Tag Archives: Pitbull

Top Advertiser by Latino Recognition: A Cancer Cure Charity

U.S. Hispanics account for $1.4 trillion in spending power.

To find which ads resonate most with this demographic, Nielsen analyzed the top ten Spanish language advertisements during 2015.

Check out who took the top spots:
Rank: Brand/Ad Decription/Ad Length/Ad + Brand Memorability Index
1. St Jude’s Children’s Research Hospital/Treatment/:60/242
2. Payless Shoesource/BOGO Shoes/:30/233
3. Kraft Foods/Whose Idea Mac + Cheese/:30/229
4. Payless Shoesource/Shoes for work + play/:15/229
5. Xoom.Com/Gabriela Gonzalez/:30/221
6. Kraft Foods/Grandma Making Grilled Cheese Sandwiches/:30/208
7. Xoom.Com/Mayanara Feliz/:30/204
8. Trivago.com Online Travel/Hotel In Berlin/:15/204
9. H+R Block Tax Consultants/ Maria’s Vacation/:30/200
10. Wells Fargo Bank/Mobile App In Spanish/:30/188

Only 44 percent of digital display ads were viewable during 2Q15, down from 49.4% in the year-ago period, according to Integral Ad Science’s latest media quality report. “The industry has been slow to improve viewability rates despite increasing pressure from advertisers,” notes the study. A bright spot: the percentage of fraudulent display ad impressions dipped from 16.5 percent to 14.1 percent from 1Q15 to 2Q15.

Univision Files Its Long-Expected IPO, Fortifies Ties With Mexico’s Televisa

Updated 16:00 UTC – 2 July 2015

By Adam R Jacobson

MIAMI — The largest media company in the U.S. serving Hispanics has officially notified the Securities and Exchange Commission that it is proposing an initial public offering of the sale of its Class A common stock, a long-expected move that will make Univision a publicly held entity.

The number of shares to be offered and the price range for the proposed offering have not yet been determined. However, MarketWatch reports that Univision plans to offer $100 million in shares.

According to a source close to the matter, the $100 million figure “is a placeholder number that all IPOs use” and that Univision cannot provide guidance on any number at this time, as it is at the start of the public offering process.  The SEC will respond close to August 1 with an initial round of comments, and Univision will then respond to their comments until the government gives the green light for a Univision road show, which would presumably drum up support from potential investors. Following the road show, Univision will ask to go “effective” right before officially pricing its IPO. “If you look at precedent filings the s-1 in July would imply a Q4 offering,” the source tells Adam R Jacobson.

Additionally, MarketWatch notes Univision plans to trade under the “UVN” symbol on either the New York Stock Exchange or on NASDAQ.

Morgan Stanley, Goldman, Sachs & Co. and Deutsche Bank Securities Inc. are acting as lead book-running managers for the proposed offering.

Univision’s private equity owners include Haim Saban’s Saban Capital Group, TPG Capital, Thomas H. Lee Partners, Providence Equity Partners, and Madison Dearborn Partners.

Mexican media giant Televisa also owns a portion of Univision, and will continue to do so. In a statement released alongside the IPO announcement, Univision said it has entered into a Memorandum of Understanding with Televisa and concurrently amended the company’s all-important Program Licensing Agreement.

The biggest takeaway from this second announcement: Televisa will hold common stock with approximately 22% of the voting rights of Univision’s common stock. Televisa also gains the right to designate a minimum number of directors to Univision’s board of directors.

Imported live and scripted programming from Televisa is highly essential to Univision, and accounts for the majority of the network’s highest-rated programs. Without Televisa, Univision would have significantly less impact in the Hispanic television arena against fierce competitor NBCUniversal, upstart MundoFox and an assortment of cable and broadcast television players including Discovery Networks, Liberman Broadcasting’s Estrella TV, Mexico-based Azteca, and ESPN Deportes.

With today’s PLA amendment, Univision’s exclusive U.S. broadcast and digital rights (with limited exceptions) to Televisa’s programming remains in place for 15 years, up from 10 years–subject, however, to the completion of a minimum amount of net proceeds “and no change of control having occurred,” protecting itself from a hostile takeover.

The revised PLA also slightly adjusts royalty compensation through December 2017, retroactive to January 1, 2015, downward by .07 percent. On January 1, 2018, the royalty rate will increase to 16.13 percent, compared to 16.22 percent under the prior terms. Additionally, Televisa will continue to receive an incremental 2 percent in royalty payments on such media networks’ revenues above an increased revenue base of $1.66 billion, compared to the prior revenue base of $1.65 billion.

The royalty rate will again increase to 16.45 percent starting in June 1, 2018 and for the remainder of the term, compared to the prior rate of 16.54 percent. With this second rate increase, Televisa will receive an incremental 2 percent in royalty payments above a reduced revenue base of $1.63 billion.

Among the deal’s other highlights:

•    Televisa will convert $1.125 billion of Univision debentures into warrants that are exercisable for new classes of Univision’s common stock. As a result of the conversion, Univision’s annual interest payment obligations will decrease by approximately $16.9 million.

•      The conversion of Univision debentures into warrants will have the effect of reducing Univision’s consolidated debt by $1.125 billion. Univision has agreed to pay Televisa on the date of conversion, $135.1 million as consideration for the conversion using a combination of existing liquidity and previously restricted cash, which will become unrestricted as a result of the conversion.

In prepared comments, Univision President/CEO Randy Falco said, “By taking these steps and our pursuit of other related initiatives, Univision is in a stronger competitive position going forward. Televisa is the best Spanish-language content producer in the world, and we are pleased to continue to have its support as we enter the next exciting chapter of Univision’s history.”

Grupo Televisa EVP Alfonso de Angoitia added, “With these transactions we strengthen our relationship further and reiterate our full commitment to Univision and its future.”

ARJ

I Envy Pitbull: His Musical Contributions Are Questionable, But He Perfects Hispanic Marketing

I envy you, Pitbull.

You are everywhere.

Germans no longer love David Hasselhoff. They love Pitbull.

You truly are Mr. Worldwide, injecting your 305-fueled lyrical interludes into just about every high-energy song played on contemporary hit radio stations around the world.

Personally, it irritates me.

I’m not a fan of your music; of endless lyrics about fiscal irresponsibility, getting bottle service at a night club, and looking good to score hot chicks; and your ability to present to the world that every Latin guy in Miami is just like you.

Yet I applaud you, Mr. Armando Christian Pérez, the 34-year-old golden boy who first rose to prominence 11 years ago, following 2002 work with hip-hop artist Lil’ Jon.

Why?

Because he has emerged as a master of Hispanic marketing, and he may not even realize it.

By navigating around a choppy sea of reggaeton artists and a Latin Urban explosion that is today in sonic and artist transition, Pitbull has successfully infused the sounds and beats that move today’s Hispanic millennial into straight-ahead pop and dance tunes that have found not only a “total market” audience in the U.S. but a global audience as diverse as Muslim teens in the United Arab Emirates, Jews celebrating Israeli Independence Day in Fort Lauderdale, and fortysomething white gay men in South Florida reveling at a black-tie affair in support of cancer research.

What Pitbull has mastered is Hispanic intregration into global messaging.

This is unique and differs from some of the more high-profile marketing executions achieved on a global level. Coca-Cola, a company profiled in the 2015 Hispanic Market Overview, presented by Lopez Negrete Communications, is perhaps the one company that has taken a global message and tweaked and adapted it for specific audiences. “Open Happiness” was the most recent effort that sought to accomplish this.

But “Open Happiness” was not inherently Latino, nor is any other global marketing effort tied around a singular theme.

Pitbull has also demonstrated that, despite what this author thinks about his musical contributions of late, today’s Hispanic culture is bilingual, bicultural and decides at any given moment whether it wishes to speak in Spanish or hear a Latin-tinged beat.

Interestingly, Pitbull has recorded far more works in English than in Spanish. Sure, his use of the Cuban way to say “C’mon” — ¡Dale! — has made it a household phrase in many a household that believes a biblioteca is a church because it is “the home of bibles, right?” The album El Mariel, released in 2006, included several Spanish-language tracks. He even enjoyed his own show from 2007 to 2009, airing in Spanish, on NBC Universo predecesor mun2. In 2010, Pitbull received 7 nominations for Spanish-language work released that year at the Billboard Latin Music Awards.

But it’s songs like “I Know You Want Me,” “Give Me Everything,” and “Fireball” that have grabbed the world’s attention, not “Bon, Bon” or “Echa Pa’lla (Manos Pa’rriba).”

This is an important fact, because it also ties in to the demise of NUVOtv, formerly Si TV; the shift in focus from U.S. Hispanics to Latin Americans by Viacom’s Tr3s, resulting in widespread layoffs; a rebranding of former Hispanic millennial-focused mun2 to sports-and-entertainment focused NBC Universo; and lingering questions about the viability of 24/7 networks “superserving” Latino millennials in English–such as the much-hyped El Rey Network and ABC/Univision joint production, Fusion.

The state of Fusion is addressed in this year’s Hispanic Market Overview by Univision executive Keith Turner.

But Pitbull may have the best answer as to why English-language media focused on Hispanics hasn’t worked: It’s all about relevance, and the best language to bring that relevant content to U.S. Hispanics.

As we learned through interviews conducted for Hispanic Market Overview and from research studies used to prepare the 2015 report, the increasingly bilingual Hispanic population is indeed consuming more English-language media. But, on the whole, it still uses more Spanish-language media and is a consumer group that continues to resonate strongly to Hispanic culture and messaging when delivered in Spanish.

A look at the latest Nielsen ratings confirms that the ratings for any given prime-time telenovela airing on Univision are substantially higher than the top-rated English-language program in Hispanic homes, Dancing With the Stars.

Popularity in U.S.-based sports is indeed growing, with NCAA College Football the next huge growth opportunity for multicultural marketers. But have you seen any dip in soccer ratings?

Meanwhile, Hispanic newspapers and magazines are skillfully learning how to bring old media to a new media world in a fiscally sensible way–something its non-Hispanic counterparts have been struggling with for years.

We even learn why Direct Response is a highly effective way to reach specific segments of Hispanics, since they are not a homogenous consumer group and should not be treated that way by marketers.

In short, it’s time for marketers to get back to basics by understanding that the U.S. Census Bureau did not suddenly wave a magic wand in 2010 and turn millions of Hispanics who communicate in Spanish into English-only consumers. These individuals may watch “The Americans” on FX, but they also may watch soccer on beIN SPORT or Fox Deportes.

Jimmy John’s gets it. While watching the season finale of “The Americans,” the sandwich shop aired a slightly goofy commercial featuring a Hispanic man who comes home after a hard day of work to find his home in disarray. His wife is complaining in Spanish, his kids have made a mess, but he has a solution: call Jimmy John’s. All of the dialogue is in Spanish; the music is Latin. Only the tag line and end message are in English.

I’ve not seen this spot yet on Spanish-language television. But I hope Jimmy John’s is as smart as I think they are, and puts this spot on every channel consumed by Hispanics aged 18-49.

It’s also a shame they couldn’t incorporate a Pitbull song into the spot.

In an uncertain economy that has the potential for growth or could spiral into another recession, one thing is certain: Marketers best start listening to Pitbull’s music a whole lot more, study his rise to fame and transfer those learnings into a savvy marketing plan that taps into both Spanish-language and English-language media.

With Latin themes and smart creative, marketers have only ROI to gain from delivering messages that Hispanics can be proud of while also positively impacting the non-Hispanic consumer.

 

Adam R Jacobson

 

 

Hispanic Market Overview 2015 Now Available For Marketers To Get ‘Back To Basics’

Sixth annual Hispanic Market Overview state-of-the-industry report now available.

Presented by Lopez Negrete Communications

LOPEZ-NEGRETE-LOGO-300x225

 

 

Produced by Adam R Jacobson with exclusive distribution from HispanicAd.com

hmo2013Hispanic Market Overview 2015 builds on the insights and observations provided each business day in HispanicAd.com and in the November 2014 Hispanic CMO Thought Leadership report.


Hispanic Market Overview 2015, presented by Lopez Negrete Communications, is a  detailed overview of the state of U.S. Hispanic marketing and advertising, delivered complimentary via digital download in a new easy-to-use flipbook format. Get the facts, thoughts, ideas and knowledge to propel your company’s multicultural outreach.

MAIN TOPICS: A Focus On the Fundamentals: Why targeting Hispanic millennials means retaining–and growing–your Spanish-language media buys; Hispanic media and the “OTT” opportunity; The overall state of Hispanic advertising: data overview and analysis; economic outlook and visibility

AUDIENCE: Client-side marketers, advertisers and brand managers; Hispanic media (TV/Radio/Print/Digital/Social platforms); Media buyers and planners.

CIRCULATION: HispanicAd.com eBlasts to more than 25,000 unique industry professionals, linking readers to download page at HispanicAd.com. Bonus promotion at AdamRJacobson.com, including full Google SEO platform, Twitter, LinkedIn and press release distribution to U.S. consumer and business media.

To download your copy, click here: http://reports.hispanicad.com/reports/HMO-2015/