/// Zaslav: Discovery Banking on CPM Gains
On Thursday morning's Q4 earnings call, Discovery Communications CEO David Zaslav told analysts in no uncertain terms that he expects to realize greater profits over the next few years by raising ad rates. “I think you'll see over the next couple of years that that'll be the sustained wind at our back,” he told analysts. Advertising, Zaslav said, is the domestic revenue stream that still has room for growth. Discovery has seen affiliate fees rise steadily, and it has renewed series more steadily over the last few years. “We have subscriber growth flat in the US, we have viewership flat in the U.S.,” said Zaslav frankly. “The one advantage we have at our back is that there's a 30% CPM differential between broadcast and cable.” The hard-charging CEO pointed to Gold Rush , a Discovery Channel show that has occasionally beaten out every show on television and regularly outperforms the lackluster new scripted offerings on broadcast (last Friday, the only prime-time broadcast show to equal
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