Television Advertising is Evolving; Marketing is Evolving With It

Respondents to an Association of National Advertisers/Forrester study of national advertisers said their TV ad spending will remain flat this year. Some of the other findings include:

  • A lack of confidence in TV ad effectiveness. Sixty-two percent of respondents think that TV ads have become less effective in the past two years driven largely by ad clutter
  • Renewed faith in the 30-second commercial. Only 19 percent of respondents believe that the 30-second spot will be dead in 10 years, down from 28 percent a year ago.
  • A desire for more targeted TV ads but reluctance to pay for them. Seventy-eight percent of respondents say they would be interested in the ability to target consumers more precisely, but only 59 percent would be willing to pay a premium for it.
  • Dissatisfaction with measurement. Nearly all advertisers who responded think that the TV industry needs new audience metrics beyond reach and frequency, and 82% of respondents would be interested in ratings for individual commercials.
  • High interest in branded entertainment and interactive media. Eighty percent of advertisers agree that branded entertainment will play much more of a role in TV advertising, and 38 percent plan to spend more on branded entertainment in 2010 as an alternative to the 30-second spot. Social media, web advertising and search are stealing budgets from TV and other media.

So what does this mean? Well, my amateur analysis says that TV as a standalone marketing channel is either faltering or is dead. However TV, and by extension all mass communications, is evolving into something new – a catalyst for conversations.

You just have to look at the Superbowl last night to see that the value of the conversations spawned by the very expensive 30 second spots, likely exceeds the value of the spot itself and, indeed, the traditional measurement associate with that spot will not account for this.

At com.motion I’ve seen, first hand, how social and traditional media can live with each other in perfect harmony, each media feeding the other. How advertising can spark conversation online. How an online community can earn traditional media coverage – and vice versa.

I used to be very bullish on social media. Now I’m bullish on integration and the people who can integrate marketing efforts in a smart, cohesive and measurable way, will win. That’s what I’m interested in right now.

via The Forrester Blog For Marketing Leadership Professionals by David Cooperstein


2 Responses to Television Advertising is Evolving; Marketing is Evolving With It

  1. mose says:

    Interesting take.

    Integration was the buzz some 20 odd tears ago. Integrated marketing ideally is making sure all marcom works in synergy. That being said someones 60 million ad budget will wipe out someones 2 million integrated ad budget. Anyway, not my point. My point is advertising is failing (TV mostly, but all over) becuase the ads are just awful. I sat through the SuperBowl yesterday and on CTV watched the ads. Firts they were repeated like 4 or 5 times. Second with the exception of the Bell couch one, all were dismal. Did someone actually approve that crap? Doritos? Hello???

    I know of a couple of youngsters who are at University taking advertising. I have looked at their course material. WTF? I also know a few youngsters who graduated said alleged courses and are working at agencies. WTF!

    We really need to go onto the schools and clean up these alleged courses. We also need to get clients to know and believe there is better stuff out there.

    Of course advertising is less effective. Since the dawn of time a shitty ad will not work.

  2. Sheraz says:

    I agree with Mose to an extent that advertising is failing yes. The quality of advertisements have been declining for a quite a while now, and yes being a recent graduate of a communications program I agree that the course materials are in need of a overhaul.

    As for television ads losing effectiveness, the answer at the end of the day would be no. Why? well because as long as there is TV there will be TV advertisements… I mean just look at infomercials every few months we see a new one pop up, from steam cleaners to magic wipes and everything in between. Television networks generate far too much revenue from advertisements and that will never change.

    The main issue I see here is how organizations are dealing with the change at the moment. Communications is in a state of flux. Everyone wants to be the trailblazer in the social media realm, the one to be talked about and thus it seems that the overall focus has shifted. As more companies attempt to figure out their answers in this digital transition, we see more and more television ads by upstart brands as opposed to the category leaders.

    Where the difference in television ads starts to become evident is that majority of these companies shifting focus are the the category leaders. Coke, Pepsi, Ford, Dell, Microsoft, Google, Nike, Adidas, Starbucks, the major brands have stepped away from traditional advertising and are focusing their efforts in other avenues primarily social media. They used television for their start up campaigns and now only do so sparsely. So yes the creativity and the spectacle behind television advertisements has disappeared with the fundamental reason being, companies are too busy attempting to tackle the digital spectrum rather than immersing it within their marcomm strategies.

    The ones who are leading the way are ones who are harnessing the power of social media within those strategies.

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