Programmatic TV: The multi-billion-dollar ad tech that’s transforming television

Posted by admin on June 13, 2016
Uncategorized / No Comments

In terms of advertising, the differences between television and digital video are slowly becoming indistinguishable. Already a buying staple in digital media, programmatic TV offers “data and automation to precisely target specific consumer audiences”. With expectations to become a $17 billion dollar opportunity by 2019, there are some exciting advantages coming soon to the advertising industry.

So what does programmatic TV mean for advertisers? Advertisers have been limited to directing their campaigns based on age and demographic information but programmatic TV will also allow audiences to be targeted by geographic location, household income, etc.

“As television and digital video continue to converge, we move a little bit closer to video advertising’s holy grail: The ability to purchase premium inventory aimed at select audiences with a single media plan that covers television, mobile and desktop devices.”

To learn more, read the Recode article here.

Increased ‘Upfronts’ Spending Revives Confidence in TV Advertising

Posted by admin on April 29, 2016
Uncategorized / No Comments

The consumer trend known as ‘cord-cutting’ has caused ad-sales to decline in the past but this year, the “upfronts” sales period shows strong potential for Broadcast and Cable networks. Despite the drop in total ad spending over the past few years, “media buyers and analysts suggest commitments could rise 3% – 5% in this year’s upfront market”. One reason for this resurgence involves the advertisers who decreased spending during the upfronts last year and ended up paying up to “20% premiums for commercial time later in the year”.

There have also been some concerns with digital advertising and the transition back to television could be one explanation for the increased TV ad-sales. Marketers have had issues with “fake web traffic generated by computerized ‘bots’ and the lack of consensus on how to judge when a digital ad is considered viewable”. Although live viewership has declined throughout the industry, “the greatest strength of television remains its ability to reach large numbers of people simultaneously”.

To learn more, read the Wall Street Journal article here.

Spoiler Alert: A Playbook for Marketing in the Era of Live Media

Posted by admin on March 30, 2016
Uncategorized / No Comments

The shift in media consumption from live programming to on-demand/streaming platforms has given consumers more options and control than ever before. While the majority of viewers choose to watch regularly scheduled programs at their convenience, “marketers have made live media events such as the Super Bowl and Oscars nearly unrivaled opportunities to strike advertising gold”.

Within the past few years, GE has shifted its media strategy to focus on “live sporting events and award shows, as well as zeitgeist moments such as season premiers and finales”. With 92% of their advertising budget spent on live programming, GE has seen nothing but positive results. “Industrywide, live programming over-delivered primetime’s regularly scheduled programs by as much as 416% among 18-49-year-olds in 2015”.

Although some broadcasters haven’t modified their strategies to reflect new audience dynamics, networks like Fox have announced they will only recognize live viewership ratings for live events such as sports. “Overnight ratings aren’t the only metrics that matter and changing the conversation starts with abandoning legacy models of measuring”.

The previous methods of live audience measurement are outdated as the industry works toward the combination of digital and television platforms. Just as media buyers need to rethink their planning, networks also need to reconsider their programming and events that court live viewership. For Direct Response advertisers, this could mean more inventory in other programming at discounted rates.

To learn more, read the Ad Age article here.

Expanding Consumer Choice in the Video Marketplace

Posted by admin on March 01, 2016
Uncategorized / No Comments

The FCC has recently approved a proposal that has potential to offer consumers subscription-based alternatives to their cable box. “Instead of having to rent the box from, say, Time Warner or ATT Uverse, you will be able to add that subscription onto your Apple TV, Fire TV, Android TV and Roku boxes.”

If passed, the proposal will inevitably decrease rental fees by introducing cable companies to some much-needed competition. The FCC’s summary of the proposal stated, “Consumers should be able to choose how they access the cable or satellite services to which they subscribe.”

This proposal shows the power of streaming content as industry standards continually change to favor consumers who are ‘cutting the cord’ between outdated and expensive cable providers.

To learn more, read the FCC Blog here

Nielsen Launches ‘Social Content Ratings’

Posted by admin on February 09, 2016
Uncategorized / No Comments

Nielsen has recently announced plans to expand their digital rating system by launching the ‘Nielsen Social Content Ratings’. The program currently measures TV related conversations across Twitter but will soon include Facebook and eventually, Instagram. “Nielsen’s Social Content Ratings will be the first solution to measure aggregate-level program-related conversation”.

Television content has become a multiplatform media landscape. Nielsen has responded to industry needs by adapting their services to “reflect the total audience across screens and platforms”. By using these measurements, Direct Response advertisers will soon be provided demographics across social media to compliment the viewing numbers already reported by Nielsen.

To learn more, read the Nielsen Press Release here.

TV’s Big Broadcasters Post Biggest Quarterly Ad Sales Gains in 4 Years: Third-Quarter Results Surprisingly Strong

Posted by admin on December 11, 2015
DRTV Direct Response Television / Comments Off on TV’s Big Broadcasters Post Biggest Quarterly Ad Sales Gains in 4 Years: Third-Quarter Results Surprisingly Strong

“The national TV ad sales market showed unequivocal growth in the third quarter, as higher upfront pricing, a burgeoning scatter market and a new football season conspired to power broadcast’s first organic growth spurt in four years.”

Despite predictions and trends gravitating toward on-demand content, this third-quarter growth in sales demonstrates the strength TV advertising still has on the industry. “We are excited to see a positive national TV advertising data point…and we will wait to see if TV advertising in Q4 can build upon this trend to signal any real lasting improvement.”

To learn more, read the Ad Age article here:

TV vs. Facebook

Posted by admin on October 29, 2015
Social Media Direct Response / Comments Off on TV vs. Facebook

The social media giant, Facebook, has recently released a study claiming their platform reaches more millennial and Hispanic consumers than TV. What this study fails to mention, however, is that only the top 10 TV networks were measured against Facebook, omitting the other 100 networks Nielsen tracks. With 70% of millennials viewing programs on those other networks, it’s easy to see how the omitted statistics influence results.

“Facebook said marketers could reach just 12.2% of millennials through a TV-only plan…because 70% of the viewers aren’t being counted. The actual numbers: TV reaches 88% of millennials (adults 18 to 34) monthly, and 77% of them weekly” (Nielsen, May 2015).

In an attempt to uncover more accurate data, the publication Advertising Age conducted an independent study that suggests, “On a monthly basis, millennials watch 64 hours of TV, while they spend 23 hours with Facebook.” While social media has certainly added new platforms for the advertising industry, TV still has the most potential to reach target audiences, including millennials.

To learn more, read the Ad Age article here.

Sling TV

Posted by admin on October 05, 2015
Technology / Comments Off on Sling TV

The way television gets viewed has been greatly affected through the gradual merger with Internet technology. With this advancement, new business opportunities are constantly being introduced to Direct Response advertisers. One such example is Direct TV’s answer to consumer demands for Internet-only service called, Sling TV. With this low-cost monthly subscription, Sling TV offers users a collection of cable TV channels on their TV’s, computers or mobile devices.

Although Sling TV offers users an alternative to cable, advertisers are still crucial to the funding of Internet/TV technology. Sling TV will still have the same commercial breaks and national ads as the standard channels delivered via cable or satellite. In addition, most channels function in the same way as live television and do not allow users to pause, rewind or fast-forward commercials. Sling offers Direct Response advertisers an answer to the problem of reaching cord-cutters who still want to enjoy network television on their own terms.

To learn more, view the Sling TV website.

 

 

The Election Bowl

Posted by admin on September 11, 2014
DRTV Direct Response Television, Television Networks / Comments Off on The Election Bowl

Our favorite time of the year for commercials is fast approaching. Sorry I’m not talking about the Super Bowl. Stations are gearing up for the mid-term elections this November to expand coverage regardless of the fact that it is a non-presidential politics year.

Broadcasters are placing more emphasis on fact checking and fairness rather than acting as another outlet for talking points this election season. For example, the NBC affiliate station in Harford, CT, WVIT, has launched a new half-hour Sunday morning political show that will air weekly before Meet the Press through November 2. While broadcasters are looking to increase election coverage, they will be careful not to overdo it.

To learn more, read the three part special report on election coverage at tvnewsweek.com.

~ Sarah Thaler

Tags: , , , ,

“C-Zero:” A New Ad Sales Strategy

Posted by admin on September 04, 2014
DRTV Direct Response Television, Television Networks / Comments Off on “C-Zero:” A New Ad Sales Strategy

As competition for commercial airtime continues to rise, one network has developed a new ad sales strategy to stand out in the marketplace. Scripps Networks is to begin selling ads in what it is calling the “C-Zero” window, where commercials will be seen live or on the same day they air. Scripps networks include Food Network, HGTV and Travel Channel.

Recently, broadcasters are observing more viewers watching programming on a delay, due in part to the introduction of new technologies and DVR. Because several of Scripps’ networks are predominately watched live, its “C-Zero” strategy is appealing to advertisers who want their commercials seen right away. Timely commercials such as movie trailers or retailers promoting holiday specials can benefit because it gives these businesses another platform to negotiate on.

To learn more, view this AdAge article.

~ Sarah Thaler

Tags: , , ,