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.