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Wednesday, January 30, 2008

Why is it we Buy TV Ads?

Not sure why we do but this new data from BIGresearch shows that very little engagement exists with TV advertising. Here is a great summary of the results from Marc Andreessen's (the founder of Ning) blog:

Regular activities engaged in by viewers during TV commercials:

  • 41.2% channel-surf
  • 33.5% talk with others in the room or by phone
  • 30.2% mentally tune out [I've met them]
  • 5.5% regularly fully attend to commercials [I haven't met them]

Rank ordering of activities engaged in by people while "using media", in order of declining popularity:

  • Eating
  • Doing housework
  • Doing laundry
  • Cooking
  • Talking on phone

Top simultaneous media used when reading a newspaper are:

  • TV
  • Radio
  • Internet

Top simultaneous media used when listening to radio are:

  • "Engage in other activities"
  • Internet
  • Newspaper
So the question to ask yourself and your media department: are you spending the max amount you can in advertising mediums that are permission and engagement based - especially search? Search consumers are asking for information on the search they are doing at the time they are doing it. They are calling for you to provide them with the information they need to compete their purchase decision. If they are looking for your products isn't it better to be there than interrupting them during TV viewing?

3 comments:

Joel said...

While TV advertising certainly doesn't pack the punch that it once did, I don't think we can dismiss it quite as cavilerly as this article insinuates.
Search is certainly an important part of modern day marketing, but don't be seduced by it's low CPAs into thinking that it can sustain a brand by itself.

How will a potential consumer ever become aware of a brand or products in order to look for them?

Without engaging messaging (which i don't think is truly possible in the existing search context), don't all products become commodities and then the only differentiating factor is price?

Simon Rodrigue said...

Joel - thanks for the comment, I do agree that TV does have a spot in campaigns but what I struggle with is the commitment will still have to this media over permission or engagement based advertising. We need to maximize those budgets first then look at interruption / mass based media.

Joel said...

That is a fair comment, especially in your situation. You have an established brand that people have an existing (sometimes passionate) relationship and that people will seek a deeper relationship with, if given the opportunity. In addition, you are selling goods that have either a built in demand or they are creating a demand through their manufacturer's efforts.
I don't believe that many other brands have those things in their court that would allow them to invest as much in relationship based marketing (there just simply inst an existing relationship to invest in).
I see the true marketing revolution coming when traditional broadcast media costs come in check with the rest of media options. TV is just cost-prohibitive in it current structure to accomplish what it really could.
NBC recently insinuated that it was significantly reducing costs by changing the upfront process. If that, in turn reduces broadcast media costs and production costs could also get reigned in, then the world of TV would be a whole new ballgame.