At AOL’s First Look, an event held in New York City recently, the company introduced five new programs that will run during the next year to an audience of advertisers and agencies. The event compares with the TV upfront, when networks hold presentations about the upcoming season’s shows. Advertisers were presented with a variety of opportunities: not just traditional online advertising and video advertising, but the chance to integrate their brands within the content of some of the new shows. Janet Balis, Senior VP AOL Media Networks, discusses First Look with iSPOT.
iSPOT: When did First Look start, where did it take place and who attended?
Balis: It was held April 17 at the Time Warner Center in New York City and we had over 500 of our top advertisers and agencies in the room with us to unveil a first look at the large scale programs we’ll have on the network over the course of the next year. Others joined us by webcast across the country.
iSPOT: Was it a one day event in New York or were there other events in other cities?
Balis: Previous to First Look, there were road shows that took place in six cities across the U.S. where we spoke with advertisers in local markets, but the agenda was how we do what we do and how we’re so different from our competitors. First Look had a different agenda, to unveil new programs and platforms for the marketplace.
iSPOT: Can you tell us about the Amplify Your Buy initiative that was part of First Look?
Balis: It’s a platform where AOL encourages buyers to think about broadcast and online in conjunction with each other. We know the broadcast upfront is around the corner and we want to be part of the dialogue and our platform is very well suited to the strategies an advertiser might be pursuing in television. So it’s how we can amplify the strategy of a broadcast buyer, whether it’s in the context of the shows or how to reach a specific audience or our ability to drive specific results. It’s a complimentary role to television and we want to initiate a dialogue with clients.
iSPOT: That’s the perfect comment to lead into a discussion of AOL’s new programs. Can you provide details on them?
Balis: We’ve been committed to original programs for a long time, not only original programs but programming on a massive scale. If you look at Gold Rush from last year it had 11 million uniques, 107 million page views and people spent 16.3 minutes per visit. So it’s programming on a massive scale, but it’s also programming that offers a unique opportunity for advertisers to go beyond typical media buys and integrate their brands into the experience. And it’s a multi media experience because may of the programs will include a TV component, although the core experience occurs online.
iSPOT: Aren’t many of the programs games as opposed to scripted TV style programs?
Balis: I can give you a guided tour. Shrek the Third is a highly engaging interactive game parents and kids play together based on the Shrek the Third movie. Gold Rush will launch this fall for a seven week run where consumers will have the opportunity to play a daily game. It’s the first time video and game formats have been joined. It will culminate in five finalists competing for a million dollars in gold. The Ellen DeGeneres Show is a cross-platform collaboration with the TV show that lets fans create hometown tales online that will be featured in a recurring segment on TV. Million Dollar Bill is a game show where contestants play online games to reveal serial numbers of dollar bills. It takes place on TV, with viewers at home playing along for the chance to win a million dollars. iLand will give someone the chance to start their own civilization on a tropical island with finalists moving to the island to compete to build a civilization.
iSPOT: What kinds of advertising will be sold with these programs?
Balis: Each program is different, but they have a variety of common elements. Some offer traditional banners and sponsorship elements and they will include video advertising. But most important is the opportunity to be integrated into the program. Gold Rush offers in game integration that will allow an advertiser’s core brand attribute to be delivered into the actual game itself. We drew a connection between the marketing value for our clients and the entertainment experience of the game. We tied those two together and we’ll follow that concept to offer a novel form of advertising for our sponsors.
iSPOT: Did you sell any advertising during First Look, like the TV upfront where advertising is sold before the season starts?
Balis: Our strategy wasn’t to release the programs prior to the event and I can’t comment on specific negotiations. We received an enthusiastic response from many advertisers and we’re having conversations with them.
iSPOT: Is this the first time AOL has staged an event like this?
Balis: Yes, it’s the first time any online company has released new programs to the market for the upcoming year.
iSPOT: What does the event say about how advertising is bought on AOL? Randy Falco, AOL’s chairman and CEO, said online advertising is sold in a perpetual scatter market.
Balis: When you look at online buying, it hasn’t converged in a specific moment on the calendar. If you look at upfront business, many clients reach out and purchase media for the year to come all at one time. Online it could happen any month so we’re in a perpetual market where clients define the timing of buys. We hope they can be leveraged by the strength of our programs that generates demand for a set of opportunities. We’re enthusiastic about the response we’ve received.
iSPOT: How can an integrated AOL buy work with a TV buy?
Balis: Take Ellen DeGeneres as an example. The buy could integrate online media with broadcast media. There will be specific creative executions that put the different elements together, but integration will include sponsorship of websites, video advertising opportunities and when she’s talking about the program we’ll integrate advertising into the way the story is told on air. There will also be an opportunity for clients to buy broadcast spots on the show.
iSPOT: Will AOL sell the TV advertising?
Balis: We’re collaborating with Warner Bros. Telepictures and AOL is leading the opportunity.
