File #: 2021-0783   
Type: Contract Status: Consent Calendar
File created: 12/1/2021 In control: Board of Directors - Regular Board Meeting
On agenda: 1/27/2022 Final action:
Title: APPROVE a long-term advertising purchase, up to 12 months, at Culver City Station from HBO, generating up to $400,000 plus, estimated net revenues for Metro. This is not a title sponsorship, and will not affect Culver City Station's title nor the adjacent private property's title, Ivy Station.
Sponsors: Board of Directors - Regular Board Meeting
Indexes: Advertising, Budgeting, Contractors, Contracts, Culver City, Culver City Station, Intersections, Labor, Metro Rail E Line, Policy, Purchasing, Safety, Strategic planning, Westside Cities subregion, Westside/Central Service Sector
Attachments: 1. Attachment A - Commercial Sponsorship and Adoption Policy, 2. Attachment B - HBO Advertising - Culver City
Related files: 2022-0109
Meeting_Body
EXECUTIVE MANAGEMENT COMMITTEE
JANUARY 20, 2022

Subject
SUBJECT: LONG-TERM ADVERTISING - CULVER CITY STATION

Action
ACTION: APPROVE RECOMMENDATIONS

Heading
RECOMMENDATION

Title
APPROVE a long-term advertising purchase, up to 12 months, at Culver City Station from HBO, generating up to $400,000 plus, estimated net revenues for Metro. This is not a title sponsorship, and will not affect Culver City Station's title nor the adjacent private property's title, Ivy Station.

Issue
ISSUE

In compliance with the Commercial Sponsorship and Adoption Policy, 'station activation' advertising beyond 90 days require Board approval (Attachment A). Staff is bringing to the Board's attention a request for long-term advertising and activity from HBO at Culver City Station on the Metro E Line (Expo). Approval of this long-term advertising purchase will authorize Metro's rail advertising broker, Intersection, to manage the extended 12-month purchase and advertising activities stated in this report.

Background
BACKGROUND

In February 2021, the Board approved the Commercial Sponsorship and Adoption Policy. The policy enables Marketing Communications to establish a sponsorship program to generate additional revenues for the agency.

Discussion
DISCUSSION

Findings

HBO has moved their corporate headquarters to the newly completed Ivy Station - a mixed-use complex adjacent to Culver City Station on the E Line; and has purchased a station activation beginning fall 2021. Metro's rail advertising broker, Intersection, has also been coordinating with HBO on purchasing long-term advertising beyond the maximum 90 days as authorized in the current advertising contract - the inquiry in summary:

* Buyer: Home Box Office, Inc (media and entertainment company)
* Duration: HBO previously entered into a 90-day agreement with Intersection for advertising at Culver City Station. Approval is now sought to extend the program for an additional nine months beginning in early...

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