Brill, a vice president
and programming director at Carat USA in New York, a media agency that is part of the Carat
unit of the Aegis Group. She singled out "Friday Night Lights," based on the book and movie of
the same name, with Kyle Chandler ("Homefront," "Early Edition") as a high school football coach
in a Texas town.

NBC is adding four sitcoms: "Andy Barker, P.I.," "The Singles Table," "30 Rock" and "20 Good

The similarity in subject matter between "Studio 60" and "30 Rock" — both are about a TV series
strongly evocative of NBC's own "Saturday Night Live" — made for some good-natured ribbing.

"Every year, an idea comes along that is so unique, NBC has only two of them," said Alec
Baldwin, a cast member of "30 Rock."

Here is a look at some of the other highlights, lowlights and sidelights of the opening day of the
upfront week.

A TIVO VOTE For the first time during an upfront week, a large agency company has made
a deal with TiVo, the digital video recorder company. Interpublic Media, a division of the
Interpublic Group of Companies, announced an agreement to buy advertising on behalf of
clients of its media agencies like Initiative and Universal McCann.

The agreement is "a seven-figure deal," said Mark Rosenthal, chairman of the Interpublic
Media in New York, declining to be more specific. It offers "an opportunity for all our
agencies' clients, and several have signed on already," he added, again declining to
provide details.

The deal, which includes TiVo features like interactive commercials, is indicative of the
increasing interest among advertisers in expanding beyond traditional media like
broadcast television to digital venues like D.V.R.'s, Web sites, iPods and cellphones. The
deal with TiVo, Mr. Rosenthal said, is the first of several to come between Interpublic
Media and "other providers of new marketing solutions."

GEE WHIZ? NO, G4 Each year during the upfront week, which is devoted to elaborate
presentations by the broadcast networks, some cable networks seek to take advantage of the
attention that Madison Avenue gives to television. Yesterday, it was G4, a cable network owned
by the cable giant Comcast, which sought to capture the eyes of media executives with an
elaborate stunt.

The stunt involved a flatbed truck that drove around Manhattan, outside the offices of media
agencies like OMD, part of the Omnicom Group. Four young men were duct-taped to the truck,
meant to demonstrate the "stickiness" of G4's programming for the elusive younger-male viewer.

"Two of them had video iPods," said Neal Tiles, president at G4, who is based in Santa Monica,
Calif., to make the point that "six of our shows are in the top 25 in iTunes."

BYE-BYE, UPFRONT? Even as the upfront week for the 2006-7 broadcast season got under
way, a group of major advertisers began exploring an alternative to the upfront.

The advertisers, all members of the Association of National Advertisers, an industry trade
organization, are developing a pilot project for an electronic marketplace that would handle the
buying and selling of commercial time. The advertisers exploring the auction model include giants
like Hewlett-Packard, the Masterfoods division of Mars, Microsoft, the Lexus division of Toyota
Motor Sales USA and Wal-Mart Stores.

Robert D. Liodice, president and chief executive of the advertiser association, said it would work
with the member group to consider developing a system to be called the Online Media Exchange.

"We need to see if there's consensus among advertisers that implementing a digital exchange will
indeed benefit the industry as a whole," Mr. Liodice said. The trade publication Advertising Age,
which reported the formation of the member group last week, said that major marketers like
Kellogg and Procter & Gamble opposed the idea.

The leader of the exploration into an upfront alternative is Julie Roehm, senior vice president for
marketing communications at Wal-Mart, who has long advocated a stock exchange model for
buying and selling commercial time. Ms. Roehm is asking 10 members of the advertiser
association to contribute $50 million to study an auction-type online trading system.

                                           May 15, 2006

TiVo Signs First Upfront Deal With Major Advertising Holding Co

Alviso, Calif., digital video recorder provider TiVo Inc. (TIVO) signed an advertising deal with
Interpublic Media, which oversees the media-services operations of New York's Interpublic Group
of Cos. (IPG).

Specific terms of the "multi-million dollar" agreement weren't disclosed.

"TiVo is pleased to have Interpublic Media as the first major advertising holding company to sign
an upfront deal," the company said in a statement Monday. "This agreement further validates our
commitment to the advertising industry and presents an opportunity for all of Interpublic's clients
to leverage TiVo's DVR advertising to reach an attractive demographic."

The agreement expands upon a "long-standing relationship" between the companies, Tivo said.

Under the deal, Interpublic and its agencies can offer new clients or non-TiVo advertising clients
preferred pricing for the term of the agreement.

TiVo recently launched Product Watch, a service offering on-demand ads to its more than 4.4
million subscribers. TiVo has signed up about 70 advertisers for the service. Universal McCann, a
media-buying firm owned by Interpublic Group, is involved in the project.

TiVo's shares recently gained 17 cents, or 2.2%, to $7.90.

Interpublic's shares were trading at $9.74, down 6 cents.


                                           May 15, 2006

TiVo In Pact With Interpublic Group

MAY. 15 10:27 A.M. ET Digital video recorder (DVR) maker TiVo Inc. on Monday said it signed a
multimillion dollar advertising agreement with Interpublic Media, the media-services arm of
advertising agency holding company the Interpublic Group of Cos.

TiVo offers interactive advertising to viewers as they pause television programs on TiVo DVRs.

The agreement was handled through Interpublic Media's Emerging Media Lab. Interpublic Media
and its agencies, which include Initiative, Magna Global and Universal McCann, among others,
will be able to offer new clients or non-Tivo advertising clients preferred pricing during the

Shares of TiVo rose 19 cents, or 2.3 percent, to $7.92, during morning trading on the Nasdaq.
The stock has traded in a 52-week range between $4.56 and $9.49. Shares of Interpublic Group
fell 10 cents to $9.70 during morning trading on the New York Stock Exchange.


                                            May 16, 2006

TiVo enters Interpublic ad-rate deal

By Paul Bond

TiVo, having launched last week its Product Watch service that allows some of its subscribers to
seek advertising for products that interest them, said Monday it signed its first multimillion dollar
upfront agreement with an ad-agency holding company.

The deal is with Interpublic Media, which oversees the media services operations of the
Interpublic Group of Companies, or IPG, including such ad agencies as Universal McCann and
Magna Global.

Handled through Interpublic Media's Emerging Media Lab, the deal calls for TiVo to give
preferred pricing to new advertisers who come to it via Interpublic Media.

First up is Sony Pictures, which has begun feeding four-minute "The Da Vinci Code" commercials
to TiVo users who may view it on-demand. The ad also lets viewers purchase tickets to the
movie, facilitated by way of TiVo's previously announced relationship with Fandango.

TiVo has worked with IPG before, not only through the creation of advertisements for its clients
but also in developing TiVo's Product Watch, whereby TiVo subscribers can search for specially
made ads that run from one minute to one hour.

TiVo wouldn't divulge financial details of the arrangement, though vp national ad sales Davina
Kent confirmed it will represent more than $1 million in ad revenue to TiVo over the next year.

TiVo has been aggressively courting advertisers lately, part of its ongoing effort to separate it
from competitors that make more generic digital video recorders, and to profit from the wave of
ad-skipping that goes along with DVR usage.

"This reaffirms our commitment to the advertising industry and IPG's commitment to the DVR
space," Kent said. "IPG made a significant investment on educating their clients on new
technologies, and this is an extension of that."

                                            May 16, 2006

TiVo and Interpublic Media Ink Upfront Deal

Gives Clients Like Johnson & Johnson a Say in Development

By Beth Snyder Bulik

YORK, Pa. ( -- TiVo joined the upfront fray this week with a first-of-its-kind
commitment from Interpublic Media. TiVo's unprecedented deal with Interpublic Media's
Emerging Media Lab is meant to meant to give preferred pricing and insider access to TiVo ad
products for Interpublic clients -- which include Johnson & Johnson, an upfront holdout this year.

TiVo and Emerging Media Lab executives came to the deal after working closely on TiVo's
recently launched Product Watch, which allows viewers to search a database of commercial
information from more than 70 marketers.
Photo Credit: AP

"We say upfront because it's an upfront commitment. We didn't hold a conference … but
Interpublic has signed up for a long-term deal," said Davina Kent, TiVo VP-national advertising
sales, adding that the deal lasts through the end of the year. "There is a strategic element and an
economies-of-scale element to it."

The economy of scale is, of course, better pricing in return for committed dollars. The strategic
part is less concrete but in general affords Interpublic, and its clients, a bigger say in TiVo's ad-
product development.

TiVo and Emerging Media Lab executives came to the deal after working closely on TiVo's
recently launched Product Watch, which allows viewers to search a database of commercial
information (spots ranging from one minute to one hour) from more than 70 marketers.

More to come
The first Interpublic client to take advantage of the TiVo upfront buy is Sony Pictures, which has
begun running advertising for "The DaVinci Code." Ms. Kent declined to name other advertisers,
but said "a handful of others are already interested" and expects more Interpublic client
advertising will appear over the next few months.

Before these latest deals, only two Interpublic clients had appeared on TiVo -- J&J's Tylenol and
Sony Pictures.

"Even though TiVo doesn't bring a huge subscriber base, 4.5 million to 5 million people, the value
is that they are a relatively dedicated one," said Yankee Group analyst Adi Keshore. "And the
other more important value is that TiVo has been doing this for a couple of years and have more
experience than anyone else. ... It's a pretty solid credential for TiVo."

And while the deal may be a first between TiVo and ad agencies, it will likely not be the last.
When asked if TiVo anticipates similar deals, Ms. Kent said, "Yes," and when further questioned
about any forthcoming announcements, she added, "We hope so."


                                            May 22, 2006

J&J right to stay on the sidelines

Johnson & Johnson should be commended for its decision to bow out of participating in this
year's network TV upfront period.

For J&J, tabling its $500 million network TV marketing budget until it is ready to make media
purchase decisions is a sound business move. Rather than commit dollars during an upfront
period that doesn't coincide with its business-planning cycle, the marketer is choosing to spend
its money when and where it can-in line with its own budgeting and planning timelines.

It's a move considered risky by some-J&J could end up paying much more for TV powerhouses
such as ``Desperate Housewives'' and ``Grey's Anatomy.''

But it's only as risky as the value placed on TV as an advertising medium. And this year, the
landscape of media options is sufficiently lush to finally dilute TV's dominance as king of the
jungle. In last week's online poll, a majority of Advertising Age readers said they expect the
emphasis on the digital marketplace will minimize advance purchasing. In fact, 73% of voters said
they did not think this year's network TV upfront would top last year's $9.1 billion.

J&J, in fact, is already entering the thicket of alternative media platforms. It is a client of
Interpublic Media, which is embarking on an unprecedented deal with TiVo through its
Emerging Media Lab. But even before this opportunity, J&J had appeared on TiVo. Clearly, the
marketer must be at least somewhat satisfied with its forays: According to people who have
spoken with its executives, the company plans to shift 20% or more of its marketing budget to
nontraditional media.

Certainly, following J&J's lead makes more sense for some marketers than others. Such
decisions are subject to variables such as the time-sensitivity of certain offerings and new-product
launches. But shouldn't those issues, rather than the media-selling system, be the deciding
factors? And J&J's move can be interpreted as a show of a marketer's unwillingness to be strong-
armed into being held to the networks' long-dominant timetable.

It's about time the marketers-those spending the money-made the networks dance to their tune,
rather than the other way around.

                                           May 15, 2006

TiVo Inks Multi-Mil. Deal With Interpublic
Anthony Crupi

TiVo this morning announced it has inked a multi-million dollar advertising pact with Interpublic
Media, which oversees the media services operations of the ad agency holding company the
Interpublic Group.

The deal was brokered by Interpublic's newly launched Emerging Media Lab. Per the terms of the
agreement, Interpublic Media and its agencies––which include include Initiative, Magna Global
and Universal McCann––will have the opportunity to offer any new clients or non-TiVo advertising
clients preferred pricing.

Last week, TiVo announced it will allow subscribers to view commercials on demand via its new
Product Watch service.

TiVo president and CEO Tom Rogers said the agreement “further validates [TiVo’s] commitment
to the advertising industry.”


                                           May 15, 2006

TiVo Strikes Deal With Interpublic Media
Interpublic Clients to Get Preferred Prices for Spots

By Jon Lafayette
TiVo cinched a deal with Interpublic Media that gives the firm's clients preferred pricing in
exchange for a multimillion-dollar commitment to buy spots from the digital video recorder

TiVo in a statement Monday called the agreement, announced as broadcast networks kick off
their annual advertising sales market in New York, its first-ever upfront deal. The digital-recorder
pioneer, whose service lets customers skip regular television commercials, is introducing different
forms of ads that capitalize on its pause and replay features.

"TiVo offers an interactive advertising solution that enables the consumer to pause television and
engage in a branded advertising experience without missing even a second of the TV show a
viewer is watching," said Tom Rogers, president and CEO of TiVo.

                                            May 15, 2006

TiVo Inks Interpublic Media Pact

TiVo Inc. announced an upfront, multimillion-dollar advertising agreement with Interpublic Media.

Interpublic Media oversees the media-services operations of the Interpublic Group of Cos.,
including Initiative, MAGNA Global, Universal McCann and several specialist media agencies.
The digital-video-recorder vendor will provide interactive-advertising opportunities for Interpublic
Media clients.

“This agreement further validates our commitment to the advertising industry and presents an
opportunity for all of Interpublic's clients to leverage TiVo's DVR advertising to reach an attractive
demographic,” TiVo CEO Tom Rogers said in a prepared statement.

“TiVo offers an interactive advertising solution that enables the consumer to pause television and
engage in a branded advertising experience, without missing even a second of the TV show a
viewer is watching,” he added. “We are excited to expand our long-standing relationship with
Interpublic and look forward to capitalizing on their intellectual capital, experience and
relationships in the future.”


                                            May 16, 2006

TiVo Signs Upfront Deal With Interpublic Media

IN AN INDUSTRY FIRST, TIVO Inc. has signed a deal with Interpublic Media, a holding group
that includes media firms Initiative, Magna Global, and Universal McCann--giving clients of those
agencies "preferred pricing" for TiVo advertising. Although it's infamous in the ad industry for
allowing consumers to fast-forward through ads in recorded programs, TiVo does offer
advertising in its showcase.

The TiVo deal was brokered by Interpublic Media's Emerging Media Lab, and is clearly part of a
larger effort by Interpublic Media to keep pace with changes in video consumption habits brought
about by the digital revolution. For its part, "TiVo is pleased to have Interpublic Media as the first
major advertising holding company to sign an upfront deal," said Tom Rogers, president and
CEO, pointing to TiVo's ability to pause a program for a "branded advertising experience."
According to Mark Rosenthal, president and CEO of Interpublic Media, the deal also "provides us
the opportunity to participate in the development and rollout of new advertising products" on TiVo,
although he didn't specify what kind.

However, media execs from competing firms expressed skepticism about TiVo's claim that the
deal constitutes an "upfront," implying that it may be more a PR stunt than anything else. "You
know 'upfront' has this magic to it," said Mitch Oscar, executive vice president of Carat Digital.
"Everything TiVo does is to really get press--to make it more attractive to cable operators and
satellite or whomever else it's hoping to get to license its technology next."

In regard to the upfront process generally, Oscar opined: "It's lost its meaning...Upfronts are really
happening all the time, so it kind of means everything and nothing."


                                           May 15, 2006

Interpublic Puts Millions Towards TiVo Upfront
›››   ClickZ News

By Kate Kaye

As the television upfront gets underway today, a deal forged between TiVo and Interpublic Media
represents one way in which tried-and-true media buying traditions can apply to the continually-
shifting media landscape. The multi-million dollar upfront arrangement affords the media agency
holding company preferred pricing and ad opportunities on the DVR service for all its clients
including Sony, Intel, Johnson & Johnson and Microsoft.

"As we looked around at our client base, and shifting media especially, it made sense for us to
lock in some preferential pricing for our clients," explained David Cohen, EVP and U.S. director of
digital communication at Interpublic's Universal McCann.

At this point, Interpublic has not planned anything specific for any of its advertiser clients in
relation to the agreement, but Cohen said they will begin doing so in the next two to four weeks.
He did point to TiVo's broadband and commerce capabilities as possible campaign components.
Cohen also noted that Interpublic expects to develop customized advertising opportunities for its
clients as a result of the deal. The agency group has already run TiVo "Showcase" campaigns for
its clients, more of which will launch in the next couple of weeks.

The upfront deal is "very much a commitment of financial resources on the part of us and our
clients; we haven’t locked in anything specific by client," commented Cohen. "We knew there was
a bunch of stuff that would organically happen throughout the year so we wanted to be proactive
and nip it in the bud."
TiVo said in a statement that the Interpublic deal is its first upfront arrangement with a major
advertising holding company. Interpublic's new Emerging Media Lab division organized the deal.
Cohen described the new unit as "the nexus of digital communication and innovation for
[Interpublic Group]." Through the Emerging Media Lab, the firm's agencies, including Universal
McCann, Initiative, and MAGNA Global, share best practices across clients and conduct
proprietary trials, according to Cohen.

On a related note, it was reported today that Interpublic client Johnson and Johnson has decided
not to participate in this year's traditional upfront buying bonanza with broadcast TV networks.


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