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What: Fusion, Univision-ABC’s new cable network, has announced the brands it will be partnering with.
Why is it important: The importance of English language is beginning to be recognized among advertisers who want to reach Latino millenials. That is a sign of a major cultural change.

Fusion –the news, pop culture and satire network from ABC and Univision– announced today that several of America’s most recognized brands have signed on as launch partners. Allstate, AT&T, Darden, Disney Parks, Johnson & Johnson Consumer, Kay Jewelers, Rayovac -division of Spectrum Brands-, Samsung, and Toyota are among the advertisers partnering with Fusion, which launched in millions of homes nationwide on Monday, October 28.

All of these brands are aware that marketing for Hispanics doesn’t necessarily mean “Spanish-language marketing“. In fact, Fusion is targeting second and third-generation Hispanics in the U.S., young people who do not like to be considered strictly “Latinos”, but who describe themselves as Americans and want to be addressed as such. Besides, actually, as reported by Pew Research, when it comes to news consumption, a growing share of Latinos prefer English. 90% of Latinos ages 18 to 29 who get their news from television do so in English. When it comes to other forms of entertainment, such as television and music, use of English is higher among younger Latinos.

“Fusion is going to provide quality content that is relevant for a young, digital, and diverse America,” said Catherine Sullivan, Senior Vice President of Sales for ABC News and Fusion. “We are delighted that several of America’s most recognized brands have identified Fusion’s programming as a unique opportunity to reach one of the fastest growing audiences in the country.”

“Hispanic millennial consumers are hungry for content that’s not only engaging, but that they also find contextually and culturally relevant on every screen,” said Lia Silkworth, EVP, Managing Director, Tapestry. “We believe Fusion is an innovative new way to reach this consumer.” Tapestry, a division of SMG Multicultural, specializes in connecting brands with emerging market consumers in the United States.

With a unique mix of original reporting and satire programming that is smart and irreverent, Fusion will inform, empower, and inspire viewers by creating dynamic multi-platform conversations around the most resonant issues facing millennials. Millennials are the most diverse generation in America today, with Hispanics representing one in five adults 18-34. Over the course of the next five years this group is expected to eclipse Boomers at $3.39 trillion in spending power.
About Fusion

Fusion is a news, pop culture and satire TV and digital network. It will engage and champion a young, diverse, and inclusive America with a unique mix of smart and irreverent original reporting, lifestyle and comedic content. Fusion launched in millions of households nationwide on October 28, 2013. Six major distributors are carrying the cable network, including Cablevision, Charter, Cox, AT&T U-Verse, Verizon FiOS and Google Fiber. For more information about Fusion visit fusion.net or follow us on Twitter, @ThisIsFusion, and facebook.com/FusionNetwork. Fusion is a joint venture between Univision Communications Inc. and the Disney/ABC Television Network.

About SMG Multicultural
SMG Multicultural is the largest brand communications organization in the U.S. specializing in Hispanic, African-American, Asian-American and emerging market consumers. Within our three brands -Chicago-based Tapestry and Spark Multicultural and New York-based 42 Degrees at MediaVest (MV42)- we offer a portfolio of strategic services that engage consumers in meaningful ways with some of the top brands across the globe. Whether its media planning and buying, communications planning, performance media, digital communications, data and analytics, branded entertainment, gaming or event marketing, our media experts consistently strive to lead and invent within the multicultural space.

What: Fusion, Univision-ABC’s new cable network, has announced the brands it will be partnering with.
Why is it important: The importance of English language is beginning to be recognized among advertisers who want to reach Latino millenials. That is a sign of a major cultural change.

Fusion –the news, pop culture and satire network from ABC and Univision– announced today that several of America’s most recognized brands have signed on as launch partners. Allstate, AT&T, Darden, Disney Parks, Johnson & Johnson Consumer, Kay Jewelers, Rayovac -division of Spectrum Brands-, Samsung, and Toyota are among the advertisers partnering with Fusion, which launched in millions of homes nationwide on Monday, October 28.

All of these brands are aware that marketing for Hispanics doesn’t necessarily mean “Spanish-language marketing“. In fact, Fusion is targeting second and third-generation Hispanics in the U.S., young people who do not like to be considered strictly “Latinos”, but who describe themselves as Americans and want to be addressed as such. Besides, actually, as reported by Pew Research, when it comes to news consumption, a growing share of Latinos prefer English. 90% of Latinos ages 18 to 29 who get their news from television do so in English. When it comes to other forms of entertainment, such as television and music, use of English is higher among younger Latinos.

“Fusion is going to provide quality content that is relevant for a young, digital, and diverse America,” said Catherine Sullivan, Senior Vice President of Sales for ABC News and Fusion. “We are delighted that several of America’s most recognized brands have identified Fusion’s programming as a unique opportunity to reach one of the fastest growing audiences in the country.”

“Hispanic millennial consumers are hungry for content that’s not only engaging, but that they also find contextually and culturally relevant on every screen,” said Lia Silkworth, EVP, Managing Director, Tapestry. “We believe Fusion is an innovative new way to reach this consumer.” Tapestry, a division of SMG Multicultural, specializes in connecting brands with emerging market consumers in the United States.

With a unique mix of original reporting and satire programming that is smart and irreverent, Fusion will inform, empower, and inspire viewers by creating dynamic multi-platform conversations around the most resonant issues facing millennials. Millennials are the most diverse generation in America today, with Hispanics representing one in five adults 18-34. Over the course of the next five years this group is expected to eclipse Boomers at $3.39 trillion in spending power.

What: With an exclusive interview with President Obama, yesterday took place the much anticipated launch of the new Univision-ABC English-language TV channel aimed at young Hispanics, dubbed Fusion.
Why is it important: Fusion attempts to meet younger viewers’ rapidly-changing media consumption habits. Although initially aimed towards second and third-generation Latinos (a segment advertisers are increasingly interested in reaching), this channel, run by the leader in Latin media, will ultimately address a much wider audience, that is, adults under 35 years of age, of all ethnic backgrounds. The buzz generated by this new venture is loud and solid.

Fusion kicked off Monday, October 28, at 6:57 p.m. EST, with a special edition of “America with Jorge Ramos”, featuring an interview with President Barack Obama conducted by ABC News correspondent Jim Avila. This new TV channel will launch initially with a limited distribution, as it will be available in only about 20 million homes (1/5 of the U.S. households with paid TV subscriptions).

According to L.A. Times, Cablevision, Charter Communications and Cox Communications are the cable companies that will carry the new channel –plus, At&T U-Verse, Verizon FiOS and Google Fiber are also involved. ABC will be in charge of distribution, while Univision will be responsible for programming. Both companies have been planning the new channel for more than two years. Fusion’s website is integrated in the Yahoo-ABC News Network.

Although Fusion targets young Hispanics, it will not have a traditional Latino-feel because these younger generations are American and don’t want to be treated as if they were not (“They don’t want to be ghettoized“, says Fusion’s CEO Isaac Lee), that’s why its contents will be in English.

LOS ANGELES TIMESEnglish-language cable TV channel Fusion is designed to appeal to young U.S.-born Latinos who primarily speak English. The initiative, a 50-50 joint venture with Disney/ABC Television, hopes to engage members of the millennial generation, those roughly between the ages of 18 and 34. Colombian-born Isaac Lee (42), Fusion’s recently appointed CEO, said that, since twenty percent of millennials are Latino, while researching the target audience for the new venture they soon saw that the opportunity was not just with Hispanics, but also with millennials. Lee also said that the channel will not try to cover breaking news because most younger viewers learn about big events through Twitter and elsewhere on the Internet.

This is a huge opportunity. Hispanics are young, and the purchasing power of millennials is going to be bigger than baby boomers’ very soon.

–Isaac Lee, president of Univision News and newly-named chief executive officer of Fusion

 

ADAGEFew parts of the media business are growing as quickly as Hispanic media. However, as competitors add their own new channels variously focused on Hispanics, young people and news, where will Fusion fit? The motivation to the network is clear: Hispanic media spending is growing faster than the general market, increasing 11% to $7.9 billion in 2012. TV accounts for most of that spending, at $5.8 billion, but just $246 million goes to Hispanic cable TV networks. Fusion seeks to change that ratio by targeting millennial Hispanics with hard news, news satire, sports and commentary in English. Marc Morse, senior VP-national broadcast at media agency RJ Palmer, said that although Hispanic viewers can be found in other places, marketers who dedicate time and money on programming specifically targeting the Hispanic market have a greater recall.

We are winking at Hispanic, but Fusion is not overtly Hispanic. If you’re not Hispanic, you won’t feel like the network isn’t for you.
–Catherine Sullivan, senior VP-ABC News Sales

 

REUTERSThe target demographic for the new English-language channel is several decades younger than the audiences for CNN, MSNBC and Fox News, which pull in viewers with a median age of 60 or higher, according to media research company Nielsen. The new channel will also test the market for TV news developed for Hispanics, the fastest growing segment of the U.S. population, but delivered in English rather than Spanish. Some of its programming will feature a heavy dose of humor, a bid for viewers who keep up with current events through shows like “The Daily Show with Jon Stewart.” Fusion will turn to ABC reporters for news from around the world, and for special events such as election night coverage. The Disney team will handle ad sales and distribution for Fusion, bringing the ability to sell it to cable operators in a package with its popular sports channel, ESPN.

Fusion is hoping to cash in on advertisers’ awareness of the growing purchasing power of Hispanics, estimated to rise to $1.5 trillion by 2015 from $1 trillion in 2010, according to a 2012 study by Nielsen. Advertisers may still take some persuading to break with a long-held tradition of reaching Hispanics in Spanish.

The mantra of Spanish to reach Hispanics is still very strong. A lot of advertisers are afraid of trying to do it in English.
–Arturo Villar, publisher of Hispanic Market Weekly

 

MIAMI HERALDFusion offers a look at the challenges in pursuing Hispanic consumers, perhaps the hottest target in marketing today. The network scrapped the initial Latin identity after focus groups showed young Hispanics were put off by the idea of a television channel centered on their ethnicity, said Isaac Lee, head of news at Univision and CEO of Fusion. Univision’s anchor Jorge Ramos (55) was an obvious choice for Univision’s original concept, but the rest of the line-up captures Fusion’s unconventional approach to news and talk: an animated satire show, comedians taking on sports, a puppet talk show, and an evening program on sex and politics.

Fusion’s broader demographic makes for complicated marketing, since Lee and others say young Hispanics remain their primary target. “Imagine if you are doing archery,” Lee said. “The bull’s-eye, the red dot, is still an Hispanic. But the whole target is not just the red dot.”

The only way to reach [Hispanic millennials] is to provide fantastic content, and to include them.
–Isaac Lee, CEO, Fusion

 

FRANCE 24 (AFP)Fusion touts itself as a channel aimed at “a young, diverse and inclusive America” and said it would offer “a unique mix of smart and irreverent original reporting, lifestyle and comedic content.” Fusion’s CEO Isaac Lee said that over 80 percent of millennials sleep with their phones next to their beds every night because they don’t want to miss a beat, so the new channel will try to respond to their media consumption needs.

We want to be the ones [young Hispanic millennials] wake up with. This beta site will help lay the building blocks as we continue to develop our digital properties.
–Isaac Lee, CEO, Fusion

 

What: With an exclusive interview with President Obama, yesterday took place the much anticipated launch of the new Univision-ABC English-language TV channel aimed at young Hispanics, dubbed Fusion.
Why is it important: Fusion attempts to meet younger viewers’ rapidly-changing media consumption habits. Although initially aimed towards second and third-generation Latinos (a segment advertisers are increasingly interested in reaching), this channel, run by the leader in Latin media, will ultimately address a much wider audience, that is, adults under 35 years of age, of all ethnic backgrounds. The buzz generated by this new venture is loud and solid.

Fusion kicked off Monday, October 28, at 6:57 p.m. EST, with a special edition of  “America with Jorge Ramos”, featuring an interview with President Barack Obama conducted by ABC News correspondent Jim Avila. This new TV channel will launch initially with a limited distribution, as it will be available in only about 20 million homes (1/5 of the U.S. households with paid TV subscriptions).

According to L.A. Times, Cablevision, Charter Communications and Cox Communications are the cable companies that will carry the new channel –plus, At&T U-Verse, Verizon FiOS and Google Fiber are also involved. ABC will be in charge of distribution, while Univision will be responsible for programming. Both companies have been planning the new channel for more than two years. Fusion’s website is integrated in the Yahoo-ABC News Network.

Although Fusion targets young Hispanics, it will not have a traditional Latino-feel because these younger generations are American and don’t want to be treated as if they were not (“They don’t want to be ghettoized“, says Fusion’s CEO Isaac Lee), that’s why its contents will be in English.

LOS ANGELES TIMESEnglish-language cable TV channel Fusion is designed to appeal to young U.S.-born Latinos who primarily speak English. The initiative, a 50-50 joint venture with Disney/ABC Television, hopes to engage members of the millennial generation, those roughly between the ages of 18 and 34. Colombian-born Isaac Lee (42), Fusion’s recently appointed CEO, said that, since twenty percent of millennials are Latino, while researching the target audience for the new venture they soon saw that the opportunity was not just with Hispanics, but also with millennials. Lee also said that the channel will not try to cover breaking news because most younger viewers learn about big events through Twitter and elsewhere on the Internet.

This is a huge opportunity. Hispanics are young, and the purchasing power of millennials is going to be bigger than baby boomers’ very soon.

–Isaac Lee, president of Univision News and newly-named chief executive officer of Fusion

 

ADAGE – Few parts of the media business are growing as quickly as Hispanic media. However, as competitors add their own new channels variously focused on Hispanics, young people and news, where will Fusion fit? The motivation to the network is clear: Hispanic media spending is growing faster than the general market, increasing 11% to $7.9 billion in 2012. TV accounts for most of that spending, at $5.8 billion, but just $246 million goes to Hispanic cable TV networks. Fusion seeks to change that ratio by targeting millennial Hispanics with hard news, news satire, sports and commentary in English. Marc Morse, senior VP-national broadcast at media agency RJ Palmer, said that although Hispanic viewers can be found in other places, marketers who dedicate time and money on programming specifically targeting the Hispanic market have a greater recall.

We are winking at Hispanic, but Fusion is not overtly Hispanic. If you’re not Hispanic, you won’t feel like the network isn’t for you.
–Catherine Sullivan, senior VP-ABC News Sales

 

REUTERSThe target demographic for the new English-language channel is several decades younger than the audiences for CNN, MSNBC and Fox News, which pull in viewers with a median age of 60 or higher, according to media research company Nielsen. The new channel will also test the market for TV news developed for Hispanics, the fastest growing segment of the U.S. population, but delivered in English rather than Spanish. Some of its programming will feature a heavy dose of humor, a bid for viewers who keep up with current events through shows like “The Daily Show with Jon Stewart.” Fusion will turn to ABC reporters for news from around the world, and for special events such as election night coverage. The Disney team will handle ad sales and distribution for Fusion, bringing the ability to sell it to cable operators in a package with its popular sports channel, ESPN.

Fusion is hoping to cash in on advertisers’ awareness of the growing purchasing power of Hispanics, estimated to rise to $1.5 trillion by 2015 from $1 trillion in 2010, according to a 2012 study by Nielsen. Advertisers may still take some persuading to break with a long-held tradition of reaching Hispanics in Spanish.

The mantra of Spanish to reach Hispanics is still very strong. A lot of advertisers are afraid of trying to do it in English.
–Arturo Villar, publisher of Hispanic Market Weekly

 

MIAMI HERALD – Fusion offers a look at the challenges in pursuing Hispanic consumers, perhaps the hottest target in marketing today. The network scrapped the initial Latin identity after focus groups showed young Hispanics were put off by the idea of a television channel centered on their ethnicity, said Isaac Lee, head of news at Univision and CEO of Fusion. Univision’s anchor Jorge Ramos (55) was an obvious choice for Univision’s original concept, but the rest of the line-up captures Fusion’s unconventional approach to news and talk: an animated satire show, comedians taking on sports, a puppet talk show, and an evening program on sex and politics.

Fusion’s broader demographic makes for complicated marketing, since Lee and others say young Hispanics remain their primary target. “Imagine if you are doing archery,” Lee said. “The bull’s-eye, the red dot, is still an Hispanic. But the whole target is not just the red dot.”

The only way to reach [Hispanic millennials] is to provide fantastic content, and to include them.
–Isaac Lee, CEO, Fusion

 

FRANCE 24 (AFP) – Fusion touts itself as a channel aimed at “a young, diverse and inclusive America” and said it would offer “a unique mix of smart and irreverent original reporting, lifestyle and comedic content.” Fusion’s CEO Isaac Lee said that over 80 percent of millennials sleep with their phones next to their beds every night because they don’t want to miss a beat, so the new channel will try to respond to their media consumption needs.

We want to be the ones [young Hispanic millennials] wake up with. This beta site will help lay the building blocks as we continue to develop our digital properties.
–Isaac Lee, CEO, Fusion

 

What: Netflix is reportedly in talks with several cable TV providers, so as to become a staple in set-top boxes and not just online.
Why is it important: Cable TV providers may actually have realized that instead of fighting with online streaming services for audience, they can collaborate in an ever-changing marketplace. This will pose new challenges and opportunities for marketers and advertisers.

According to several sources, a number of cable TV providers, including Cox Communications, Comcast and Charter, are in talks with Netflix, reportedly to make it available on set-top boxes, therefore widening viewer access to its subscription service. In fact, Netflix shares soared nearly 8 percent Monday, when word of the talks first became known. Netflix and cable companies have been rivals, but by making the streaming service easier to access for consumers, cable providers may attempt to reduce the migration of viewers to online TV shows.

As stated in WSJ, Netflix, often viewed as an alternative to pay-TV, is already available on many devices. But the fact that cable companies are considering inviting it in suggests they no longer view it as a threat, as broadband, and not video, will be the source of cable’s future growth.

Netflix is one of the top sources of U.S. Internet traffic and a primary reason that consumers pay up for faster speeds. An app on the cable box will make it easier for existing pay-TV customers, many of whom already subscribe to Netflix, to watch while keeping them on cable.

Last month, two European cable companies –Sweden’s Com Hem and Virgin Media in Britain– struck deals to allow their customers to access Netflix through Tivo set-top boxes. David Wells, Netflix Chief Financial Officer, speaking at a Goldman Sachs investor conference last month, said that the company was willing to strike similar deals with U.S. cable companies.

As a matter of fact, having Netflix on cable boxes may pose a bigger threat to TV networks than to cable companies, according to Janney Capital Markets, because more people watching Netflix could mean the online streaming service would be paying networks more for their content, but making it more like another cable channel could mean TV ratings would rapidly decrease, threatening advertising dollars and potentially even affiliate fees.

TV networks could respond by pulling their content out of Netflix. However, that might not be a good idea, as subscription video on demand accounted for 5% of operating income for the six largest media companies in 2012, according to Sanford C. Bernstein estimates, a number that will likely grow over the next years.

According to WSJ, negotiations are in the early stages, with no deal expected soon.

For the time being, according to Reuters, after the success of political thriller “House of Cards”, Netflix has already ordered a new psychological thriller series from Sony Pictures Television and the creators of the FX legal drama “Damages.” The 13-episode first season, from the unit of Sony Corp, will premiere exclusively for Netflix members to watch instantly, the company said on Monday.

“House of Cards,” a sleek political drama from a small production company led by actor Kevin Spacey, was released in a similar manner by Netflix early this year. Its success with critics elevated the stature of programming delivered solely over the Internet, a field that is attracting the biggest names in Silicon Valley and a roster of A-list Hollywood stars.

Sources: The Wall Street Journal, ABC News, Reuters.