"contemporary fiction" is an industry/academic term for a genre of literature, but not widely used in the TV world. I think they meant "contemporary fiction" in the sense of the production of the fiction is contemporary. As in the TV show is contemporary in its creation, but the setting is historical. I don't think that redefines contemporary outside of... contemporary usage and definition.

It makes the most sense in context, and the discussion is about a TV show and not literature.

Different nitpick: Mad Men first aired in 2007. Is an 18 year old show that stopped production more than a decade ago contemporary?