Author: R&R Partners

Did 2012 live up the political hype? Yes!

March 18, 2013 R&R Partners Comment

As we are currently in the first political window of 2013 in Las Vegas and dealing with make-goods and LUR’s (lowest unit rate)….let’s review 2012. We were all warned going into 2012 that it was going to be a strong year politically, with record breaking spend, etc. Did it live up to the hype?

Short answer: Yes. Additionally, both presidential campaigns spent heavily on advertising in Nevada and Colorado with Las Vegas and Denver media markets seeing the most presidential political advertising. According to the Washington Post and Kantar Media, Nevada as a whole saw $55 million in total TV political ad spend with Las Vegas (ranked #40 Nielsen TV market) accounting for $46 million. Colorado reached $73 million total TV ad dollars, with Denver (ranked #17) racking up $59 million of that take. See political TV advertising spend broken down by state and by candidate for the 2012 election with this interactive map!

The Wesleyan Media Project reports that in 2012, TV viewers were bombarded with more than 3 million ads related to the presidential and congressional elections. Overall, there was a 33% increase in the number of ads and 81% increase in spend compared to the 2008 election. While local news is always impacted heavily by political advertising and is the main focus, the Obama campaign also focused on talk and reality shows and niche cable networks more so than the Romney campaign. This explains why the Obama campaign was able to spend $4 million less in TV ad dollars in the Las Vegas market than his counterpart Romney, yet receive five thousand more total ads. This could very well have proved a critical strategy in Obama’s win of the crucial swing state of Nevada.

The TVB reports that local TV stations captured over 80% of total television spending in the political category during the 2012 season. “Television stations total political revenue, in the face of increased competition, from new and social media, continues to boast a high growth rate: $1.5 billion in 2008, $2.1 billion in 2010 (+35%) and $2.9 billion in 2012 (+38%).”

Obama spent more on social campaigning than his counterpart by 10 to 1. Obama spent a whopping 47 million dollars to target key constituents nationwide.

It was clear that the focus was much more important for the Obama campaign for driving voters to influence and create actions. Building this community proved vital as President Obama had more Facebook fans, more Twitter followers and more YouTube views than Romney.

So it appears that in the political TV and new/social media advertising game during the 2012 election, the Obama Campaign clearly had the smarter strategies. However both party lines continue to show the same trend with increasing their advertising spend each election year.

Pamela Payne and Cameron Partridge contributed to this article.

The Big Game gets social

February 4, 2013 R&R Partners Comment

Advertisers spend a lot of money each year during, before and after the big game, especially for the expensive in-game TV spots. Now that we have had almost 24 hours to digest the plethora of creative ideas, the ones that we are talking about took place on social media channels.

Twitter is the unofficial king of the big game, where 24.1 million Tweets were sent out about the game and/or halftime show (this is without counting the ads as well).

The power outage alone generated around 231,500 TPM (tweets per minute), which is more than any other topic, including a 108-yard kickoff return by Jacoby Jones at 185,000 TPM.

Brands saw an opportunity to take advantage of a situation that was unexpected. Oreo, Duracell and Tide all capitalized on one of the important pieces of social, which is timeliness.

Oreo managed to engage users with the following tweet:

Very impressive numbers, with 15,260 retweets and 5,428 favorites on tweet that probably took no more than 15 minutes to push live on its social channels.

And Duracell managed to score an “extra point” when the lights were out as well.

Just 45 minutes after Dodge ran its “Farmer” spot, there were a total of 402k social media comments about the spot. Dodge led the crowd in sheer numbers, but Tide, Taco Bell and Doritos led the pack with the most positive sentiments out of the ads that ran during the game.

With the exponential growth in social and how it relates to campaigns, it makes you wonder what next year will have in store.

Nearly all of the spots were available on YouTube days before the game even aired, and engagement campaigns started well before that.

One thing is for certain – social will continue to grow. Brands need to figure out how to embrace it or they could very well be left behind. Also important to note – 45 percent of the TV audience was female. Advertisers and packaged goods, such as Oreo, took advantage; Calvin Klein did, too.

Online advertising predictions for 2013

January 22, 2013 R&R Partners Comment

As we ring in the new year, advertising trends will continue to change and progress. In 2013, online advertising is expected to be even more innovative and dominating than in past years.

Mobile traffic will continue to rise. It is expected that by the end of 2013, one in three paid clicks could come from a tablet or smartphone. With this drastic increase in mobile usage, in-app advertising spend is expected to skyrocket as well.
Cross-channel and cross-device advertising and measurement will explode! Where customers used to simply click on an online ad and purchase, the lines between online and offline worlds are becoming blurred as customers utilize mobile devices to conduct more product research than ever.
Owned and earned media will become the rule, not the exception. Advertisers will leverage their owned media as marketing tools even more so than in years past, taking advantage of the cost efficient control that they have to reach niche audiences. In a year where word-of-mouth marketing will continue to grow, earned media will be that much more vital as the customer becomes the channel.
Online advertisers are going to finally realize the true value in social media. The fact is, we no longer live in a world powered solely by direct response marketers. It is now all about building relationships with customers and gaining access to larger audiences. A new year is just going to continue to enforce the importance of utilizing social media, and even provide deeper data to support it.
Online marketing will become even more targeted. Facebook has already taken the plunge moving far beyond basic demographic targeting. With custom audiences where sponsored stories or ads can be used to target a specific set of users, what’s to come next?
Real-time optimization will be the norm. Advertisers have now moved beyond the click and require insight into the brand impact of their online activity alongside their click data. We are moving towards a time in which advertisers will be able to track all of their campaigns against key metrics, and utilize online dashboards to adjust creative, frequency and more to optimize campaigns in real-time.
Online display formats and units will continue to evolve. With digital infographics becoming vital in telling an advertisers’ story in 2012, the new year will only further enhance the need for online marketers to utilize different online formats to more effectively deliver their messages. Newer, larger and more customizable online units will continue to be developed in 2013, offering advertisers more innovative ways to build their brands.

Read more about 2013 trends and predictions:

http://www.adexchanger.com/data-driven-thinking/online-marketing-top-trends-for-2013/

http://www.millwardbrown.com/ChangingChannels/2012/Predictions/

http://www.mediapost.com/publications/article/190026/2013-predictions-from-online-ad-marketing-experts.html#axzz2H1lAuGAx

Jimmy Kimmel is ready to rumble

January 7, 2013 R&R Partners Comment

This week, Jimmy Kimmel is moving from his midnight time slot to 11:35 pm, entering the ring with the late-night heavy-hitters of Letterman and Leno. ABC is hoping that the 25 minute difference will help boost their ratings, because simply put, many people decide to go to bed around midnight. There are a lot more people still watching TV at 11:35 pm than at midnight. This shift is historic because it will be this first time that all three of the major broadcast networks will have late-night talk shows all competing at 11:35 pm.

The arrival of Kimmel in the 11:35 time slot means a younger generation is starting to plant its flag there. At 44, Kimmel is younger and edgier than Leno and Letterman, both in their 60s, and brings the highly coveted 18-49 demographic. Kimmel will also have a head start on Jimmy Fallon, who has been rumored to be the heir apparent for Leno at NBC.

It’s no coincidence that the time shift comes at a time when Kimmel’s audience is steadily growing, while his rivals’ ratings are slipping. This past year, Kimmel was well-received hosting the White House Correspondents’ Dinner, and hosting the Emmy Awards. Jimmy Kimmel Live! is also coming off its most-watched season in five years, growing 3 percent in total viewers and proving the only broadcast late night show to register an uptick this year according to ABC.

Although the Kimmel show still lags far behind Jay and Dave in the ratings, with a viewership of only 1.9 million, compared to Leno’s and Letterman’s viewership of around 3 million each, Kimmel is a legitimate threat to the current late-night landscape and should prove to be a solid move for ABC.

This Week in Travel & Tourism — 11/19/2012

November 26, 2012 R&R Partners Comment

INTERNATIONAL

Travel summit notes rise in demand for exotic destinations

Travel agents and tour operators who attended Ensemble Travel Group’s recent Las Vegas conference report that travelers are increasingly being drawn to exotic and off-the-beaten-track destinations. “The hot destinations are Ecuador, the Galapagos, Burma, Cambodia, Vietnam, African safaris. People are going for big-ticket items. It’s like they want to spend money now because they don’t know how things will be later on,” said Judy Ruffini, a regional sales manager at General Tours.

Airlift problems hamper tourism in the Caribbean

Air travel between Caribbean islands usually consists of multileg flights that take several hours. This lack of convenient flight options could be one reason that tourism in the region is not growing as rapidly as hoped, tourism experts say. “Intra-Caribbean tourism is down by 40% in the last five years. Make air travel more accessible — get rid of the visa regulations, make it cheaper — and more people will travel. It changes the equation,” said Richard Doumeng, president of the Caribbean Hotel & Tourism Association.

Luxury travel is leaning toward uniqueness, customization

Luxury travelers are increasingly demanding customized trips heavy in out-of-the-ordinary experiences, experts said during Signature Travel Network’s Sales Meeting and Trade Show in Las Vegas this week. “We have arranged white-linen banquets on the Great Wall and trips down a tributary of the Li River (Guilin) in bamboo rafts. We take clients to studios of major artists and fashion designers. In Beijing, there’s a private $300 million art collection, which people can see, and be taught by the owner how to understand Chinese art,” said Margot Kong, a vice president with Imperial Tours in San Francisco.

DOMESTIC

Survey: Holiday travel spending will rise 12% this year

An annual survey by Allianz Global Assistance USA indicates that holiday travel spending this year will reach $72.9 billion — up about 12% over 2011. Forty-five percent of respondents said they are “very confident” that they will take a holiday vacation this year, compared with 42% in the previous year.

Business travel could benefit from U.S. “fiscal cliff,” group says

The impending “fiscal cliff” of expiring tax cuts and reduced federal spending could benefit business travel over the long term, the Global Business Travel Association says in a report. “The elimination of tax cuts and reductions in federal spending would lead to reduced deficits and lower interest rates over the long run, resulting in business travel spending and an overall economy that grows more quickly after absorbing the shock of the fiscal cliff,” the GBTA said. However, the U.S. economy stands to lose $20 billion in business-travel spending over nine quarters if the economy goes over the so-called cliff, the group says.

U.S. Travel Association grass-roots program will focus on Congress

The U.S. Travel Association has unveiled plans for a grass-roots initiative that aims to cultivate industry advocates in Congress. “Every congressional district in America can thank travel for jobs and economic activity, so we’ve designed a program to build our bench of champions in Congress, those members who will stand with us and play offense on policies to protect and stimulate increased travel,” said U.S. Travel President and CEO Roger Dow. The Travel Blitz program is set to launch next year.

CRUISE

Norwegian overcomes hurdles to become successful in Hawaii

Norwegian Cruise Line’s 10% price increase on Hawaii cruises next year is a big improvement from several years ago, when the line’s 2,138-passenger Pride of America was struggling.

AIRLINE

Virgin Atlantic gains short-haul slots at Heathrow

Virgin Atlantic said it has been offered all of the Heathrow short-haul slots available following International Airline Group’s acquisition of BMI. International Airline Group is the parent of British Airways.

DOT approves Delta’s route to Tokyo from Seattle

The Department of Transportation has approved the request from Delta Air Lines to transfer service from one of its two routes between Detroit and Haneda Airport in Tokyo to Seattle. The switch will “open Haneda access to a new region of the country,” the DOT said.

This Week in Travel & Tourism — 11/5/2012

November 12, 2012 R&R Partners Comment

INTERNATIONAL

Future travel will include nontraditional destinations, study finds

Market research firm Euromonitor International has released the results of its “Global Trends Report,” which shows the world’s top emerging travel trends. The study says U.S. travelers will be increasingly drawn to destinations previously off-limits to foreigners, such as Myanmar, Cuba and North Korea. The travel industry is also expected to see a rise in “technology-free” vacation packages and trips that focus on relaxation.

DOMESTIC

Effect on tourism is a contentious issue in pro-marijuana measures

Measures that will loosen restrictions for the recreational use of marijuana in Washington state and Colorado have raised questions about its potential effect on local tourism, this feature says. Opponents in Colorado say the measure could have a negative effect on the state’s image. “If Colorado receives international media attention as the first state in the U.S. to legalize marijuana in their constitution, Colorado’s brand will be damaged and we may attract fewer conventions and see a decline in leisure travel,” said Visit Denver CEO Richard Scharf.

CRUISE

Norwegian Cruise Line will raise prices for Hawaii sailings

Norwegian Cruise Line has announced plans to increase fares on cruises in Hawaii. Prices for cruises aboard the Pride of America are scheduled to increase by about 10% starting Jan. 1, the cruise line says.

MGM Resorts and Royal Caribbean partner to offer more benefits to loyal members

MGM Resorts International and Royal Caribbean International recently launched a strategic partnership to benefit members of both companies’ loyalty programs, MGM’s M life and Royal’s Crown & Anchor Society.

AIRLINE

Holiday air, hotel bookings filling fast

Travel agents say demand for Thanksgiving, Christmas and other holiday travel is up sharply, and that travelers who don’t make plans early may face sold-out locations. “This is not a great year for procrastination,” said Simon Bramley, vice president at Travelocity, where Thanksgiving ticket purchases are up 9%.

AA offers double-mile rewards to compensate for flight disruptions

American Airlines has announced that frequent fliers will be getting double elite-qualifying miles for flights from through Dec. 31 to compensate for flight disruptions that passengers experienced during the carrier’s contract negotiations with its pilots. The airline appears to be nearing an agreement with leaders of the union, who hope to “reach a final agreement this week to be voted on by pilots,” this feature says.

Airlines seek new fees despite ancillary revenue increasing

Airlines earn ancillary revenue for extra baggage, Wi-Fi service and other goodies, and they stand to make 11.3% more in 2012 than they did with such fees the year before, this feature says. Major carriers will earn $36.1 billion in fees this year, according to a report by IdeaWorksCompany and Amadeus. But watch out for new charges. “The low-hanging fruit is gone; they are going to have to invent products,” says travel writer Joe Brancatelli.

OTA

Priceline to buy Kayak for $1.8 billion

Priceline.com will buy travel metasearch company Kayak for $1.8 billion. Priceline will pay $40 a share for Kayak, including $1.3 billion in stock and $500 million in cash, the companies said Thursday afternoon.

LAS VEGAS

Tropicana Las Vegas to become a DoubleTree by Hilton

Las Vegas’ Tropicana hotel will be reflagged in January as the Tropicana Las Vegas — a DoubleTree by Hilton, marking the first time a Hilton Worldwide-branded hotel will be on the Las Vegas Strip since Hilton spun off what would become Caesars Entertainment in 1998.

Mexico’s Interjet will add Las Vegas service this month

Mexican airline Interjet will begin service to McCarran International Airport in Las Vegas on Nov. 15. Flights will operate twice a week from Mexico City’s secondary airport in Toluca. The new route marks the fifth U.S. destination for the airline.

A beast that needs attention

November 2, 2012 R&R Partners Comment

Being the third most visited site in the world is not an easy task. YouTube ranks just behind the giants of Google and Facebook as the most visited websites on the internet. This comes as no surprise. The power for people to capture themselves through video is easy enough for a 3-year-old to manage, but how do brands and organizations leverage YouTube to their advantage?

Old Spice’s YouTube brand channel.

According to YouTube, 72 hours of video are uploaded to YouTube every minute, which equates to 3 billion hours watched each month. These types of numbers are mind-boggling and the ripple effect reaches far outside of YouTube itself. More than 500 years of YouTube videos are watched on Facebook and 700 videos per minute find themselves on Twitter.

No doubt a powerful tool, but most brands upload their TV spots, or try to think of something so funny and outrageous hoping that it will be the next “viral video.” Unfortunately, this is very difficult to achieve on YouTube. While this can happen, you have better chances of taking the money you spent doing this and doubling down at the nearest casino.

Companies such as Old Spice, Red Bull, and Go-Pro have found that YouTube can help drive exposure, but they are the few that have found success. Almost all companies find themselves spending a lot of money with little to no results, thus deeming it as a marketing failure. To avoid complete and udder failure here are five starter tips for marketers and brands to follow:

1^st – YouTube is its own platform; content should be unique and should be well thought out.

2^nd –Make sure that you promote your video(s) through YouTube using Google platforms. Spend money to help get some eyeballs and help leverage your plan.

3^rd– Make sure that you plan your strategy ahead of time. Are you looking for views or do you want people to take action?

4^th– Consider using YouTube celebrities (people already on YouTube that have thousands to millions of views and subscribers) for brand integrations and product placements.

5^th– Ensure that your YouTube plan fits well with branding and other marketing strategies; YouTube can help you leverage your current and future goals within social media.

Success on YouTube can be very challenging, but using these basic tips can help you get on the right track. YouTube is a platform that allows you to target the audience you want, which keeps advertisers coming back. If you’re nice to YouTube it will be nice to you.

This Week in Travel & Tourism — 10/22/2012

October 29, 2012 R&R Partners Comment

INTERNATIONAL

MGM gets approval for Macau casino-hotel

MGM Resorts International received approval from the Macau government to open its second hotel-casino on the China-controlled group of islands. MGM China Holdings, a joint venture between MGM Resorts and Hong Kong billionaire Pansy Ho, will build a $2.5 billion, 1,600-room hotel-casino on Macau’s Cotai Strip. Plans call for 2,500 slot machines and 500 gaming tables.

Airlift priority for Jamaica

The island of Jamaica is in good shape for the upcoming winter season, with advance bookings at many resorts pacing ahead of a year ago at this time.

DOMESTIC

PreCheck will check in at Honolulu airport

Honolulu Airport was expected to launch the Transportation Security Administration’s PreCheck program this week. Not all airlines participate in the program, and passengers must be eligible to go through an initial screening in order to participate.

Orlando, Fla., hotel activity in September was lower than a year ago

The hotel market in Orlando, Fla., declined in September, as 55.2% of rooms were filled compared with 56.2% the previous year, according to Smith Travel Research. The average daily rate decreased 1.4%, to $80.35, as children went back to school and fewer large-scale events took place.

AIRLINE

US Airways Group reports record Q3 profit

US Airways Group posted a record third-quarter net profit of $245 million, up from $76 million a year earlier. Excluding special items totaling $192 million, the result was the second-best third quarter in the company’s history.

Delta posts $1B third-quarter profit

Delta Air Lines reported a third-quarter net profit of just more than $1 billion, aided by $279 million in one-time items. The result compared to a $549 million profit a year earlier.

Southwest will take over AirTran flights in 4 cities next year

Southwest Airlines has announced that starting in April, AirTran service at airports in Flint, Mich.; Portland, Maine; Rochester, N.Y.; and Charlotte, N.C. will be converted into flights under the Southwest brand. Southwest also unveiled new services that will launch also in April, including daily service between Boston and Kansas City, Mo., and between Houston and Pittsburgh.

Spirit: We don’t want you to pay our $100 carry-on fee

Spirit Airlines will be charging a $100 carry-on fee to passengers who do not pre-pay for bags. Some industry experts say it could hurt business, but Spirit says the fee will dissuade passengers from slowing the check-in process with last-minute bags.

This Week in Travel & Tourism — 10/8/2012

October 15, 2012 R&R Partners Comment

AIRLINE

Delta eyes New York market with added routes, landing spots

Delta Air Lines has added more than 100 daily flights at La Guardia Airport in New York, a move that it hopes will increase market share in the region. The airline this year acquired landing spots from US Airways. “We’re trying to win New York. That’s really what this expansion is about,” said Gail Grimmett, a Delta executive.

Delta will cut number of nonstop flights to Europe

Delta Air Lines has announced that it is reducing the number of nonstop flights to European destinations including Barcelona, Spain, and Milan, Italy. The carrier says it will be shifting its capacity toward connecting flights through Paris, where it plans to add more flights in partnership with Air France.

Delta Air Lines plans expansion of flights from Seattle to Asia

Delta Air Lines is looking to capitalize on its partnership with Alaska Airlines to add flights from Seattle. The plan includes expanded service to Asian destinations such as Shanghai, China, and proposed service to Tokyo-Haneda, Japan.

Row 44, Allegiant team up for streaming success

Allegiant Travel Company subsidiary Allegiant Air will launch Row 44’s Video-On-Demand service on all of its Boeing 757 aircraft. It will be the first carrier to use the wireless, streaming in-flight entertainment system.

LAS VEGAS

In Sin City, green goes beyond what you gamble

Las Vegas hotels are making even more of an effort to go green as tourists are in the market for sustainable hotels. MGM Resorts International, Caesars Entertainment and Las Vegas Sands have incorporated sustainable practices into their business models. MGM’s CenterCity project, for example, earned six U.S. Green Building Council’s Leadership in Energy and Environmental Design Gold certifications. Hotels in the city have embraced composting, rootop gardens, recycling and water-saving measures.

CRUISE

Cruise sellers expect improved business in Q4, 2013

Many travel agents reported weak business in the cruise segment during the third quarter, brought about by competitive pricing and slow bookings. However, agents’ optimism is high for the year’s remaining quarter, with prices expected to regain strength going into 2013. “There’s pent-up demand, an end in sight to the presidential election, and bookings are pretty attractive,” said Carolyn Spencer Brown of Cruise Critic.