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After its Olympic coverage failed twice last week to gain top ratings, NBC Universal may have to give advertisers discounted or free air time to compensate for low viewership, writes Bloomberg.
Aiming to dominate ratings as it has during past Olympics, NBC sold almost $900 million of ads, promising advertisers between 12 and 14 percent average ratings during this year’s Winter Olympics in Torino, Italy. The first seven days of the games, NBC gained an average 12.4 percent of household, down from the 2002 Salt Lake City Olympics’ 19.5 percent and the 1998 Nagano games’ 16.4 percent.
The General Electric Co. unit assured advertisers it would make up for low ratings with television time at other events. Media buyer Andy Pappalardo of Mediaedge:cia, said NBC’s ratings thus far put the network at risk of triggering the agreements.
However, the Winter Games have earned ratings double that which the network posts during regular-season primetime hours.
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