On Aug 17, 2012, at 10:39 AM, Tom Wolper <[email protected]> wrote:

> My problem with Singh's op-ed is that he mentions these innovative
> trends without accounting for the characters who have to adopt them.
> Traditional media companies and advertising companies are stubbornly
> rejecting making any changes to their model as a reaction to these
> trends. And the media companies have more influence over the FCC than
> do digital upstarts and they can limit the power of a regulatory
> agency to open up the market. So while Singh talks about an evolution
> of the media business, I see it more as denial of the innovations
> until a crisis occurs and then they either emulate Verizon, which was
> a landline phone business which acquired cell phone companies and
> developed broadband and TV delivery businesses far away from their
> core model, or they could be like Borders and collapse into
> irrelevancy and disappear from the face of the earth. I don't see a
> gentle evolution.

I think Singh knows this. He's on the client side, and undoubtedly he sees 
this, especially when it comes to media planning. Heck: look at how bad sports 
are locked up.

As someone who works in the ad world, it's been interesting to see the first 
shift to stand-alone digital shops, and now to larger agencies (or combination 
agencies) as they realize that it's inefficient to have two sets of branding 
creatives. Media buying agencies (at least the good ones) know what's out there 
and what can be done. At the end of the day, it'll be a combination of a 
significant lowering of TV ad budgets, the collapse of the sports TV rights 
bubble, and the demo becoming filled with more and more digital natives (which 
will drive the ratings lower and lower).

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