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In high spirits: cable is strategically positioned to top broadcast in hard-liquor profits.

Publication: Broadcasting & Cable
Publication Date: 01-NOV-04
Format: Online - approximately 1117 words
Delivery: Immediate Online Access

Article Excerpt
Here's a sobering fact: The amount of broadcast ad dollars devoted to spirits is dwindling, but the amount spent on cable is rising. Ever since the liquor industry's self-regulated moratorium on TV ads began eroding, cable has become the gin to their tonic.

Most telling, the uptick comes at a...

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...time when overall ad spending in the liquor industry is flat. To evade the wrath of advocacy groups and government regulators who worry about reaching underage consumers, sellers have reined in their broadcast purchases--on both TV and radio. But since TV remains the dominant media strategy for distilled brands, major media buyers prefer to buy drinks for cable viewers--and a handful of cable networks in particular. Financial considerations are one reason; reaching a targeted adult audience is another.

"There are budget issues," says MediaCom Chairman Jon Mandel, noting that the shift to cable has less to do with public policy and more to do with the economics of distilled-spirits marketers. Broadcasters make it difficult to buy...

NOTE: All illustrations and photos have been removed from this article.



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