Tyranny Of Too Much affecting TV advertising this year

Today's Wall Street Journal talks about today's opening of the American Association of Advertising Agencies Media Conference. The current buzz: demand for TV advertising this year is very weak because of the increasing fragmentation of audiences (i.e., the tyranny of too much). Some interesting bits....

Media buyers' fundamental concern is this: Even as audiences continue to erode, networks keep raising ad prices, sometimes to above what buyers think the market should bear. With a bevy of new-technology options starting to beckon, speculation has begun that TV has reached a turning point, media buyers say.

Signs already are afoot. Marketers aren't clamoring for "scatter," or ad time purchased as needed during the season, says Mr. Grubbs. If demand is down, then prices are, too -- not good for the broadcast networks, which typically use marketers' immediate need for scatter ad time to charge them a premium. If it continues, the trend would make for a shabby backdrop when broadcast networks tout their coming schedules to advertisers in May.