Fox News’ flagship morning show Fox & Friends is taking a bold leap in the battle for TV’s morning-show advertising dollars with a groundbreaking move that’s set to shake up the traditional TV advertising landscape. As the network grapples with increasing competition, insiders are revealing that the show is pushing for a more strategic approach to gain a bigger share of the morning TV market, with dramatic shifts in both programming and advertising partnerships.

The Gamble: Fox News Joins the In-Show Sponsorship Game

Courtesy of Fox News

To seize a greater share of morning advertising revenue, Fox & Friends has introduced a fresh advertising strategy—embedding sponsored content within the show’s programming. This significant move, still relatively rare on Fox News, will feature taped video segments highlighting product placement in a more integrated way than traditional ads.

Starting Wednesday, viewers of Fox & Friends will watch hosts Steve Doocy, Ainsley Earhardt, and Brian Kilmeade motor home in style—courtesy of Dodge. Each host will be shown in a Dodge Durango SRT, with the video segments showcasing the vehicle’s spaciousness for family and luggage as the holidays approach. Viewers will see Kilmeade traveling with his dogs in Massapequa, Earhardt outside the Fox News studio, and Doocy picking up his family in Jupiter, Florida. These segments will carry a message that they are sponsored by Dodge, directly tying the brand to the hosts’ daily lives.

While Fox & Friends has always had advertising slots, this move represents a deeper integration of brands into the show itself—something networks like NBC and ABC have done with their morning shows for years. For example, Citigroup sponsors Today’s summer concert series, and Toyota brings the “Eye Opener” segment to CBS This Morning.

Aims to Boost TV’s Morning Ad Revenue

This shift comes as MSNBC and CNN continue to battle Fox News for a larger slice of the highly coveted morning news audience. As advertisers look for ways to invest their dollars wisely, Fox’s new approach aims to differentiate the show and attract attention from a broader range of sponsors, including quick-service restaurants, movie studios, and retail brands. According to Fox News’ executives, this move is expected to bring in more advertising dollars from categories that have historically been more entertainment-focused.

These sorts of ad deals often require careful handling. Starbucks struck a deal with MSNBC in 2009 that put its name and logo alongside that of the network’s popular “Morning Joe.” Viewers grew accustomed to being told that the show was “brewed by Starbucks.” But there were some fraught moments, such as the time then-Starbucks CEO Howard Schultz appeared for a minutes-long interview with co-anchor Mika Brzezinski in 2011 without an on-air note from the hosts or the network that his company was a significant sponsor of the show.

“Viewers will get it,” says Collins, as the driving segments will be followed by an on-air “billboard” calling out the Dodge sponsorship as well as a traditional Dodge commercial. Fiat Chrysler, the owner of Dodge, was not able to make executives available for comment.

Fox News will typically not create these sorts of sponsorships around segments devoted to hard news and politics, says Collins. “We have very strong standards-and-practices guidelines.” But he notes Fox News offers regular coverage of softer topics such as health and wellness, home improvement and sports. “That’s where we can do this,” he adds.

Fox News has something to offer Madison Avenue’s morning advertisers. “Fox & Friends” delivers more viewers than most prime-time entertainment programs on other cable outlets – yet costs less than ad slots on broadcast-network morning programs. A 30-second spot on “Fox & Friends” cost $3,400 in 2018, according to Standard Media Index, a tracker of ad spending. Meanwhile, a similar unit in NBC’s “Today” went for $42,700 and one in ABC’s “Good Morning America” cost $34,800.

The Dodge sponsorship is one of the first alliances Collins, who joined Fox in May, is calling attention to publicly. The former CNN ad-sales executive , who was recently chief revenue officer at Viant, a digital-advertising firm owned by Meredith, is trying to snare new dollars for Fox News just as the nation is poised to enter the frenzied 2020 election cycle and Madison Avenue is grappling with the migration of live primetime entertainment audiences to streaming video. Many news programs command sizable live audiences and TV networks are likely to put a new spotlight on news offerings in weeks to come.

Fox News, which has typically focused on political commentary and hard news, is leaning into softer segments like health, wellness, home improvement, and sports to capitalize on these embedded ad opportunities. Fox & Friends offers a unique advantage here, as the show consistently draws more viewers than most prime-time entertainment programs on other cable networks, all while costing advertisers significantly less.

In 2018, a 30-second ad slot on Fox & Friends cost around $3,400, while the same ad spot on NBC’s Today show commanded $42,700, and one on ABC’s Good Morning America went for $34,800. This price difference gives advertisers more bang for their buck, especially as they look for ways to reach larger audiences without the hefty price tag that comes with traditional morning programs.

The Transition and Challenges Ahead

Despite the bold gamble, not everyone is convinced that in-show advertising will be a seamless transition for Fox. Executives have been clear that these embedded advertisements will not be part of hard news or political segments, as they have strong standards and practices in place to ensure credibility. However, softer segments like lifestyle content, health, and home improvement will be where these new ad strategies flourish.

Jeff Collins, executive vice president of ad sales at Fox News, highlighted that this partnership with Dodge and future in-show sponsorships could dramatically change how brands engage with Fox & Friends viewers. “I think you are going to see a lot more from us in this area moving forward,” he said, signaling that this is just the beginning of Fox News’ revamped advertising approach.

While the idea of embedding advertisers into a show may seem like a no-brainer in an era of evolving media consumption habits, it also presents significant risks. One issue is ensuring that viewers don’t feel manipulated by the heavy presence of brand content. Previous attempts at branded content in the industry, such as the Starbucks partnership with MSNBC’s Morning Joe, have faced criticism when the corporate ties weren’t clearly disclosed.

The Pressure on Fox and the Larger TV Landscape

Fox News is facing mounting pressure from the competition in the cable news industry, especially with rival networks like CNN and MSNBC working hard to win back lost viewership. The network is under the microscope as its hard news programming has been scrutinized over the last few years, particularly with some of its more controversial anchors. However, the integration of sponsored content into Fox & Friends is part of a broader strategy to make the network more adaptable in a shifting media landscape where digital consumption is king.

In light of its ratings challenges, this strategy is part of Fox News’ broader push to secure future growth. As media consumption habits continue to change, advertisers are increasingly pulling away from traditional cable to target younger, more diverse audiences. By embedding brands into morning programming, Fox News hopes to reach these crucial demographics while still holding onto its loyal audience.

The Road Ahead: A New Chapter for Fox & Friends?

As the Fox & Friends team embarks on this new phase, questions remain about how viewers will respond to the increased integration of advertising into the show. Will this move alienate Fox’s core audience, or will it help the network gain traction among a new generation of viewers?

The success of this bold strategy will depend on how seamlessly Fox can balance viewer loyalty with the growing demand for brand partnerships. As competitors such as Good Morning America and Today already utilize these embedded sponsorships, Fox’s attempt to replicate their success could be a defining moment for the network’s future.

In the end, Fox & Friends is playing a high-stakes game, betting on its ability to evolve with the times and maintain its place at the top of the cable news market. Whether this strategic push pays off remains to be seen, but one thing is clear: Fox News is not backing down in its battle for the morning show market—and the entire television landscape will be watching to see if this gamble will pay off.