Weekly television digest (Jan-Dec 1960)

10 AUGUST 22, 1960 Film & Tape UNTAPPED FILM MARKET: TV syndicators & stations are overlooking a multi-million-dollar source of film revenue because most know little about the mechanics of manufacturer-dealer cooperative advertising. So asserted Lester Krugman in N.Y. last week. The exNT A vp for advertising has just opened an agency specializing in co-op advertising. “Something like 15% of all TV advertising today comes from co-op ad deals, which is far from being what it might be,” he added. A completely legitimate but relatively untried deal, Krugman explained, might shape up on these lines; A syndicator could take a new show around to a national advertiser, such as an auto or major appliance manufacturer. The manufacturer could sign for the show, then offer it to dealers or dealer groups with his customary (usually 5050) split on local-level costs. Even the manufacturer’s ad agency, and probably station reps, could be brought in for a slice, since commissionable media are involved. Many co-op ad deals are just sitting around, waiting to be picked up by local stations and/or alert syndication salesmen, according to Krugman. One example he related; An alert TV salesman for a station in a major Southern seaport discovered that an outboard-motor dealer he knew had a co-op budget available, but never used it because “it’s too small to do anything with.” The TV salesman hustled around, talked to a dozen other nearby dealers in the same outboard line, and got them to agree to pool their funds in exchange for rotating TV dealer mentions. Then, he approached the manufacturer, got a green light for his project — and wound up with a dealer-group film-program sale. Krugman, whose cooperative-advertising specialist firm is making its hq at 554 Fifth Ave., believes his “chief problem is providing adequate proof-of -performance information to clients” and that “print media are far ahead of TV in developing co-op deals.” He hopes to correct much of this situation in TV, and to provide more exchange of successful-campaign information among advertisers. Bob Hope’s far-sighted demand, in the mid-1940s, that the rights to a quartet of Paramount-produced comedies should revert to him in 1960, is about to pay the comedian a nice TV dividend. Cal. National Productions last week announced it had acquired from Hope the TV distribution rights to .2 of the films — “Road to Rio” and “My Favorite Brunette,” starring Hope, Dorothy Lamour and Bing Crosby. Still in the Hope chest are “The Great Lover” and “Lemon Drop Kid.” CNP’s 2-picture package was promptly snapped up by the 5 CBS-TV o&o’s. WCBSTV N.Y. had, some time ago, bought similar Hope comedies (“My Favorite Blonde,” “Road to Morocco,” etc.) in the MCA-distributed pre-1948 Paramount library — and wasn’t about to let rival WNBC-TV N.Y. get its hands on them, despite its NBC family link to CNP. The package, CNP’s first feature group, is now being syndicated to other markets. Paramount gets nothing in the deal. Wailed a Paramount N.Y. executive we queried on this point last week; “So, who was thinking about TV in 1945?” Paramount & Columbia will consolidate their Canadian sales & distribution operations Oct. 1, to form a joint Toronto-based company for “greater efficiency & better service” to Canadian theater exhibitors. NEW YORK ROUNDUP TV-film anti-trust ruling against the govt, in the Columbia Pictures-Universal Pictures case, handed down in July in N.Y.’s U.S. District Court (Vol. 16;28 pl2), may be appealed to the Supreme Court by the Justice Dept. “An appeal is under consideration, but no decision has been made on it,” a Justice Dept, source told us. In the District Court decision. Judge William B. Herlands dismissed the govt.’s complaints that an exclusive agreement by Columbia’s Screen Gems for TV distribution of 600-odd pre-1948 Universal movies violated the Sherman and Clayton Acts. If an appeal is carried to the Supreme Court, the Justice Dept, will try again to prove that; (1) The Columbia-Universal deal constituted a conspiracy in restraint of trade. (2) Acquisition by Screen Gems of the Universal movies was an unlawful acquisition of another company’s assets which tended to lessen competition in the industry. Creative Telefilms & Artists Inc., newly-formed distributor of Warner Bros, post-1948 features for TV, is being sued in N.Y. Federal District Court by the American Federation of Musicians, which contends that AFM members are entitled to share in the proceeds of TV licensing (Vol. 16;33 p6). Warners has leased over 100 films to CT&A, now name-changing to 7 Arts Corp., for $11 million & an equal share of the profits. AFM stated in its complaint that, under the terms of its contract with producers, the films may not be shown on TV without the consent of the union. AFM Pres. Herman Kenin said “there has been a callous disregard on the part of WB” to work out an agreement with the union. He threatened similar court action if other film corporations pursue the same policy. CBS Films’ The Brothers Brannigan has been bought by WCBS-TV N.Y. This puts the series in 90 markets . . . ITC reported last week that public utilities are leading the list of syndication advertisers on Best of the Post. Most recent sale was to Pacific Gas for 7 Cal. markets. Ziv-UA’s syndicated sales are reported 18% ahead of the company’s sales totals at this time last year. Excluding sales of reruns through Ziv’s Economee div, Ziv has scored 1,080 single market sales since Jan. The latest is to McKenzie’s Pastry Shoppes, New Orleans (WWL-TV), the 24th food advertiser to buy the series. Two major Canadian film producers have joined forces to develop a large combined film-tape operation in Toronto. Toronto International Film Studios Ltd. (N.A. Taylor) has acquired a substantial interest in Meridian Films Ltd., and the 2 firms plan a $2-million video-tape center and expansion of Toronto International’s Studio City from its present 2 sound stages to 6. Meridian currently operates Canada’s only independent video-tape studio. Program Sales Inc., newly formed production company headed by Ray Junkin (Vol. 16;31 pl5), has announced production-distribution contract for 130 episodes of Portraits & Profiles, a 5-min. show featuring sportscaster Bill Stern. PSI is currently -launching sales on another 5-min. syndication entry, Newsbreak. People; Russ Ray croft has been named special consultant for Official Films . . . W. P. Laffey has joined Telescreen Advertising div. of Screen Gems in charge of service and control . ,. . Michael Nebbie has joined Elliot, Unger <5 Elliot as dir. of photography.