Tuesday, Dec 11

As Cost-Cuts Begin, NBC Starts Refunding Advertisers

Mediaweek reports that NBC has begun refunding advertisers for poor fourth-quarter primetime ratings. The average of $500,000 in refunds per advertiser marks the first time in years that a network has taken such drastic measures for compensation.

If the numbers are off the mark, networks sometimes give "makegoods," which would allow the advertiser's spot at a different time for free. Many networks including ABC, CBS, CW and FOX are giving out makegoods this year for slipping ratings, but NBC has no spots to fit those in either.

With layoffs in the news division as well as cost-cutting tactics taking place at NBC news bureaus it appears NBC is in much-needed holiday-savings mode.


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