In one of the busiest weeks for network TV executives, NBCU’s Jeff Zucker nonetheless stopped by an Avenue A/Razorfish event for a question-and-answer session with the ad company’s vice president of media & entertainment, Domenic Venuto.

Not surprisingly, given it is upfront week, one of the first questions put to Zucker centered on his media company’s rather untraditional upfront.

(A quick refresher: NBC unveiled its lineup for 2008-09 last month, and Monday skipped its usual splashy upfront presentation at Radio City in favor of what it called the NBCU Experience over at 30 Rockefeller Center. For more details click here). 

Zucker said that while the Experience wasn’t perfect, it was certainly a success and accomplished what he had hoped, namely showing off the company’s businesses beyond the NBC network.

“I feel very, very good about how we did on Monday,” said Zucker, before joking that it was unlikely someone would roast the event to his face.

“Nobody ever wants to tell me the truth,” he cracked. “On Monday, what most people said, and many were probably drunk, is thanks and congratulations on doing something different.”

“But, really, the feedback was really positive,” he told the crowd.

He said the same thing on another topic: the reaction to video sharing site Hulu. 

“The user experience is fantastic,” he said. “That has been the No. 1 goal.”

But success comes at some cost, Zucker said.

“Frankly, all of our internal sites have a lot to learn from what Hulu has done.”

(Photo: Reuters)

Instead of a big, crazy upfront presentation at Radio City, NBC Universal this year invited advertisers and media to its Experience at 30 Rockefeller Center. Here’s a guided tour:

First off, you’re greeted by a TV screen featuring clips from NBC stars like Tina Fey and Brian Williams, who make some jokes and ham it up and basically tell you to move along, which you were really going to do anyway since you’re just standing there in the hallway.

There really isn’t a lot to see in the first few rooms (promotional videos, etc) except that walking around are a bunch of people dressed in all black with, if you can picture it, video screens on their chests.

The screens had games that you could play; one told you what character you’d be in “The Office,” and another asked you some trivia questions (I approached it like school, took some wild guesses and got two out of three).

Things soon picked up. First a screening room featuring trailers of some of the upcoming releases like “Momma Mia” and “The Incredible Hulk,” then a “Deal or No Deal” exhibit featuring the gameshow’s models walking about in sequined red dresses.

And later there was KITT, the car from Knight Rider; a couple huge American Gladiators doing battle with one of those stuffed medieval looking weapons; a mock voting booth (the computer was on the blink when I walked past, so nobody was actually casting a vote); dozens of TVs showing scenes from the Olympics; a Champagne bar.

Plus, there were a ton of giveaways, which usually please a crowd. Here’s what was pushed at me: USA Network M&Ms; a “Today” earth-friendly bag; a picture between two mummies (they don’t look very frightening, I look sort of confused); a little taster of duck and mushroom from the “Top Chef” booth; a “Friday Night Lights” button; a golf ball; a chocolate bar, and a football signed by Tiki Barber, John Madden, Cris Collingsworth, Jerome “The Bus” Bettis, and Al Michaels.

I also got a picture with Janice Dickinson, who was there promoting her show on Oxygen and inviting all comers to jump up on the stage with her and snap a photo. So I did. Why not?

Unfortunately, the picture didn’t take the first time, so I had to get back up on Ms. Dickinson’s stage for another attempt. She was very kind about it (”Oh, I screwed it up on purpose, so you’d come back,” she joked) though the scene was still a little awkward and I found myself wishing that I’d just skipped that particular stop.

But none of that — the entertainment, the giveaways, the shift away from the traditional upfront — means much in the end. What counts is not whether advertisers enjoyed the NBC Universal Experience, but whether they’ll hand over the big bucks for commercial deals.

(Photo of Rockefeller Center: Reuters)

One thing you can bank on next week is that the TV networks won’t be showing off dazzling pilots of new shows at the upfronts, as we highlighted in a preview.

Executives have made no secret of the fact that pilots are costly, and, it seems, not all that useful. Already, NBC previewed their season with little more than a few very, very short clips. CBS, ABC and Fox aren’t expected to offer a whole lot more.

So what do advertising buyers think of this brave new world without pilots? Are they and their clients comfortable shelling out big bucks without seeing a full episode of a new comedy or drama.

Here’s what several had to say on the subject:

Aaron Cohen, Director of Broadcast at Horizon Media:

It worries me, but it’s similar to when replacements are made for programs that aren’t working.

It hasn’t been for a while that you’ve been able to lay down a schedule and say ‘This is what I’m buying and it’s going to be there for four quarters.’ You know you want to reach this particular demographic and you know they have an affinity to watch these forms of programming more than others. That’s what you’re looking for.

   
Stacey Shepatin, Senior Vice President, Director of National Broadcast at Hill Holliday:

It always makes you feel better when you can see the full pilot. The goal will be to be able to see a full episode to make sure that it is appropriate for our brands, there are no content issues and the storyline fits with what our consumers are looking for. So that will all come into play when we look at what shows to purchase.

You’re not going to just run blindly into something, you’re going to want to see what the production quality is, what the storylines are, all of that.

Donna Wolfe, Chief Negotiations Officer at Universal McCann:

The interesting thing is for years we were able to view new pilots. but the failure rate for new shows was extremely high. On average, 70 percent of the new shows fail. All the testing that the networks do, and all the pilots, it doesn’t necessarily spell success.

But I think we have to be comfortable that the content will be appropriate for our clients. It’s in their best interest and the network’s.

(Photo: Reuters) 

That was fast. Already, in its first week, Grand Theft Auto IV sold more than 6 million copies globally, rocketing past expectations that were hardly modest to begin with.

So what is it with this game? Well, for one thing, it has been praised by gamers and critics alike who hail it as satirical and multi-layered, the equal of films like “The Godfather” or TV shows like “The Sopranos.”

Made by Take-Two Interactive Software’’s Rockstar studio, the game also has its share of detractors, who say it’s too violent and sends the wrong message to kids and young adults. Given the big sales the first week, the criticism doesn’t appear to have hurt its popularity.

But the real question is what does more than $500 million of first week sales of GTA IV mean for Take-Two?

Silicon Alley Insider says this: “Take-Two management has long argued that Wall Street didn’t understand what a hit GTAIV would be. When they did, the argument held, they’d bid the shares up. Time to find out. ”

And the Wall Street Journal points out, “Depending on how the sales figures impact shares of Take-Two, they could strengthen the company’s argument that videogames rival Electronic Arts Inc. needs to raise its unsolicited bid for Take-Two above $2 billion. EA has launched a hostile tender offer of $25.74 for Take-Two shares, which Take-Two has rejected as too low.”

Keep an eye on:

• Cablevision Systems will acquire Sundance Channel from General Electric Co’s NBC Universal, CBS Corp’s Showtime Networks and entities controlled by Hollywood actor and director Robert Redford.
• Clearwire Corp and Sprint Nextel Corp plan to combine their next-generation wireless broadband businesses to form a new $14.5 billion communications company (Reuters)
• Major studios and the Screen Actors Guild broke off three weeks of contract talks without agreement, stoking fears of renewed Hollywood labor unrest after a 100-day writers strike that ended in February (Reuters)
• Five years have passed since the Jayson Blair scandal shook the New York Times and the media world. MarketWatch’s Jon Friedman takes a look at how media organizations have fared in trying protect themselves from a similar situation (MarketWatch).

(Photo: Reuters)

It may not seem as sexy as Yahoo-Microsoft, but there is another notable takeover saga brewing in media. This one is between WPP, the British advertising group, and Taylor Nelson Sofres, the market research firm.

Why does WPP want TNS badly enough that it continued to urge the research firm to engage in talks even after its $1.9 billion bid had been rejected?

It’s partly because research has become so much more essential to advertising these days. With so many media outlets, it doesn’t come as a shock that advertisers are desperate for more information about their products and markets.

WPP Chief Executive Martin Sorrell expressed surpise and disappointment that the board of TNS turned down WPP’s offer. But perhaps this is just a bit of cat-and-mouse, with WPP prepared to come back with a bigger number for TNS, which is also talking with Germany’s Gfk. 

“Given the potential for greater returns, we believe WPP could afford a higher offer,” analysts at UBS said in a note to clients.

Of course, nearly everyone was saying the same thing about Microsoft over the last few weeks, and we know where that went.

(Reuters)

Keep an eye on:

• NBC Universal has reach an exclusive deal with with the “Project Runway” production team, less than a month after it was outbid for rights to the cable show by Lifetime Networks. Now a new production team has to be put in place. (LA Times) 
• Microsoft is adding TV shows to its Zune marketplace, offering rougly 800 TV shows, each for $1.99, for download from places such as Comedy Central, MTV and NBCU. (paidContent)
• CBS Radio CEO Dan Mason, meeting with advertisers, dismissed the notion that the iPod and satellite radio will kill radio. “To say that an iPod or satellite radio, with little or no human connection will ever replace radio is absurd.” (paidContent)

(Photo: Reuters)

Did the strike hurt NBC’s wallet?

In a first quarter where scripted programming was severely limited by the effects of the lengthy Hollywood writers strike, NBC Universal managed to boost its revenue by 3 percent to $3.58 billion, and increase it profit also by 3 percent. But it fell far short of its target of 5-10 percent profit growth.

The truth is, NBC was a bright spot in a surprisingly weak quarterly financial report of parent General Electric, whose overall results were hurt by the soft economy. GE has so far said little about the catalyst or troubles of its media arm which has been struggling since favorites “Friends” and “Frasier” ended their runs four years ago and faces particularly intense pressure to rebound. NBC could again finish the season last in the ratings race behind Fox, ABC and CBS.

It’s possible the profit and revenue gains were the result of cost-cutting. Or, despite Bruce Springsteen’s assertion that there are “57 Channels and Nothin’ On”, maybe TV lovers, you know, love TV, no matter what is on — even if it is a never-ending stream of reality programs such as “Deal or No Deal” and “The Apprentice.”

Fortune suggests that the results may fuel cries for GE to spin off or sell its media holdings.

(Reuters)

UPDATE: Here’s what GE executives said about NBC Universal on the conference call they held with investors Friday morning:

• Its shows have been performing pretty well and NBC prime time is on track to finish number two.
• Local ad spending was down 11 percent, “an indicator that it’s tough out there.”
• In cable, “USA was No. 1 for the seventh consecutive quarter.”
• MSNBC had its highest-rated quarter in six years.
• Ratings at CNBC Business Day were the highest in seven years
• Film “had a very strong quarter,” and operating profit was up, principally driven by the this year’s DVDs.

Keep an eye on:

• Yahoo may have played its top two cards by pulling out possible deals with AOL and Google, but it does not seem to have changed Wall Street’s view that Microsoft will eventually win the takeover battle. (Reuters)
• Blockbuster is developing a set-top device for streaming films directly to TV sets and is expected to announce the offering sometime this month. (Hollywood Reporter)
• Facebook has hit 70 million users. It still trails MySpace, but is growing fast: Last summer, Facebook hit 30 million active users. (AlleyInsider)
• Is Katie Couric simply overpaid? (Time)

(Photo: Reuters)

The International Advertising Association (IAA) is holding its World Congress in Washington D.C. this week, when hundreds of advertising and media executives descend on the nation’s capital to talk about social communities, marketing regulation, return on investment, and, of course, the economy.

Here’s what ad industry types are saying:

“Advertising and the economy seem to go hand in hand. Really, the fact that the economy is weakening is going to have an impact on the industry in the short term.” Bob Liodice, President, Association of National Advertisers

“An actors’ strike would be incredibly devastating, particularly to the television business. The industry paid a large price for the last work stoppage. I don’t think either the (local) economy or the business would be able survive something like that.” Jeff Zucker, Chief Executive Officer of NBC Universal

“Speed is the new big.” Chuck Brymer, Chief Executive Officer, DDB Worldwide

“We’d love to be able to be able to put all that we do together… Unfortunately, our industry is just not doing a very good job of integration.” Michael Roth, Chief Executive Officer, Interpublic Group

“Measurement is fundamentally the biggest challenge we as an industry face.” Elizabeth Ross, President, Tribal DDB

“What we’re going to see is a shift in advertising. Companies want to make sure they get the best ROI during these tough times. But they won’t stop spending, and I think they really should spend more.” Wally Snyder, President, American Advertising Federation

“Right now they (18-26 year olds) are spending more time on the Internet than they do a combination of TV and radio. About 15 hours per week.” Kevin Johnson, President, Platform and Services Division, Microsoft

“We’ve stopped using the term ‘consumer.’ If you think about it, it’s somewhat derogatory. Makes people sound like eaters.” Tom Bernardin, Chief Executive Officer, Leo Burnett

“The business model in which the agency’s sole function is to create advertising and buy media on behalf of clients is no longer viable. Indeed, we need a new model. The agencies of the 21st century need to develop relationships with clients where both parties share risks and rewards equally in true partnership.” Tateo Mataki, Chief Executive Officer, Dentsu

NBC may be in danger of landing in fourth place (again) in the prime-time ratings war between the major networks, but it wasn’t always that way.

Remember when NBC dominated, thanks to hits like “Friends,” “Frasier,” “The West Wing,” and “Seinfeld”? Even now, stuck in a ratings slump, NBC has some of the most talked-about shows on the air. Think “Heroes,” “The Office,” and “30 Rock.”

NBC Universal Chief Executive Jeff Zucker has high hopes that the 2008-09 lineup, unveiled last week, will mark a return for the network and told us during an interview that so far it’s getting a strong reception from advertisers.

But that doesn’t mean — of course — that NBC has every show it wants or ever wanted. After our interview, Zucker spoke to an advertising industry conference sponsored by the IAA, where he was asked what shows he wish he could have had on NBC. Or, more precisely, he was asked about shows other than “American Idol.”

“It’s hard to put ‘American Idol’ aside, given that it’s the single most important show in TV for maybe the last 25 years,” he said. “It’s hard to get beyond that one.”

But another show did come to mind, Zucker said. “The Sopranos.”

“I wish we had the chance to see what the Sopranos would have become on network TV.”

It certainly would have kept the folks over at the FCC busy.

(Photo: Reuters / The Sopranos actor James Gandolfini accepts award at the 14th annual Screen Actors Guild Awards in Jan. 2008)

So NBC rolled out its 2008-09 schedule — it covers all 52 weeks, comes six weeks earlier than normal, and, without any pilots or trailers to showcase the new programs, leaves quite a lot to the imagination.

Take the ”The Office” spin-off. NBC Entertainment Co-Chairman Ben Silverman sidestepped every question about the show, saying only that it would launch after the Super Bowl with Greg Daniels heading up the project. Other than that? Zip.

Mostly, NBC executives focused on broader themes of the programs and the season. This is how they basically want the scheduling to play: 8-9 p.m. is family hour; 9-10 p.m. is big hit, big show hour; 10-11 p.m is high end, adult dramas.

In its hour-long presentation, NBC sketched out the schedule through the summer of 2009. A lot of that likely isn’t set in stone. But here is what next fall will look like on NBC if everything goes ahead as planned. 

(Note that new shows are in all caps) 

Monday

• 8-9 p.m. “Chuck”
• 9-10 p.m. “Heroes”
• 10-11 p.m. “MY OWN WORST ENEMY”

Tuesday

• 8-9:30 p.m. “The Biggest Loser: Families”
• 9:30-10 p.m. “KATH & KIM”
• 10-11 p.m. “Law & Order: Special Victims Unit”

Wednesday

• 8-9 p.m. “KNIGHT RIDER”
• 9-10 p.m. “Deal or No Deal”
• 10-11 p.m. “Lipstick Jungle”

Thursday

• 8-8:30 “My Name is Earl”
• 8:30-9 p.m. “30 Rock”
• 9-9:30  p.m. “The Office”
• 9:30-10 p.m. “The Office” (second part of hour-long editions) or SNL THURSDAY NIGHT LIVE (election specials)
• 10-11 p.m. “ER”

Friday

• 8-9 p.m. “Crusoe”
• 9-10 p.m. “Deal or No Deal”
• 10-11 p.m. “Life”

Saturday

• 8-9 p.m. “Dateline NBC”
• 9-10 p.m. “KNIGHT RIDER” (encores)
• 10-11 p.m. “Law & Order: Special Victims Unit” (encores)

Sunday

• 7-8:20 p.m. “Football Night in America”
• 8:20-11 p.m. “NBC Sunday Night Football”

(Photo: Reuters / Ben Silverman)