Opportunists Knock : Networks Raise Ad Rates for Simpson Verdict Coverage

Moving to cash in on what is expected to be one of TV’s most-watched events, the major broadcast networks are jacking up prices for commercial time during coverage of the verdict in the O.J. Simpson murder trial.

Media buyers say the networks are charging up to 15% more for spots that appear immediately before and after the verdict is delivered. Cable News Network is charging advertisers a premium of up to 20% over its regular prices for a package of commercial slots to air during its verdict coverage, industry sources said.

Though no one knows how many people will watch the verdict coverage, the number will undoubtedly be large. CNN saw its prime-time ratings quadruple Thursday to 5.1% of cable households from 1.2%, thanks to its coverage of closing arguments in the trial.

Geoff Karch, director of national broadcast media for the New York media buying firm SFM Media Corp., said total viewership of the verdict should far exceed that of the Super Bowl, historically the most-watched television event of the year.

“It’s going to be enormous,” Karch said.

In boosting ad rates, TV executives are sensitive to criticism that they are profiting from a double-murder trial that has evolved into a full-blown media event. Joe Abruzzese, president of network sales for CBS, said a 10% rate hike will help the network recoup revenue lost during the past year as CBS has preempted regular broadcasting to cover key developments in the trial.

“It would be nice for us to get back some of the money we lost,” Abruzzese said. “We are not trying to capitalize on this.”

Advertisers face a similar dilemma. Though they are tempted by the promise of reaching large numbers of viewers, no marketer wants to be seen as exploiting one of the most sensational crimes in memory.

“It’s something you go back and forth on,” said Erin Hull, director of domestic marketing for Sunsweet, which eventually decided to air spots for its Sunsweet Prunes during the verdict. Hull said she doesn’t expect any fallout from the decision, in part because the trial has become a cultural event.

“The trial is part of American life today. It is what everyone is talking about. It is unlike any other murder trial or news event,” Hull said. “It has a life of its own.”

Even so, media buyers report that many advertisers are squeamish about sponsoring the verdict coverage. CBS says about half its regular daytime and prime-time advertisers have passed on the opportunity but that it is nevertheless filling up its slots.

“I’m recommending that our clients not be anywhere near it. It further exploits the circus-like atmosphere around the trial,” said Gene DeWitt, president of DeWitt Media, a media buying service in New York. “There is an implicit association between the advertiser and the event.”

AT&T;, one of the country’s biggest advertisers, is not sponsoring the verdict coverage, though it has run ads during the trial.

“The trial has been running forever. It has become like a soap opera, almost part of regularly scheduled programming,” said James Speros, director of corporate advertising for AT&T.; “The verdict brings more of a sense of reality and finality. It is an emotionally charged moment and has some risk to the sponsors from a brand image perception.”

In addition, he said, with viewers riveted to verdict coverage, “the advertiser’s message may not break through.”

According to media buyers, the networks are offering the slots to their regular advertisers first. Companies that advertise during the day, for example, are being asked if they want their ads to run during verdict coverage if regular daytime programming is preempted. If they decline, then other advertisers are offered the spots.

According to industry sources, the networks are charging a 10% to 15% premium over regular daytime rates of $15,000 to $30,000 for a 30-second spot.

Though spots during the verdict seem to be selling--CNN and CBS, for example, said they have nearly sold out--media buyers said not all spots are selling at premium rates because advertisers are concerned that the audience will be divided among the networks and other news outlets planning coverage, such as CNBC and Court TV.

“It will be spread over every outlet in every venue,” said Reno Scanzoni, head of broadcast buying for the New York advertising agency of D’Arcy Masius Benton & Bowles. “No single network is going to get a big surge in audience.”