Wednesday, December 12, 2007

NBC Gives Money Back to Advertisers

NBC Universal is taking the unusual step of giving advertisers cash back for primetime ratings shortfalls from last season. The move is a departure for NBC, which like other broadcast networks typically gives advertisers additional TV spots, called make goods, when ratings fall short of expectations.

The unusual move shows the network's particular vulnerability both to the Hollywood writers' strike and to a new commercial ratings system being used this year for the first time. The fourth-place network is in a steeper ratings depression than its peers, with no standout new shows in the fall season, say media buyers.

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