What I’ve done with this post is, I’ve taken some common myths associated with TV and tried to use the data from my analysis to disprove it. Instead of the just showcasing the results, this would be another way of looking at the data which will hopefully give you an idea about how data can aid with story telling.
In my research on the most common misconceptions about TV advertising, I came across a lot of common themes most of which lacked enthusiasm and had a mild sense of despair. Well, is that true? Let’s find out.
MYTH #1 – TV is dead: On the contrary, TV is alive and kicking. However, this is probably most commonly heard phrase in the advertising world. While, this may be partially true it is often misunderstood. Digital, especially mobile, has been the fastest growing medium but isn’t looking to be a threat to TV in the near future. TV accounts for 40% of the global ad spend currently and is only expected to drop a few percent points by 2017
By 2017, TV will still account for more than third of the ad spend while digital and mobile slowly try to catch up. On the other hand, it is safe to say that print medium is slowly becoming extinct as newspapers and magazine publishers have moved on to the digital world
MYTH #2 – No one watches commercials anymore: As much as we all want to believe this, this isn’t true and I have evidence to prove it. With the growing popularity of Netflix, Hulu, etc. and people consuming DVRed content you would expect this. However, people are watching your ads and in fact, a whole lot of them are interested in you.In the above example, an e-commerce business, saw a 23% lift in site traffic and 31% lift in new visitors after the spot aired on TV. That is roughly about 100K visits and 90K new visitors. In addition to this, there was 16% lift in search traffic and an 11% decrease in bounce rate. Not only does TV drive volume of traffic, these users are highly engaged. Enough said, moving on!
MYTH #3 – Second screen viewing may be true, but people aren’t paying attention to your brand! They are catching up on social media: TV consumption has changed so much over time, that second screen viewing has become the norm now. The fact that website witnessed 100K incremental visits is proof enough that people are multi-tasking as they are watching your commercials, but here is some more evidence based on the devices they are using
As you’ll see there is a lift is site traffic across all devices with Mobile and tablet witnessing a bigger jump in site metrics and accounted for 71% of the incremental traffic. Here’s quick tip: It is time to get your site mobile-friendly or risk losing all the precious traffic you are driving through your marketing efforts
MYTH #4 – ROI can’t be proved: Most often ROI gets tied to bottom line revenue but not all media is created equally. TV is an awareness medium and has a long-term impact rather than a short-term ROI. However, ROI doesn’t necessarily need to be revenue driven. If you are able to maximize the efficiency of your current campaign or make optimizations for upcoming campaigns, that is also a form of ROI.
From the example above, it is very clear that certain channels are more efficient in driving site traffic and new visitors than the others. For example, we know from this campaign that Hallmark Channel (HMC) is not an efficient partner while the likes of FOOD Network and A&E are both cost-effective and drive volume.
Similarly, based on the day part mix, Morning is not as effective as some of the other day parts. (NOTE: Late Fringe and Over Night were mostly added value) You could also look at other variables such as creative, spot length, device type, etc. to add more dimensions to your analysis. If this isn’t ROI, what is?
MYTH #5 – TV is too expensive: This is a popular belief and probably the one that you’ve heard the most. The above example is a great indication of why that might not be true. If I am running a TV campaign and acquiring new visitors for less than $13 per user, I think that my campaign is doing a good job. If you do a cost per visit analysis across all your paid channels, you might find that TV is probably on the higher end but it is introducing people to your brand which costs you more. Additionally, these self selected audiences tend to be more engaged with your content. With an integrated marketing campaign, you would be able to retarget these new users via other channels such as display. TV, in this case is essentially feeding your funnel with prospects.
With the advancements in technology and the ability to get very specific with your target audience, TV could potentially deliver more bang for your buck. A good agency should be able to do this for you!
So, here you have it – the top five myths debunked!! It is now your turn. Refer to my earlier posts on how to get started with this and share your findings.