Television

Why do advertisers spend so much on television advertising?

Bruce Goerlich, Rentrak

The historic patterns of spending, rates, reach and success are why advertisers continue to spend heavily on TV. The broad reach and creative impact of sight, sound and motion still work. Obviously, the Internet is powerful as well, but paradoxically the immediacy of the metrics can limit the amount spent. If one is using a click through or sell through rate as the ROI, it can limit the absolute out of pocket that one is willing to spend, particularly if the response rates are low.

Cheryl Esken, Weigel Broadcasting

The video component, the ability to show the actual product/service and/or usage is a big factor. And, television is a great way to promote an advertiser’s website which is where so many go before they go to buy/shop.

Justin Fromm, ABC TV

TV has the trifecta: sight, sound, and motion, all of which break through to viewers more. TV viewers are also more likely to be relaxing and are therefore more receptive to advertisers’ messages. Finally, people spend more time watching TV every day than doing any other activity, excluding sleeping!

Michael Vinson, Rentrak

TV is still the best broad reach vehicle. Online offers better targeting capabilities, but for getting a message out to as many people as possible, TV is still the best way to do it. 

Media Buyer

Clients still need to establish a big reach very quickly with their advertising, and television is the only medium that does that.

Julie Petersen, Discovery Asia

It really is the only way to achieve guaranteed critical mass (reach) within a specified time frame. It is also the best medium to showcase creativity. There is a direct correlation between strong advertising creativity and business success, and that high levels of creativity make advertising campaigns as much as 12 times more efficient at increasing a brand’s market share.

Ward, Comcast

In today’s world of technological overload, human attention is becoming a scarce economic resource. The electronic hearth of TV is still the one place advertisers can capture human attention and engagement.

Billy McDowell, Raycom

If you stop and think about the goals of all major advertisers—it is to reach as many people as possible, as many times as possible, with the most effective message on the most effective medium. Television accomplishes these goals like no other medium can.

Television is known as the best vehicle for reaching more audience. Time after time, it has always proven to be the medium with the most impact, the most authoritative, the most influential, and the medium people spend most of their time with.

Now television has engaged digital media to extend its reach and influence to the viewers. Look how many websites have flourished with the right television support. Super Bowl spots, with the right creative, can have a life of their own on the Internet before/during/after the game. Again, that raises the ability of the spot to influence viewers and it all begins with a television buy.

Melva Benoit, Fox TV

Television will always be the most effective and powerful advertising platform because of mass appeal. Even with fragmentation in television viewing (so many choices), it (the fragmentation) still doesn’t rival the fragmentation of the Internet/web. Television is a communal experience that is still hard to beat. Gathering my family of four around the iPad for more than 1 minute of viewing video is a drag and impractical.

Kristina Lutz, Clear Channel

I think it is twofold. First, the ability to deliver engagement via sight, sound and motion, at scale, is hard to replicate elsewhere. Second, my personal opinion is that some advertisers gravitate to the media they, themselves, use most.

What would you say is the biggest change in television in the past five years (programming or advertising)?

Kristina Lutz, Clear Channel

The delivery of content—now via broadcast, cable, on demand, online—as well as the vehicles with which to consume—TV, computer, tablet, phone.

Billy McDowell, Raycom

Both locally and nationally, the digital media explosion has been the biggest change in television in the past five years. All companies are actively seeking new forms of distribution for their products. Early thought was these new forms of distribution would cannibalize the established media, but the opposite has occurred.

Ratings for big events on television have soared to all-time highs, including Olympics, Superbowl, Academy Awards, and the Grammy’s. Particularly, in the case of the Olympics, it was feared the widespread knowledge about winners and losers of the day prior to the event being aired on television would have a definite negative impact on ratings. After the games, however, it was proven that the discussion and involvement of the fans following the games on the Internet only helped to fuel the interest and viewership each evening.

Bruce Goerlich, Rentrak

The adoption of the C3 as the unit of currency in TV buying. The first time that a new technology has forced its way into the negotiation table. And it probably won’t be the last.

Cheryl Esken, Weigel Broadcasting

. . . in terms of advertising, clients are requesting many more integration opportunities: product placement, sponsored content/sponsored news stories, on screen scrolls with sponsor logos. All ways to grab the viewers’ attention outside of a commercial break.

Justin Fromm, ABC TV

Time-shifted viewing is, by far, the largest change in television because it has fundamentally changed viewers’ behavior. People now expect to be able to find a show when they want to watch it and are no longer constrained by a network’s schedule.

Andrew Ward, Comcast

. . . I think the biggest change in recent years is the ability for cable networks to provide more compelling content that appeals to viewers in a more significant manner than the broadcast networks. I think much of the broadcast network fare has narrowly migrated to “reality TV” (Survivor, The Voice, Dancing with the Stars, etc.), while cable networks have been free to develop content that isn’t hindered by the goal of trying to reach the broadest audience possible.

What is the most important unanswered question for advertisers about television?

Bruce Goerlich, Rentrak

How much of my target am I reaching with my campaign? Rentrak’s use of advanced targeting that aligns product purchases with TV viewing provides the answer.

Cheryl Esken, Weigel Broadcasting

Measurable impact. We know that they can get impressions, and a great deal of demographic and psychographic information, but measuring and tracking have become more complicated. Most consumers go online before they go into a location/store/dealership etc. . . . so it is becoming tougher to track where the customer actually came from.

Media Buyer

Quantify the halo effect/ROI of television advertising on all of the other forms of media I advertise in?

Julie Petersen, Discovery Asia

I don’t believe the measurement is accurate enough. Technology has advanced to the stage where we should be able to measure huge samples relatively cost effectively but the investment isn’t there.

What is the most memorable TV commercial you have seen in the past five years?

Manish Bhatia, Media Executive

Not counting Super Bowl, Progressive Insurance (Flo), Geico and Aflac—all insurance companies! This is quite interesting as they all have similar products—and when you buy it, you hope you never have to use it.

David Hamlin, RadioShack

Hands down the VW Star Wars spot http://www.youtube.com/watch?v=R55e-uHQna0. Spoke to me personally since I am a huge Star Wars fan and at the time this spot aired early 2012... I was in the market for a new car that would get me kickass gas mileage to endure the 40-mile commute to Fort Worth each work day. Result: I bought (actually ordered and bought) a 2012 VW Passat TDI that gets 45 miles to the gallon!

David Marans, Veteran Agency Researcher

I could watch the VW/Darth Vader commercial daily.

Jamie Arvizu, Mindshare

There are many memorable TV commercials, sometimes for the wrong reasons, and many where you remember the ad, but not the product or brand itself, but a commercial from 2011 that I think was memorable in a positive way, and that effectively helped you remember the brand was one for Chipotle called “Back to the Start.” The slower pace and extended length of the spot, combined with interesting animation and music, and an easy-to-understand storyline helped it to stand out among the clutter of TV ads. The way that they showcased the ideals of the Chipotle brand, without directly talking about the product, was very impactful, without the hard-sell; a refreshing change from the norm that stood out to consumers.

Radio

Why is radio important to advertisers? 

Cheryl Esken, Weigel Broadcasting

It is a medium that has the ability to create a relationship with the listener, especially if there is a personality involved. Also, there is the ability to target by format which narrows the audience to meet the profile of the advertiser’s target.

Lucy Hughes, Advertising Industry Professional

Radio is important to advertisers for a number of reasons. It provides strong reach of your target audience with local activation. It has a connection with the local community that is unmatched by other media. It pushes consumers through the decision-making process, driving awareness, consideration, interest and purchase. It is often the last media consumers use just prior to purchase.

What is the biggest advertiser benefit to radio?

David Phillips, BBM Analytics

Good radio ads encourage consumers to create a picture in their minds, effectively co-creating an ad but in a way that’s unique to them. That co-creation has a powerful impact on branding. Unfortunately, not all radio ads are good.

Cheryl Esken, Weigel Broadcasting

A captive audience when listeners are in cars. With enough frequency, the advertiser is bound to make an impression on a potential customer. Taking advantage of “live reads” can also help the advertiser stand out from a crowded commercial break.

What is the biggest drawback to radio for advertisers? 

Cheryl Esken, Weigel Broadcasting

The lack of video. It is so important to offer customers a website to go to for a particular business, that even if a website is mentioned in a radio commercial, it may be tough to remember, spell and/or visit . . . as it is likely the listener is driving or doing multiple tasks as the commercial is running.

What is the most important unanswered question for advertisers about radio?

Cheryl Esken, Weigel Broadcasting

What is the “magic number” of spots to run, and in which dayparts, are the best, for a particular brand to see measurable results.

Lucy Hughes, Advertising Industry Professional

One of the most important unanswered questions about radio is how it delivers the return on investment. With the transition to electronic measurement (PPM), we now have the data granularity that modelers need. Initial tests showed solid evidence that more granular and precise radio audience data can help improve the evaluation of radio’s performance—radio’s ROI improved from 27%–78% in three modeling case studies.

David Phillips, BBM Analytics

The same question as most other media: i.e., does it do what I need it to do from a business perspective? It’s still essentially unanswered.

How has the use of the PPM changed the way radio is planned/bought? 

Lucy Hughes, Advertising Industry Professional

PPM forced us to rethink how to plan and buy radio. We went from a diary system that was based on recall, quarterly ratings, 12 weeks of sample per survey to an electronic measurement based on passive exposure, ongoing incentives based on how much the panelist wears the meter, monthly ratings and a panel that is made up of respondent up to 2 years. We learned radio was a strong cume medium. We learned more about dayparts (one key one key change we saw was that radio’s top rated daypart changed from midday to p.m. drive). And we have learned a lot about programming and what keeps listeners tuned to the station. 

Newspaper

How often do you read a newspaper?

Mark Baba, Integrated Advertising and Brand Partnership Director

If you are referring to a real tactile newspaper—I used to read two papers daily. Now, I am a Sunday-only, with true consistency. The free newspapers are convenient, but, again, I find myself relatively unfulfilled with the content.

When did a newspaper ad (display, classified, etc.) affect a purchase you made?

Mark Baba, Integrated Advertising and Brand Partnership Director

...it is impossible to truly determine what media helped push one through the funnel. In the old days, a vacation package, an auto purchase or retail sales ads affected my direct call to action. Now, it may drive me to the store or, more than likely, the web. Again, there is something to be said about a media mix.

Magazines

Why is print still a relevant ad medium?

Beth Uyenco, comScore

The information magazines and newspapers carry can be just as easily accessed digitally through different devices. But there’s still a certain satisfaction readers get with their favorite magazines which other devices or modes of consumption cannot provide. And in other countries, particularly in Latin America, print is still the primary mode for consuming information.

Karen Ring, GfK MRI

We hear a lot about consumer control and print has always been about that. Readers make an active choice in what they read—articles and ads alike. Publishers spend a lot of time and money understanding their readers and actively trying to provide them what they want. So as their readers’ interests grow and change, publishers can adapt along with them. 

Tom Willerer, Netflix

Because an advertiser can arguably create a better emotional association with consumers, via visually striking full page ads and by sponsoring relevant long-form reporting. 

Chauncie Burton, Essence

As much as technology evolves and digital becomes a stronger medium with a huge reach, there will always remain a connection and a certain sense of nostalgia that comes with actually holding and reading a print publication. Print will never go away. The marketplace may get smaller and consumers may utilize multi-media aspects to connect with print but there’s still a core demographic that will still find print relevant and consequently look at the advertiser as a trusted source by association with the publication.

Out of Home

What are the major benefits of out-of-home media?

Clare Marie Panno, Posterscope

If I have to provide quick bullets, I’d go for mass reach, delivers light users of television, capitalizes on technology, cost efficient, timely, can build intrigue and can be strategically used for behavioral and local targeting. OOH is accessible to just about everyone, and provides a continuous presence. National advertisers build and maintain brand ubiquity with OOH. Though it can be highly targeted, OOH can also reach across the limitations of TV dayparts and programming, radio stations, missed pages in print, and build instant awareness. We used to say, when consumers go out, to work, shop, or play, OOH is on the way. With the significant technologies, this is ever more accurate. NFC, QR codes and geofence technologies have enabled a new kind of interactivity, enticing consumers to interact physically with the displays and further engage with brand offerings. The daily exposure and constant build of impressions results in the lowest cpms. In the media mix, OOH reaches the light viewers of television, adds frequency of message exposure against those who see the ad on TV. Digital OOH extends TV’s reach and can use the same creative, but delivering the impressions in places where consumers will visit a website, or download an app, or even make a purchase. With the converting of static signs to Digital, there is a move to serve impressions by dayparts. Now OOH can be strategically used to reach targeted consumers in contextual places, at the grocery check out, the pediatrician’s office, specific terminals at the airport, at the movies, gyms, at recreation centers and little league fields. OOH can be used to target consumers where they go, where they notice ads, and at a time when they are in the mindset to act on the communications.

Internet

What is the most exciting opportunity for advertisers in Internet advertising? 

Conrad Nussbaum, Saatchi LA
Attribution modeling. Giving proper credit to the entire stream of behavior the customer has completed prior to (pick one) visiting a website, subscribing, buying, whatever—rather than focusing on just the last click. 

Beth Uyenco, comScore
The Internet can deliver brand messages in the most contextually relevant and most personal ways. It enables deeper engagements through interactive content or by fulfilling users’ need for information, acquisition, or sharing. Internet advertising can also be continually optimized because actions of users reached are so much more easily trackable in real-time. All these attributes make the Internet the most dynamic advertising medium.

Dan Murphy, Univision
Currently it’s probably Data, Mobile and Social (first to last). Data is expanding rapidly, but it needs transparency and accountability. Mobile, because it is a new and evolving medium with smaller format screens and associated constraints. Social, because consumer adoption and associated behavior continues to mature (e.g., ~2% of users are actually tweeting about TV shows on a regular basis.)

Tim McAtee, IPG
This is sort of a loaded question. “Internet advertising” is pretty quickly just becoming “advertising.” A 30-second spot that runs on Hulu is as much an Internet ad as a banner or paid search link is. So, from that perspective, the most exciting opportunity in Internet advertising is that it’s absorbing all other advertising.

Drew Lipner, InsightExpress
I believe depth and richness of data today has created a shift from media planning to data planning, and we will see much greater (perhaps scary!) use of offline data informing online targeting. As an example, we are able to measure delivery against targets like car ownership, site visitation, and offline catalog subscription today. . . and target to these consumers as well. It’s quite amazing.

Christian Kugel, AOL
The promise of interactivity. The Internet is by definition interactive—it’s the value proposition to the user. The manifestation of that interaction varies depending on context and design (gaming, consuming news, social, email, sharing via Pinterest, etc.), but interaction is the hook. And it’s still relatively constrained to the Internet (if you count phone/tablet extensions as the Internet). The ability to interact with and manipulate a message, an offer, a video, etc. is huge and really unique.

Michael Hopkins, Doubleclick
Lots of things are exciting to me so it’s difficult for me to pick one. The increased use of sophisticated audience data for targeting/analytics, the shift to programmatic buying/selling, and the proliferation of mobile devices/tablets all make for some great opportunities that supplement pages/banners/clicks.

Yaakov Kimelfeld, Compete
Realization that the Internet is not a separate medium but an underlying fabric of all digital media—display, search, mobile, social (earned and owned), digital OOH, Smart TV—and soon will be the connector of ALL media as they all become digital. This brings unimagined opportunities for a scientific approach to advertising, strategy integration and creative dialog management with individual consumers.

What is the most narrowly defined target you have seen an advertiser try to reach via the web?

Christian Kugel, AOL
I always think of the list of highest bid value keywords in search, which was for a time at least, “mesothelioma.” I think it had been bidded up to $150 or so a click. All the law firms going after asbestos manufacturers were using search to identify new leads for clients suffering from the disease. The bid value was so high because of the relative scarcity of the audiences combined with the potential value of a new client. A perfect example of an efficient media market.

What is the most memorable Internet ad you can recall?

Dan Murphy, Univision
HotWired—back in 1994. HotWired (eWired if you will) created the first banner ad (for AT&T.) The 468 x 60 pixel (wide by height) set a standard followed quickly by others. Standards are good; they make for an efficient marketplace.
What is the biggest benefit of search advertising?

Michael Hopkins, Doubleclick

Search advertising allows advertisers to reach users who are already interested in the product(s) being sold. Search advertising is very relevant for users.

Mobile

Is Mobile really an ad medium?

Mark Baba, Integrated Advertising and Brand Partnership Director
This is a tricky one. It can be, in the same way a social network can be. As a purely messaging vehicle, probably not at this time. It seems we are conditioning consumers to use mobile as a true to call to action medium. As they become used to it, there will be more Branding content. That said, when video and/or audio is implemented in a quick and fun way, we have seen direct lift.

Why should marketers care about mobile?

Gina Prentice, Turner Broadcasting
Marketers should care about mobile because it’s the only device that’s always with us. Most Americans have a mobile phone, and smartphone ownership is now surpassing feature phones. With all of the advanced data capabilities, more people are using their phones to access media, use apps, and play games as well as for texting and making calls. For advertisers, mobile represents another channel to reach consumers and engage with them in a personal and relevant way.

Mark Baba, Integrated Advertising and Brand Partnership Director
Mobile is the sort of thing where, particularly when consumers have appropriate apps that allow marketers to track their interests and purchasing habits, ads and messages can be served when a consumer is in the right place at the right time with a perfect message. An easy example is a fast food chain. Regardless of daypart, as these chains serve meals and coffee for all occasions, a consumer can be reminded there is a dollar coffee special, a buy-one-get-one special, or quite simply, a reminder that it is “lunchtime” message. Then send a map of nearest locations. Again, there is a fine line between invasive and useful/functional messages. Clients need to be responsible and respectful of their actions.