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ABC has snagged 36 advertisers to sponsor its streaming video on abc.com that promotes its prime time lineup, and media buyers and sellers are estimating that the flat rates they are paying are about double the CPM viewer prices of traditional television.
Each advertiser reportedly paid $100,000 for three months, for a total of $3.6 million, writes MediaPost, though ABC would not confirm the number.
Other broadcasters are commanding similar rates on a CPM basis, according to media executives. Streaming ads for prime time shows equates to $25 per thousand households, according to some media selling executives - more than double what networks get for traditional TV spots.
Web viewers tend to be more upscale and more engaged, which partly accounts for the fact that CPM pricing is higher for streaming shows online. And there is far less ad clutter with internet airings: each one-hour ABC show, for example, will run only three 30-second spots, with a single sponsor. Half-hour shows will get two 30-second spots. The shows will also have an introductory spot that will say something like, “this limited commercial viewing of Grey’s Anatomy’ is brought to you by Home Depot.”
Other advertisers who have bought into ABC’s streaming video efforts include Visa, Honda, Johnson & Johnson, Red Lobster, P&G, Unilever, Sears, Remax, Nissan, Sony Pictures, Universal Pictures, Verizon, Sprint, Walt Disney and Century 21.
ABC moved away from CPM rate to flat rates for the seven shows it is streaming this fall.
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