Coupons via Cell Phone Redeemed In-Person, Online

Making the cell phone part of a multi-channel marketing strategy, two companies are launching a service that lets retailers deliver mobile text coupons that can be redeemed in stores or online, writes InternetRetailer (via MarketingVox). Communications technology company Twelve Horses and Mobile Technology Group said the coupon service is being deployed in Europe and is being considered by two U.S. apparel retailers and a music merchant. The cell phone coupons are intended for consumers who opt in to receive them after shopping at a merchant.

Chicago Trib’s New City News Service Shuttered

The Chicago Tribune has shut down New City News Service - a service founded by Chicago’s five major newspapers in 1890 with the purpose of gathering local news and selling it to radio and TV outlets - because it had become a competitive disadvantage, the Tribune writes. The Chicago Tribune had taken over City News six years ago, when the last of the original five papers pulled funding. But now, explained James E. O’Shea, the Tribune’s managing editor, “Our competitors were taking stuff off the City News wire and putting it on the websites.”

To be more competitive, the Tribune is adding resources to its 24-hour internet-based news operation. Thirteen new positions are being opened, and the 19 former City News employees are invited to apply.

BellSouth, AT&T Launch YellowPages.com

BellSouth and AT&T (SBC) have finally launched YellowPages.com, a nationwide local search site that combines SBC’s SMARTpages.com and BellSouth’s RealPages.com, both of which now point to YellowPages.com, writes ClickZ (via MarketingVOX). Users can search by keyword and business name or type and save selected search results; other features: click-to-call, maps and driving directions, City Guides and Consumer Guides.

Merrill Lynch Cuts Ad Forecasts for 2005, 2006

Pressure on rates in traditional media, along with potential weakness in the automotive and entertainment industries, will slow down ad spending this year and next, according to industry analyst Lauren Fine of Merrill Lynch, writes MarketWatch (via MarketingVOX). Fine lowered her U.S. ad spending forecast to 3.2 percent growth in 2005 from the previous 3.7 percent, and reduced the 2006 estimate to 4.5 percent from 5.2 percent.

“If realized, our 2006 forecasts would imply a second consecutive year of underperformance of ad spending relative to GDP growth, despite the expected influx of political and Olympics advertising next year,” she said.

According to Fine, TV will be hit hardest. Broadcast TV ad spending is now projected to decline 6.1 percent versus an early forecast of 3.8 percent, MediaPost reports. Major broadcast networks are now expected to take a 5.0 percent hit on 2005 advertising sales versus an early prediction of a 1.2 percent increase over 2004. Cable TV drops to 8.2 percent growth from an earlier forecast of 10.5 percent.

Fine’s forecast cuts come on the heels of RAB figures released earlier this week that show radio revenue plummeted in October, down seven percent compared to a year ago with local revenue declining two percent and national 19 percent.

Newsday Fires 72, Eliminates 40 Vacancies

Newsday has fired 72 employees and announced that 40 additional vacant jobs will be eliminated, Newsday reports. Newsgathering staff have not been affected, but the move comes a month after the newsroom staff was reduced by 59 people.

Advertising staff based in Queens will remain in the same offices, but many of Newsday’s city-based reporters have been transferred to its Melville headquarters. This week, the paper began moving all but one of its Queens-based reporters and other staff to either its Manhattan or Melville offices.

The Apprentice Plans Move to LA

NBC has announced that starting late in the 2006 season, “The Apprentice” will be based in Los Angeles instead of New York, The New York Times reports. The fifth edition, set for next March, will still be filmed in New York. What remains to be seen is how well Trump will translate to a Los Angeles locale.

Just yesterday, NBC announced that it will oust The Apprentice and Joey on Thursday night. NBC hasn’t yet said where The Apprentice will end up.

GM Ousts P&G as Top Spender, Detroit Ad Spend to Flatten

General Motors has outpaced Proctor & Gamble as the nation’s largest advertiser through the first nine months of 2005, thanks to a 7.3 percent boost in GM’s advertising budget and P&G’s spending cutbacks, Mediapost reports. The auto category has spent $5.4 billion in 2005 so far, outpacing the overall growth among the top 10 advertising categories but trailing the overall growth of the U.S. ad marketplace. Moreover, a new ad spending projections report released yesterday by Merrill Lynch predicts that auto advertising will continue to trail overall U.S. ad growth of 3.4 percent next year.

Elle Debuts ‘Project Runway’ Magazine

Elle is debuting a magazine, called Project Runway, which will be given to shoppers at Banana Republic stores as a gift with purchases beginning Dec. 7, will be shipped to Elle subscribers with the Jan. issue, and will be on newsstands Dec. 13, Mediaweek writes. The magazine is timed to the premiere of a Bravo reality show by the same name.

Stern Could Boost Sirius to 3.2 Mil by Year End

New estimates released by eMarketer suggest that Howard Stern could help Sirius Satellite Radio’s subscriber base reach 3.2 million by the end of the year, according to Mediaweek. The report also says that by 2010, 35.6 million Americans will subscribe to either Sirius or XM Satellite Radio, up from a predicted 14.1 million next year.

WPP Snags Direct.com

WPP Group has bought a 50.5 percent stake in Miami-based marketing firm Direct.com, according to Brand Republic. Direct.com will become part of JWT’s RMG Connect Worldwide. Direct.com provides direct marketing and consulting services, along with web, technology development, and merchandising. It will retain its name, and CEO Lance Lazarus and creative director Douglas Fajardo will report to RMG Connect Worldwide CEO Philip Greenfield.

Direct.com reported revenues of $8.5 million for 2004.