TWX Time Warner Inc. New

   (FROM THE WALL STREET JOURNAL 1/11/16) 

Why ESPN Lets Pundits

Tweet About Domino's

Ahead of New Year's Eve celebrations, Adam Schefter, an "NFL Insider" for ESPN, tweeted to his nearly 4.5 million followers that the night meant "college football and @Dominos pizza."

Another ESPN commentator, Chris Mortensen, tweeted to his two million followers that there was "nothing better on NYE" than football and Domino's.

Without any indication that they were sponsored, the tweets seemed like impromptu musings on the joys of delivery pizza during the College Football Playoff.

They were, in fact, advertisements -- part of a larger effort by Domino's across the world of ESPN, which is majority-owned by Walt Disney Co.

The pizza tweets, earlier identified as ads by the sports website Deadspin, have raised questions about whether media professionals should use their large personal followings on social media to plug products when their fans might expect news.

The tweets also received criticism because they lacked any advertising disclosure.

"Future tweets from Chris and Adam will [contain the hashtags #DominosPreGameHQ or #PreGameHQ"], or even the hashtag #ad," a Domino's Pizza spokesman said. "It was a mistake, and we've made sure it won't happen again."

Through an ESPN spokeswoman, Messrs. Schefter and Mortensen declined to comment.

-- Steven Perlberg

TNT Plans Fewer Ads

During Certain Programs

When it comes to commercials, less will be more for TNT.

Kevin Reilly, president of Time Warner Inc.'s TNT and TBS cable networks, said he wants fewer advertisements during some TNT shows.

"We've overstuffed the bird," Mr. Reilly said of the advertising loads on some Turner Broadcasting channels at the semiannual Television Critics Association press tour in Pasadena, Calif., on Thursday.

Time Warner's TruTV already has started to reduce the ad load in some of its original programming.

With TNT, Mr. Reilly said he would like to start by cutting advertising by 50% in three dramas the network is developing.

"We need to create a better viewing experience," he said. In addition, the current commercial load dilutes the individual advertisements, he said.

So-called commercial clutter on cable has been an issue in the television industry for many years.

Cable networks typically cut opening and closing credits from the reruns they air to squeeze in more advertisements. Some networks even go so far as to speed up the content of shows to add more commercials.

Time Warner isn't the only media giant that is starting to reduce its commercial clutter. Viacom Inc., owner of MTV, BET and Comedy Central, also has said it is decreasing the amount of advertising in its shows.

-- Joe Flint

Stagwell Buys Stake

In Digital-Ad Agency

Stagwell Group, the investment group started by former WPP PLC and Microsoft Corp. executive Mark Penn, has acquired a majority stake in digital agency Code & Theory.

New York-based Code & Theory has worked with clients such as Dr Pepper, Maybelline New York, Burger King and Vogue. The company creates digital campaigns for brands and has helped media companies redesign their websites.

Terms of the deal weren't disclosed. The agency has annual revenue of more than $50 million, according to a person familiar with the matter.

Code & Theory's specialty in creating large-scale Web experiences "is something that's going to be mission-critical for major products," Mr. Penn said.

-- Nathalie Tadena

(END) Dow Jones Newswires

January 11, 2016 02:47 ET (07:47 GMT)

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