An odd thing happened on the way to the Interactive Advertising Bureau’s Annual Leadership meeting… it was all about TV. This year’s event was truly more television-centric than ever, from the main-stage presentations to the breakout session topics, new advancements in TV were top of mind for all. It reflects the speed at which the linear television world and the digital world are coming together, a promise that if delivered on, will enable the industry to deliver better outcomes for marketers by combining the best of linear with the best of digital.
“I’ve never seen so many #TV people in the audience at #IABALM in my dozen years of attendance.” Bob Ivins, Chief Data Officer, NCC Media
This reflects the reality today that all video plans encompass everything from linear to Addressable, #OTT, digital, FEP’s, social etc. pic.twitter.com/XRw1bdJROY
Solving for attribution, cross-screen measurement, digital and linear unification, audience-based and addressable execution: these are not just buzz-phrases, but they are also real opportunities with tangible outcomes that are key to the industry’s ongoing evolution. In FreeWheel’s breakout session, “TV & Video 2019: Reversing the Fragmentation,” panelists from NBCU, Turner, Magna Global and Dentsu Aegis shared how their respective companies are addressing changing consumer behaviors by developing new capabilities to leverage data, removing internal siloes between linear and digital teams, and marrying the best of traditional television (reach, quality and engagement) with the best of digital (data, targeting, attribution and ease of buying). TV’s disruption is forcing the industry to modernize and counter the threat of the digital platform companies, but at the same time, not forget the importance of keeping the consumer (experience) front and center as competition for their media time intensifies.
The power of television isn’t just for more traditional brands with big advertising budgets, TV is increasingly becoming a medium that the direct-to-consumer brands are turning to in order to broaden their audience beyond social and digital channels. As Jay Nielsen, SVP, Global Planning at Nielsen shared in, “The Cross-Platform Insights Every Influencer Will Cite This Year,” TV’s drives 8x the impressions over digital to advertising campaigns focused on the 18-49 demo.
Beyond an effective medium to reach new audiences, direct-to-consumer brands are also seeing a clear correlation between increasing spend on television and sales. For example, in 2014 – 2015, Dollar Shave Club increased their TV ad spend and outspent Gillette on TV ads $64.5M to $43.4M. As a result, that’s when they took a commanding lead in the online razor market. However, to take real advantage of the direct-to-consumer opportunity, television has to simplify how it is transacted. Direct-to-consumer brands who have grown up on platforms like Instagram won’t settle for anything less.
Even the digital platform companies recognize the unrivaled value television brings to the table. According to new data from the Video Advertising Bureau, FAANG (Facebook, Apple, Amazon, Netflix and Google) have more than doubled their annual TV advertising investment in 2018 over 2015.
TV remains resilient because it is a trusted, transparent and accountable medium that delivers results for brand marketers. Though some may have historically pegged us IAB attendees as the disruptors, in reality, we are the unifiers. We’re here to make sense of the fragmentation that consumers are leaving in their wake and come together to solve hard problems that if overcome, will enable a healthy television ecosystem that’s good for all constituents: marketers, advertisers, publishers, and most importantly the consumer.