by Alyssa Oursler | August 27, 2012 11:47 am
Viacom (NASDAQ:VIAB) has seen its viewership drop of late, meaning it can charge less money for the same commercial spot. So, the company’s solution has been simple: run more ads.
At Nickelodeon, for example, viewership dropped by just under 30%, while Comedy Central has also lost a smaller number of viewers. Overall, the company increased the amount of air time rose by 9% in 2012, on top of a 7% rise the year before, The Wall Street Journal reports.
Viacom says this is only a short-term solution to its problem, but even the short-term overload of ads could turn even more viewers away — especially considering that Viacom channels were considered ad-heavy even before the increases. Disney (NYSE:DIS) and Discovery Communications (PINK:DISCA) both play less commercials per hour.
Source URL: http://investorplace.com/2012/08/why-youre-seeing-more-ads-on-comedy-central-nickelodeon/
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