Get Smart: The Secrets of Successful Marketing with Targeted TV in a Digital World
An Adotas Q&A with Shelley Stansfield, Director–Special Ops, at Centriply.
Q: TV advertising is holding its own against digital media, according to a MarketShare study commissioned by Turner Broadcasting and Horizon Media in 2015. Why don’t more people in marketing and media realize that?
Stansfield: Reporting on the ad spend rise for digital and the lagging financial earning reports for broadcasters makes flashy headlines. But the reality of a seven percent drop in TV viewing among certain demo groups is small when you’re talking about a $70 billion TV ad market. And according to the MarketShare study, TV’s overall effectiveness in driving sales dipped just one-and-a-half percent between 2012 and 2014. Online’s lift suffered a 10.3 percent decline over the same time.
Q: What do you think accounts for TV’s staying power?
Stansfield: An important factor is TV’s ability to legitimize a brand. This effect has been documented for several years. Also, networks and TV station groups are investing heavily in content to keep viewers intrigued. Fortunately, programmers have the resources. Content providers and distributors are experts at getting to the minds of the target audiences and they’re not going to go away quietly.
Of course, digital advertising’s pull on marketing dollars will continue to grow, but for now television has the infrastructure and the resources to cover world events like The World Cup, national and local political activities, and the Olympics.
Q: Is there any benefit to TV from the growth in digital advertising?
Stansfield: Some of us in ad-tech are very happy to see digital players pushing into TV. The data-driven mindset they bring to the ecosystem is challenging MVPDs (multichannel video programming distributors) and TV station groups to review how they approach advertising/marketing and step up to the challenge.
Q. How do you combine TV and mobile video marketing most effectively?
Stansfield: Using granular, geo-fenced location data and the right environment allows TV to keep the advertiser in front of the audience. To incorporate TV and video-on-mobile effectively it’s important to recognize that customers are probably close to or are using a mobile device when it comes time to make a buying decision or at point of sale. Getting the data about mobile video results can let a TV ad campaign shape its efforts so it hits the right targets, at the right scale, with the maximum impact.
That’s done by tying in the ZIP code of the phone with the cable or telco system located in the area. Targeted TV can deliver the TV ads to reinforce the message and keep the brand top of mind when the audience is not on the phone, while preserving the consumers’ privacy.
Q: Some TV campaigns are more effective in reaching consumers and driving retail sales than others. In what areas does TV excel and where does it come in second to online, print, radio combo for example?
Stansfield: In TV there are several ways to excel: We have seen outstanding results with location-based targeting by focusing on clusters of custom areas of high consumption. If you’re selling a high ticket item, you can find value in adding programming indices. They let you identify the type of programming and networks that are preferred by the demographic that buys your product, and then you can further fine tune by selecting to advertise only at specific times of the day.
Q. How can regional TV advertising extend ad dollars and be more effective than mass marketing?
Stansfield: Mass marketing via nation-wide TV ad campaigns works very well for low- to moderately-priced items that have broad consumption and low-priced items that have little variation on price or are evenly distributed are well suited.
But, if a marketer is promoting a brand that has several consumer profiles or is concentrated in an array of geographic areas, a way to increase the value of the TV dollars is to focus the budget within geographic areas that contain potential customers. By going beyond the traditional 210 TV DMAs (Designated Market Areas) into over 3,100 more localized TV systems, there are opportunities to reduce waste and intensify the message.
Q. Why is Targeted TV a good option compared to Network advertising?
Stansfield: When considering the option of Network vs. Targeted TV our view is that it all depends on the profile and goals of the particular advertiser. Often it’s a combination of both that works best, because a layered approach can fill in gaps where network consumption is very uneven. For example, a goal to increase foot traffic can go like this:
*If a restaurant has 421 locations, it may seem like a national network campaign would offer an answer. But…research indicated women make the decision to purchase. And we determined that there are 11 million women 25-49 inside a 5 mile radius around each of the 421 locations, compared to 97 million women 25-49 across the entire US.
Turns out only 12% of the national campaign reaches the potential audience inside the target areas (5-mile radius).
For those of us working in Targeted TV, the goal is to recapture 88% of wasted network impressions that happen outside of target areas.
In this example, we found that opting for a Targeted TV ad campaign increased the Targeted TV impressions by 11,858,423 within the desired geographic areas and among women ages 24-49. In this case Targeted TV broadens reach, increases frequency and efficiency.
Data driven media analysis adds four more data points to the value of the network environment. Marketers with their own data have even more power to answer questions by applying the buying triggers, digital signals, or physical needs that create demand. A layered approach that accurately counts and combines the options available without a vendor bias gives the marketer the clearest way to take advantage of all media value.
No comments yet