TV continues
to reign supreme, according to an updated Neustar research study commissioned
by Turner and Horizon Media. This extensive research study – originally
conducted in 2015 and updated this year, examines the effect of TV advertising
compared to other forms of advertising in the marketplace. Given the rapid
expansion of the media landscape and increased pervasiveness of programmatic
and digital video in just two years, it is important to compare and contrast
more frequently than ever.
According to the research, despite those advancements in
technology, new digital platforms, and changes in consumer behavior, TV remains the best vehicle for delivering a
brand’s message to a mass audience. The report states that “the new findings from a fresh set of
verticals (Movies, QSRs and Consumer Electronics) closely mimic the findings
from our original research, meaning that the effectiveness of TV advertising is
essentially unchanged despite the explosion of online media over that time.”
The study confirmed four important takeaways:
1.
TV is
Efficient. TV has the highest relative efficiency in achieving KPIs,
compared to other media whether offline or online. This means that at a given level
of spend, TV generates more business outcomes.
2.
Advanced
Analytics Optimizes TV Spend. Marketers should leverage high-frequency data
to quickly reallocate resources by TV type, network, creative, and day part to
significantly impact results.
3.
Premium
Streaming Content is More Effective than User-Generated. And, behavioral targeting
required the fewest impressions to generate an interaction.
4.
TV Offers
Significant Cross-Product Halo Effect For Advertisers. And, removing TV and implementing standalone
digital strategy had an average negative halo effect of -18% on ROI. For
example, TV advertising drives the highest increase of box
office sales and online engagement activities surrounding Movies with a 40%
bump in overall movie ticket sales when compared to organic search and social
media.
“TV advertising is undergoing an incredible data-driven
renaissance, fusing the best of digital’s targeting and measurement with the
best of TV’s premium content and reach,” explained Steven Wolfe Pereira, Chief
Marketing and Communications Officer, Neustar.
“Nothing beats the sight, sound and motion experience of TV and its
ability to truly capture attention and drive engagement. In a world where both brand safety and
business outcomes matter, I am extremely bullish about the future of TV. We’re just scratching the surface of what
addressable TV targeting and measurement can do,” he concluded.
“This research reaffirms
that television continues to be the biggest driver of marketing success today,
yet there remains a lot of room to grow even further as the industry and
consumer habits shift,” noted Beth Rockwood, Vice President, Portfolio Research
and Chief of Staff, Turner. “Recognizing that growth opportunity, Turner has
been one of the industry’s biggest proponents for reimagining the experience of
television – developing new audience targeting methods, as well as forging
innovative content partnerships, to deliver highly engaging, unexpected
experiences to fans,” she added.
The underlying methodology was based on econometric
regression techniques that establish the mathematical relationships between
marketing investments and sales outcomes by examining week-to-week sales volume
shifts.
This article first appeared in www.MediaVillage.com
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