1 Copyright © 2008 The Nielsen Company • Confidential and Proprietary www.nielsenpreview.com

PreView™ for entertainment

Press Kit

INTERNATIONAL ShoWest EditionCineplex Entertainment

April 2008 / $7.50

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www.filmjournal.comINTERNATIONAL

JASON SEGEL STARS IN A

UNIVERSAL PICTURES RELEASE

April Cover Proto.qxd 2/27/08 6:24 PM Page 1

THE NIELSEN COMPANY, parentcompany of both ShoWest and FilmJournal International, will be unveil-

ing an important new service to the motionpicture community at ShoWest 2008. AnnMarie Dumais, senior VP of sales and mar-keting, offers this exclusive advance look atNielsen PreView.

What is Nielsen PreView?Nielsen Preview provides exclusive indus-

try intelligence by fostering a participatoryonline community of feedback that is builtupon the integration and analysis of allNielsen information, such as TVRatings,EDI, NRG and Soundscan.

Does Nielsen PreView focus on all indus-tries, or are there certain ones?

Nielsen PreView’s initial focus is buildingan entertainment community.

By community what do you mean?Whether you are a start-up, graduate

student, agency, large advertiser, or studio—anyone with an interest in or involved withthe creation, financing, production, market-ing and distribution of entertainment willhave an interest in joining our community.

What are the benefits?Registered members of NielsenPreView.

com have the ability to steer future researchby voting on upcoming topics and rating cur-rent research. Registered members may alsoaccess our library of best-practice reports,industry analysis and breaking news. Finally,members share insights/opinions via ouropen and interactive online portal.

So members actually get to vote on upcoming research?

Yes. We strongly encourage our NielsenPreView community to let us know “whatkeeps them up at night.” Based on themajority feedback, we create each quarteroriginal insights and learnings, leveraging the many informational assets of Nielsen.

The Nielsen Company has so many information assets. How do you determinewhich Nielsen assets to use?

We really let the member’s chosen topicdrive which Nielsen informational sources touse. For instance, in working on our mostrecent “Collective Wisdom of Movies” study,we drew upon several Nielsen sources suchas EDI’s eCinesys, Nielsen Monitor PlusAdViews, Netratings and VideoScan. Wethen integrated, modeled and analyzed theseinformational sources to draw new learningsand insights for our members.

Can you tell us more about this “CollectiveWisdom of Movies” study?

We will be premiering the insights fromour “Collective Wisdom of Movies” study at ShoWest 2008. This study will providethe following insights:

• What are the effective media vehiclesand marketing targets for movie genres and moviegoers?

• What’s the BUZZ all about? Whatimpact does Internet buzz have onmarketing spend and box office?

• Are 3D movies for everyone, or justfor some?

• Is the PG rating a potential goldminefor the movie industry?

• How early should studios begin mar-keting their films?

• Do critics really have an impact onthe box office?

How is this service differentiated from other Nielsen products and services?

As the global leader in marketing andmedia research, Nielsen is known to be thego-to source for “must-know” information(e.g., TVRatings) that is specific and action-able to one’s own business. The current para-digm shift in consumers’ media and market-ing habits requires all business people tokeep their eye on many balls simultaneously.This increased need for more information,coupled with the decrease in time allotment,means business people are desperate for aquick and simple dashboard of insights.

Such a simplistic “dashboard,” however,requires a sophisticated amount of integra-tion and analysis of very disparate informa-tion sources. This need poses a challenge forboth small and large businesses alike. For asmall business, it’s not always financially fea-sible to acquire multiple data sources. Andfor a large company, it’s not always time-effective to integrate and analyze disparateexternal informational sources. WhatNielsen PreView provides to both small andlarge businesses alike is a shared and inte-grated research resource that providesinsights and direction. Nielsen PreView is astarting point from which one can decide iftheir informational needs are satisfied or ifcustom research is needed.

What sets this kind of service apart from all the other research companies out there?

Nielsen PreView has access to some of the world’s largest informational data-

EXCLUSIVE

INDUSTRY

INSIGHTS,LED BY THECOMMUNITY,BUILT BY NIELSEN

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106 WWW.FILMJOURNAL.COM APRIL 2008

ANNOUNCING

NIELSENPreView

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slow times—sporting events. “So much ofthat takes place on Saturday afternoons orduring the week when you don’t havehuge audiences already in the theatre formovies,” Stephenson explains. “Collegeand professional sports are such enor-mous events.”

Though Stephenson is particularlyexcited about the potential of sportsevents and live broadcasts, it’s 3D he’smost looking forward to discussing withhis peers at ShoWest. “We’re very, veryearly on in this 3D alternative program-ming area. The more unique options wecan present, the better we’re going to do.”

GALEN KERASOTES,VP,ALTERNATIVE

PROGRAMMING, KERASOTES THEATRES

“You get one of the best views in thehouse,” says Galen Kerasotes about hisconcerts. But Kerasotes, like the otherparticipants in ShoWest alternative con-tent seminar, is no music promoter. He’sthe VP of alternative content program-ming at Kerasotes Theatres, and throughthe Chicago-based circuit’s partnershipwith several alternative content providers,Kerasotes has given front-row concerttickets to all its patrons.

Broadcasting performances by per-formers like Led Zeppelin and MeatLoaf, as well as live productions by NewYork’s Metropolitan Opera, Kerasotes isdrawing in audiences who might neverpreviously have found what they werelooking for at the movies.

“It attracts people who might not nec-essarily decide to go to the concert if theydon’t enjoy the concert environment, or ifthey don’t want to have to drive to a largecity,” Kerasotes explains. “There are somepeople who don’t come to the theatre veryoften who make a special effort to comeout to the Met.”

Kerasotes theatres have also donenon-musical special presentations, such asan event based around the Chicagomarathon. Even though the presentationdid not take place at the same time as themarathon, the crowds still showed up indroves. “The interest was actually strongerthan I had expected, especially since itwas in kind of an off time and there was-n’t anything running at the same time topromote it,” Kerasotes notes.

Audience awareness is “good andgrowing” when it comes to these alterna-

tive events, Kerasotes declares, and theincreasing number of options for alterna-tive content makes it easier to let peopleknow what’s waiting for them at the cine-ma. “If people get used to you having thisadditional content, they’ll know to comelook for it.”

“I’ll listen to anyone who has some-thing to say,” Kerasotes says about thealternative content distributors he expectsto meet at ShoWest. He also looks for-ward to hearing feedback from fellowexhibitors, as alternative events becomemore common at theatres across thecountry. “It will be interesting to see whattheir experiences are, and what otherevents they’re participated in.”

WWW.FILMJOURNAL.COM 109APRIL 2008

73850 Dinah Shore Drive, Unit 115, Palm Desert, CA 92211For more information, call (800) 845-0591 or visit www.caddyproducts.com

Tel: (760) 770-1299 / Fax: (760) 770-1799

bases and leading industry experts.This reputation of quality and substance,combined with community dialogue,makes for a very powerful and uniquepartnership. Unlike other research servic-es that speak to one type of job function(CEOs) or one type of media vehicle(e.g., mobile), we are able to speak to the broader interest of the entertain-ment industry. Our broad definitionenables us to provide holistic and thor-ough business intelligence that speaksdirectly to all of its members, regardlessof their background, job function or company affiliation.

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DUMAISA

Sticky Note

Interesting analytical study we did that predicted what the TVratings would be BEFORE the show, based on what movies were nominated - and we were right! Movie nominations strong correlation to audience attraction. Next academy award show they doubled the amount of movies nominated.

"Bmuse thk numbers were so high in this particular cul- tural group, we saw it as a phenomenal opportunity to be able to digin deep into cultural heritage and to get into the ckaPrn cuIture and the gnLndrw charre- '"said C ~ R - thia McFarlane, president, Latin America, at Nazca Saatchi & Saatchi and CEO/chairperson for Conill.

Tbndra led an effort to give chm& a domestic audi- ence, paying homage to the consumers' Mexian rodeo tra- dition and launching %& Cbwadus and a Tundrazo Music Tour, McFarke said.

As a resuIt of the campaign, which combined tradition- al tactics--such asTV and print-with the experiential smt-

egy, the lhndra grew its market share and irtcreased the num- ber of registrations in key markets where Tutadraul events were held, Conill said.

Conill's push for another Toyota unit, Lexus, couldn't be more diffmt. The agency sought to conquer the Iuxu- ry market in Miami to reach affluent Hispanics, who are con- sidered less acculturated but very wealthy and who appre- date arl and culture.

With that in mind, the approach relied on TV for a more traditional product-focused message as wen as experiential marketing and events centered on art and design to appeal to Hispanic

For some perspective from the art world, Conill joined forces with local artists Hector Cad and Christian Duran, and asked them to crtate thek view of *the pursuit of per- fection in South Florida" with pIugs here and there for XRxus.

The agency's mlkboration with the artists resulted in a brightly displayed print campaign that had Iong-term place- ment in the lifestyle magazine, O m n Drive en iGpaPioL

McFarlane says her shop has seen positive results with experiential marketing, which she considers the best way to reach sub-segments within the Hispanic cuIture.

"It allows you to cut very finely the audience you are

uWhen you start

that9s where m e

PICTURE THATr Conll Aduertlsing sold more Lexuses In Mlami by linking the brand with local artists Hector Cat4 and Christian Duran, one example of how almfng for a smaller audience can reap benefits.

trying to get to and reach them with more one-on-one mar- keting," McFarlane said. When you go mass media, you have to cast a much wider net and you can't get as cultur- ally or as sub-culturally specific."

In Miami, the Conill effort has heIped to move kxus from the fourth-ranked player in the luxury market to the lading vehicle during an 18- month period, McFarIme said.

Conill's vision of an intricate Hispanic audience target corresponds with a recent Nielsen Preview study out this month titled, Why M& to Htkpunics? The report acknow1- edges the extreme diversity of the Latino market, condud- ing, "Bottom line, here is not one type of Hispanic con- sumer but many to market to."

The study suggests that marketers who sucoessfully "dis- sect their Hispanic consumer base on a scale of accultura- tion" wiU be best positioned to reach their targets.

Veteran agencies and media exax concur that mom cul- turally felevant content and messaging that addresses sub- segments of the Hispanic population is the best approach. Another component is mafting advertising and marketing messages that conform to the lives chat Hispania in 2008

actually live.

MARCH 3,2008 I SPECIAL REPORT I ADWEEK MEDIA 27

Jeffrey Katzenberg still on 3-D stump Promoting two DreamWorks titles at Cinema Expo By Carl DiOrio June 23, 2008, 08:16 PM ET AMSTERDAM -- It's a well-traveled act by now, Jeffrey Katzenberg's promo push for 3-D exhibition. This time, the DreamWorks Animation topper took his extra-dimensional tubthumping to Cinema Expo, where he's also promoting two DWA titles. "One year ago, I stood here and first spoke to you about 3-D," he recalled while gracefully omitting the scant progress Europe has made in its rollout of digital projection, let alone 3-D accouterments. "I think this is the single greatest opportunity in 70 years," Katzenberg said. "Not since the introduction of Technicolor 70 years ago has there been something so impactful to what we do." Although the notion that many of the assembled exhibitors might be playing 3-D movies anytime soon was perhaps a bit fanciful, the DWA CEO's enthusiasm can be contagious. "We hear there are going to be like 10 to 12 movies released in 3-D in 2009," said Gerald Buckle, d-cinema manager for regional digital pioneer Odeon Cinemas. "That's quite an incentive for doing something." There are fewer than 150 3-D screens sprinkled throughout Europe, compared with about 1,000 in the U.S. Hollywood executives dream of a day when they can release 3-D films on thousands of global screens, but for now studios must split their distribution efforts between conventional and 3-D prints. And the number of runs in the former category dwarfs those in the latter. Katzenberg shared with the exhibs a well-received extended clip from "Madagascar: Escape 2 Africa," which is set to unspool in December as DWA's last feature production animated in conventional CGI. He also showed footage from Easter 2009's "Monsters vs. Aliens," whose 3-D animation represents the future for DWA.

Also Monday, Nielsen PreView execs presented details of a newly released study showing substantial consumer appetite for 3-D cinema. Nielsen PreView senior vp Ann Marie Dumais said additional consumer education about the technology could broaden 3-D interest even further. The Nielsen Co. is the corporate parent of Nielsen PreView and The Hollywood Reporter.

bout one year ago, a horror film,Primeval, generated 64% of its overalltotal gross in the first weekend of

release. For wide-release movies openingwith greater than $5 million, this puts it highon the list of films that had the lowest mar-gin benefit for theatre owners. Why? Typi-cally, profit sharing of film revenues betweenstudios and theatres is calculated on a weeklybasis, with a much higher share being givento a studio (over 85% of ticket price for some

films) in the opening weekend. Typically, forthe life of a movie, the profit eventually aver-ages out somewhere between 35% and 45%for most theatre owners, according to indus-try sources.

To bolster the margins, theatre ownersfall back on concessions. In fact, in terms ofmargins, concessions can represent the lion’sshare of profits for theatre owners. Many inthe industry consider the cost of film and thetickets as more of a loss-leader for the the-

atre owners, the cost of doing business toattract moviegoers into the theatre, in orderto charge them relatively high prices forsoda, popcorn and candy, among other items.

But what if this scenario could beimproved for theatre owners? What if therewas some insight into which films wouldhave a higher likelihood to extend salesbeyond opening weekend (thereby providingthe highest margins to theatre owners)?

A new report from Nielsen PreView™,“Beyond Opening Weekend: How to Maxi-mize the Margins,” analyzes which demo-graphics tend to produce the margins thattheatre owners need, and which types ofmovies generate the highest margins. FilmJournal International offers this exclusive lookat some of the highlights.

YOUNG MALES AND MARGINS

Young males are the ideal movie targetfor studios. In fact, sales of movie ticketsfrom this demographic significantly outpacethose of other age groups, and begin to fallsignificantly after age 24.

But while the under-25 crowd mobs totheatres, they are no friend to profit margins.Over 40% of the 12-to-34 segment state thatthey very often or often see a movie in thefirst week of its release—when the revenueshare equation strongly favors the studios.

All else equal, films that appeal to olderconsumers offer an opportunity for a muchhigher variable margin on ticket sales for the-atre owners, as they are more likely to gener-ate revenue beyond the opening weekend.

For the average film opening at $10 mil-lion, an additional $2 million to $5 million in sales will come after the opening weekend(resulting in an increase of as much as 26 to76% in post-opening sales) for the filmappealing to older consumers.

THE FEMALE FACTOR

While interest from moviegoers over 25tends to signal a higher multiple (and profits)

JUNE 2009

Beyond Opening

WeekendNielsen PreView Report Reveals ‘How to Maximize Margins’

Attendduringfirst week to 10 days

Total 12-17 65-7555-6445-5435-4425-3418-24

35%

24%

23%

30%

28%

25%

35%

23%

41%44%

16%15%

41%

35%

27%

32%

Often/Very Often

Rarely/Never

How to Interpret the Data

The Nielsen analysis incorporates film sales for two years ending September 2007. For thepurposes of this analysis, the variable of interest is the film’s multiple (the quotient of total filmgrosses divided by opening weekend grosses).

Films excluded from the analysis were films not released in wide distribution (less than 650screens), films opening with less than $5 million on opening weekend (due to the higher prob-ability of outrageously high multiples) and films that received a Golden Globe nomination oran Oscar nomination, as that affected the post-opening sales (either because of a slower releaseschedule or renewed interest in a film, causing it to be put back into theatres).The multipleswere then analyzed for statistical differences based on the demographic appeal of the films.

This study was also supplemented with data from the American Moviegoer study conduct-ed by Nielsen NRG in 2007, its representative sample of U.S. moviegoers (people having seenat least one new release in a theatre in the last year).

a

20 WWW.FILMJOURNAL.COM

Attend during first week to 10 days

08-23.qxd 5/11/09 2:40 PM Page 20

for theatre owners, there is a difference betweenthe impact of men and women over 25.

For the average $10 million opening film,an additional $4 million to $6 million insales for cinemas will come after the openingweekend (a 28% increase on average in post-opening sales) for the film appealing to olderfemale consumers—all at wider margins.

The “Beyond Opening Weekend” reportbreaks down which types of films appealmore to older males and which to olderfemales. (Hint: “Guns ’n’ guts” don’t havemuch allure for the older female crowd.)

Other highlights of the Nielsen reportinclude a “Long-Tail Checklist” of

attributes that tend to bring higher margins;the impact of major award nominations; abreakdown of multiples by genre; and generalrecommendations for theatre owners.

In the world of movie marketing, it is oftenremarked that the big media push, what

most marketing teams are held accountablefor, is aimed at the first week or two of tick-et sales.

The reasons for this are clear—withhigher ticket margins allocated to the stu-dios in the earlier weeks of the movie cycle,sales in the first couple of weeks can makethe biggest difference to the studio’s bottomlines.

While theatre owners share in the successof the studios, they are not likely to everinvest millions of dollars in generatingawareness for the films they are supporting.Because of this, the real power for the cine-ma owner is in the choice of film theychoose to distribute and the number ofscreens they propose to dedicate to one par-ticular film over another. Nielsen’s researchprovides a guide as to which films are mostlikely to go the distance and deliver real dol-lars to the theatre owner.

Adapted from the NielsenPreview study.To purchase the full report, please visitwww.nielsenpreview.com.

JUNE 2009 WWW.FILMJOURNAL.COM 21

Average Film Multiple - Men

Films Appealing toMales>25

3.0

Films Not Appealing toMales>25

3.0

Average Film Multiple -Women

Films Appealing toFemales>25

2.7

Films Not Appealing toFemales>25

3.2*

*Note: Statistically significant.

Films Appealing toOlder Consumers

2.7

Films Appealing toYounger Consumers

3.1

Average Film MultipleAverage Film MultipleAverage Film Multiple–WomenAverage Film Multiple–Men

08-23.qxd 5/11/09 2:40 PM Page 21

In the United States, alcohol advertising is currently self-regulat-ed. Many of the restrictions involve the management of the content alongwith an explicit desire to limit the overall exposure of this advertising tothose above the legal drinking age (LDA). Currently in the United States,this age is 21. Some of the restrictions of this advertising content include:

• The message cannot be specifically designed for a younger-than-21 audience.

• It cannot promote brands based on the effects of the product.• It must not encourage irresponsible drinking.

However, probably the most difficult aspect of the self-regulation isnot the content of the commercials so much as their delivery.

Current restrictions state that 70% of the audience must be abovethe LDA of 21 years, which means that the opportunity affordedmany advertisers is simply not allowed for this industry. In a worldwhere the fragmentation of media requires companies to aggressivelypursue new methods of engagement with prospective consumers,many beverage/alcohol companies, because of the above restrictions,

are forced to scrutinize any changes to the mar-keting program much more carefully than theaverage brand. This delay in execution, whilewarranted, continues to run the risk of thisindustry falling behind in resonance with theirtarget consumers.

Here we explore such a case, and potentiallyhow to move forward. In this brief, we ask the question: How might alco-hol/beverage clients more efficiently advertise in the world of cinema whileacknowledging their unique level of restrictions?

ABOUT TODAY’S MOVIE CONSUMERAccording to Nielsen’s American survey of moviegoers, the highest

incidence of moviegoing is attributed to the youngest of consumers, apoint not lost on beverage/alcohol brands.

Incidentally speaking92% of consumers 12 to 17 attended a movie in a theatre during

2007. For consumers aged 18 to 24, that number is 84%. As age increas-es, the incidence of moviegoing continues to decline.

The strongest contendersWith average movie theatre visitation at 10 times per year in 2007,

the 18- to 24-year-old represents the strongest moviegoer among allAmericans.

KEY INSIGHT:The LDA demarcation of 21 is situated amongst the highest number

of impressions (admissions) of any demographic. Utilizing these impres-sions will require careful targeting.

ABOUT THE RATINGSTo some extent, MPAA ratings provide some insight into which

movies can effectively reach out to our 21+ segment. R ratings are bestsuited, G-rated movies are least, but in many ways, the MPAA is noteffectively designed for this targeting.

Rating the ratingsWhile it makes sense that R-rated films come in as the top-rated for

reaching 21+ individuals, this number is not statistically different thanthat of PG-13. In essence, PG-13 films are just as likely to bring in a21+ audience as an R-rated movie is, since much PG-13 content appealsto older consumers as well.

KEY INSIGHT:Beverage/alcohol marketers and agencies looking to harness the

power of cinema advertising need to look beyond just the MPAA ratingto effectively harness this medium.

OCTOBER 200948 WWW.FILMJOURNAL.COM

&

Total

84%

55-6445-5435-4425-3418-2412-17

92% 78%70%

9.1

7.9

44%52%71%73%

6.5

8.7

10.0

7.27.6

6.6

65+

G RPG-13PG

53%

36%

62%

71%

Total

24

55-6445-5435-4425-3418-2412-17

25 32176

92%

70%

16163133

71%78%

84%

73%

44%52%

65+

Coming of AgeMovie Advertising Techniquesfor the 21+ Crowd

Moviegoing Incidence in Past 12Months (% seeing one or more films)

Percent of Ticketsfrom Audiences 21+

Moviegoer Incidence %

Annual Average Moviegoing(# of movies seen per year)

Estimated MoviegoerPopulation Size (MM)

This article is adapted from a report published by Nielsen PreView. For more information on this and other Nielsen research, visit more.preview@nielsen.com.

a a

32-49.qxd 9/14/09 3:44 PM Page 48

Barack Obama might be outspending him onTV, but John McCain may have some effective,cheaper options for advertising in the crucialbattleground states.

A new Nielsen PreView study scrutinizingthe media consumption habits of U.S. voters in13 of the most hotly contested states found thatstrategic media buying in cable could yieldeasy-to-overlook channels that offer highconcentrations of viewers belonging to partic-ular political parties.

For instance, the automotive-themed cablenetwork Speed Channel managed to attracthigher concentrations of both Republican andindependent voters than any other channel —even more than the 24-hour news networks.

That could be good news for McCain as heseeks to appeal to Republicans and independ-ents even as he trails Obama in media spendingby a ratio of 3-to-1 in the battleground states,according to the Wisconsin Advertising Pro-ject. The study found that Obama and McCaintogether spent $28 million from Sept. 28-Oct. 4 on TV ads.

The PreView study, based on an online sur-vey conducted Sept. 30 of 40,000 registeredvoters, highlights the most efficient options forreaching viewers strictly by their political affil-iation in the states where the bulk of marketingand campaigning will be targeted in the finalweeks before the Nov. 4 election.

The findings also shed new light on long-held assumptions about the political composi-tion of audiences for some prominent broad-cast and cable channels. While CNN andMSNBC — often criticized as left-leaning net-works — finished among the top 10 highestconcentrations of Democrat-registered viewersin battleground states, both were topped byentertainment channels BET and VH1.

But even more surprising was the emer-gence of Speed as the leading source forRepublican viewers, who were 52% likelier towatch the channel than the average U.S.household, beating out Fox News Channel —long considered a Republican favorite —which finished second with 48%.

However, when measured across all 50states, Fox News topped Speed 48%-28%.

Other TV favorites for Republicans on thenational level included Golf Channel, whichfinished second to Fox News at 32%, followedby Hallmark Channel at 29%.

Speed also had the highest concentration ofindependent voters in battleground states,with 72%. Other top finishers among inde-pendents included CNBC (48%), Travel Chan-nel (44%) and CNN Headline News (33%).

As for Speed’s surprising combination ofRepublican and independent voters, likely fac-tors include the prominence of NASCARamong red staters and a growing corps ofyounger viewers to explain the indie influx.

On the Democrat side, CNN was a solid third(39%) behind BET and VH1. VH1’s schedule isfilled with fizzy, celebrity-driven reality showsthat probably don’t play big with right wingers,

while BET’s predominantly black audiencestend to be registered Democrats.

Although the broadcast networks boastedthe highest totals of political parties becausethey have the biggest audiences, that makesthem a less-targeted, more-expensive propo-sition. While a whopping 84% of Republicansin the battleground states that were surveyedreported watching Fox Broadcasting Co. incomparison with the 50% that did same forFox News, Republican viewers were 48%more likely to watch than the average house-hold — three times more than they did FoxBroadcasting.

Consequently, if McCain were to buy FoxBroadcasting airtime, he likely would bepaying more to reach viewers he doesn’t needto target. ∂

By Andrew Wallensteinand James Li

COVER STORY

TOP 5 NETWORKS

Channel favorites in battleground states

REPUBLICANS DEMOCRATS INDEPENDENTS

2517

3022

3316

4850

529 60

872

10

4115

3947

3718

355

4825

4419

3335

3216

Speed Channel

Fox News

CMT

Hallmark Channel

Travel Channel

BET

VH 1

CNN

Travel Channel

SoapNet

Speed Channel

CNBC

Travel Channel

CNN Headline News

CMT

14 THR.COM 10 . 24. 0 8

Unlikely TV networksemerge as hot spots toreach partisan viewers

Battleground marketing

For audiencecompositionacross majorparties on anational level

The presidential candidates’ TV advertising strategies are departingfrom their traditional focus on the battleground states to a trulynational approach.

Millions of dollars are still being spent to sway independent andundecided voters in such states as Florida, Ohio, Virginia and Pennsyl-vania that could go either way. But millions more are going to thebroadcast networks despite the higher costs of national-reach blurbs.

The game-changer has been the decision by Barack Obama’s cam-paign to opt out of public financing and the massive amounts it hasraised — $150 million in September alone.

Tobe Berkovitz, an associate dean and advertising professor atBoston University, doesn’t see Obama having to make the customarybudgetary choices among TV, radio or direct response.

“Usually, you’ve got all these options and a limited amount of thepie,” Berkovitz said. “Obama has the entire pie factory. Strategically,Obama can do it all.”

The Obama campaign raised the stakes during the summer, when itponied up $4 million for 30-second spots during NBC’s SummerOlympics telecasts. It was the first time since 1996 that any presiden-tial spots had run on broadcast TV. That was immediately answered bythe McCain campaign, which spent $5 million on its own ads.

Since then, Obama has outspent McCain not only in battlegroundstates but also on the national airwaves. Obama, for example, was fora time all alone running campaign ads in the crucial state of Florida.

Spending further increased with a half-hour time buy Wednesday onCBS, NBC and Fox, where Obama will talk to the nation six days beforeElection Day. It’s the first time buy since 1992, when Ross Perot pur-chased a series of 30-minute blocks.

Conventional wisdom would have it that Obama would want toaddress the uncommitted and independents in battleground statesthat could go blue Nov. 4. That’s where the bulk of the money is spent,not only for Obama but also for McCain.

But Aaron Cohen, chief media negotiator at New York-based adbuyer Horizon Media, thinks the national buys make sense given thecampaign being flush with cash.

“It would be hard to spend that kind of money on a purely locallevel,” he said. “The national buy works to reinforce the blue stateswithout having to spend local money.”

Mark McKinnon, a former Bush and McCain campaign strategist whois vice chairman of Public Strategies, said the Bush campaign employeda national cable strategy.

“We found it to be very effective because even though it reachedvoters who weren’t in target states, it energized supporters andenhanced our fundraising,” he said. “It is clearly having the sameeffect for Obama with greater reach through a national broadcastcampaign.”

The McCain campaign has tried, even with limited funding, to gohead-to-head with Obama. While it spent more on the Olympics thanObama, it hasn’t yet jumped in with the $3 million-$4 million for a four-network time buy that it would need.

But McKinnon doesn’t think that in presidential campaigns there’smuch ROI for TV ads.

“Ads contribute to the overall narrative of the campaign and canbe used effectively as a tactical tool to shape press coverage,” hesaid. “But overall, a lot of money is wasted.”

Ads across America

10.24.08 THE HOLLYWOOD REPORTER 15

BATTLEGROUND: BROADCAST NETS

Audience composition across major parties

ABC NBC Fox

CBS The CW

781 -1

75

076

1281

-271

677

2741

73

1684

-172

878

-313

915

978

1416

BATTLEGROUND: 24-HOUR NEWS Audience composition across major parties

CNN Fox News CNN Headline News

MSNBC CNBC

3947

234

2542

4850

-1828-2

33

2031

3335

621

1422 19

20

2521

3025

4825

427

By Paul J. Gough

Obama spreads the wealth offundraising surplus countrywide

529

Republican viewers are 52% more likely to watchSpeed Channel than the average U.S. viewer

9% of U.S. viewers surveyed reported watchingSpeed Channel over a seven-day period endingSept. 30.

Republicans

Democrats

Independents

Source: NielsenPreView.com

10-24_electionads_COVER2 c 10/23/08 2:41 PM Page 2

Readers, researchers, writers collaborate on ‘The Hollywood Reporter’s’ MyTHR By Marie Griffin June 10, 2008 - 12:07 pm EDT

MyTHR is putting a new twist on user-generated content.

Here’s how the new service works: Users of Nielsen Business Media’s newly revamped Hollywood Reporter Web site, THR.com, choose a research topic from a list. Then, researchers from Nielsen Co.’s new PreView service tap Nielsen’s numerous data assets to conduct original research on the topic.

The analysts hand over the data and their interpretations of the findings to editors and writers on The Hollywood Reporter’s integrated editorial team, who rely on their industry expertise and contacts to formulate answers to their audience’s most pressing concerns.

The result will be an article or series of articles presented online and/or in print. This process will be conducted monthly.

“Not only can we listen to what readers want to know but we also have the capacity—because we are owned by Nielsen—to deliver information that’s analytical, fact-based and original,” said Eric Mika, who joined The Hollywood Reporter in January 2007 as senior VP after six years at Reed Business Information’s Variety and this February was named publisher.

MyTHR exemplifies a new strategic vision for The Hollywood Reporter, as well as a new priority for Nielsen Co., Mika said, adding that Chairman-CEO David Calhoun is leading a companywide effort to break down the walls between its business units to create a sum greater than its parts.

The Hollywood Reporter unveiled redesigns of its Web site and print publication in April, reflecting a major repositioning of the brand. “We recognize the fact that the entertainment industry has changed dramatically,” Mika said. “We’re reaching out to new readers in the technology industry—such as Google, Yahoo and AOL—as well as the equity and legal component of our industry and constituencies outside the United States in our global marketplace.”

Meanwhile, Nielsen PreView, which debuted in March, is a direct result of Calhoun’s vision of leveraging the assets of Nielsen Co. by bringing together components that previously operated in separate silos. PreView is a b-to-b research service that can draw upon any of Nielsen’s marketing and media information sources, which in the entertainment industry include Nielsen Entertainment, Nielsen IAG, Nielsen Media Research, Nielsen Mobile and Nielsen Online.

Ann Marie Dumais, senior VP of Nielsen PreView, explained that her definition of entertainment is “anything a consumer would consider entertainment-related,” whether that is music, movies, television, Internet entertainment or gaming.

With MyTHR, “all of us are working together with a mission to answer the business challenges of the entertainment industry,” Dumais said. “The research and the analysis we’re working with MyTHR to put together is organized and written in a way that benefits everybody. It allows everyone to work off the same page as they work to create solutions to shared problems.

PRINTED FROM: http://www.btobonline.com/apps/pbcs.dll/article?AID=/20080610/MEDIABIZEMAIL/511977818/1117/FREE&template=printart

Entire contents © 2008 Crain Communications, Inc.

Such programs not only increase reader interest in the publication — they also serve a data mining function. MyTHR, for example, asks would-be voters to log-in, so the magazine can tell exactly which readers are voting and on what subjects. “This is very in-line with everything we're seeing in the industry,” noted Ann Marie Dumais, SVP of Nielsen PreView. “Customers want to be in charge of what movies they see and what TV shows they watch, so why not be in charge of the stories they read?”

Staff report

Veteran journalist Stephen Gal-loway has been named ExecutiveEditor - Features & Events at TheHollywood Reporter.

Galloway joined The Reporter asa reporter in 1993 and has servedas film editor and executive editor.He’s been an editor-at-large since1999, writing much of the paper’sawards-season coverage and filmfeatures as well as coordinating thepaper’s round-table discussionswith the industry’s leading execu-tives and talent.

Galloway will be responsible for

shepherding about 200 specialfeatures a year, ranging from filmfestival and market sections tostand-alone issues devoted toWomen in Entertainment, NextGeneration and the Key ArtAwards. He will oversee the 10-

person features department led byfeatures managing editorMatthew Belloni.

“As we continue to ramp upour presence around the globeand to focus on a wider range ofcreative initiatives to drive ourbusiness, we are thrilled to have ajournalist as versatile and well-respected to head one of the mostimportant units in the THR port-folio,” The Reporter publisherEric Mika said.

“Stephen brings a multiplicityof talents to his new roles, fromconsummate interviewing skills to

By Alex S. Dai

SHANGHAI, China — As theShanghai International Film Festi-val announced its early lineup forthis year’s event, the organizingcommittee has permanentlybanned Sharon Stone and her filmsbecause of her comments aboutthe Sichuan earthquake, a SIFFspokesman said Thursday.

Stone served on the jury at the2007 festival but earned herself theban by stating that the earthquakemight have been “karma” forChina’s treatment of Tibet. Theofficial death toll from the May 12earthquake exceeded 68,000 onThursday, with millions more lefthomeless.

Stone also was dropped fromlocal Christian Dior ads, for whichshe is a spokeswoman, accordingto the state-run English-languagenewspaper China Daily.

SIFF, meanwhile, released a listof 23 films that will screen duringthe fest, set for June 14-22. ∂

By Carl DiOrio

Marketing of dramatic filmsbenefits from a mix ofmedia buys skewing heavily

toward local television, while com-edy campaigns get bigger bang forthe buck from network spots,according to a recently issuedresearch report.

The Nielsen PreView report,based on an analysis of 400 wide-release movies release from Sep-tember 2005-December, assessedthe relative results of ad dollarsspent in five areas: network, cableand local TV; newspapers; and theInternet and other new media.

The study grouped films statis-tically based on the amount of dol-lars spent in those categories, thencompared the approaches for costefficiency as measured by resulting

boxoffice. It was launched inMarch, and a report was posted toNielsen PreView’s Web site.

“This highlights that nicheaudiences like drama need nichemedia choices,” Nielsen PreView’sDan O’Toole said. “Conversely,broad appeal genres like comedyneed broad reach vehicles like net-work. The reality is, however, thatmost marketers are not executingto their full potential (and) mar-keters who are willing to rethinkand execute new media strategiesstand to increase media efficiencyby over 50%.”

Nielsen PreView research drawsfrom across the Nielsen Co.’s fami-ly of data and information busi-nesses, including Nielsen MediaResearch and other units. NielsenBusiness Media is parent companyof The Hollywood Reporter. ∂

INSIDE TRACK

CLIPS

‘CSNY’ A THREE-WAY STREETRoadside Attractions, Lionsgateand Shangri-La Entertainmentare in final negotiations to forma joint venture to distribute“CSNY: Deja Vu,” a film about theband directed by Neil Young, onJuly 25 in the U.S. Roadside willhandle the theatrical releasesimultaneously with VOD, whichwill be handled by Lionsgate.

PEACE LETS ‘SECRET’ OUTPeace Arch Entertainment haspicked up Roger Grossman’sdebut feature “What We Do IsSecret,” a tribute to Los Angeles’1970s punk rock scene, for asummer release. Peace Arch saidit acquired all North Americanrights to the feature biopicabout Darby Crash, frontman forpunk band the Germs. Shane

West plays Crash, whose 1980suicide led to the band’s demise.Peace Arch will release the filmAug. 8 in New York, a week laterin Chicago and Aug. 23 in LosAngeles.

SULLIVAN IN AT CBS FILMSReid Sullivan has joined CBSFilms as CFO. He will report toBruce Tobey, exec vp and COO of

the newly launchedfilm unit of CBSCorp. Sullivan was atFirst Look Studios,where he was CFO.

‘JOURNEY’ GETS LAFF BOWWalden Media and New Line’s“Journey to the Center of theEarth 3D” will make its worldpremiere June 29 as part of the

Los Angeles Film Festival’sannual Family Day celebrationat the Mann Village Theatre inWestwood. The premiere isopen to the public.

HONORS TO REARDON Roberta Reardon will be amongthe honorees June 29 at the Jew-ish Labor Committee’s annualawards brunch in Century City.

4 THR.COM 05.30.08

Sharon Stone was a member of the ShanghaiInternational Film Festival’s jury in 2007.

Local drama and broad comedy Study shows that niche audiences need niche media-marketing choices

Shanghaibans Stonefrom festival

Galloway heads THR features, eventsStephen

Galloway

Most Common

Newspapers are effective for film ads

WORTH THE MONEY

% Network

% Cable

% Local

% Newspaper

% Alternative

% Network

% Cable

% Local

% Newspaper

% Alternative

Mostcommon

Mostefficient

Mostcommon

Mostefficient

35

2312

1613

24

3119

1313

29

2528

108

39

2516

911

COMEDIES

DRAMAS

Source: Nielsen PreView.com

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