The Association of Commercial Television

TWEETING WHILE VIEWING DOESN’T DIMINISH TV ADVERTISING’S REACH AND OFTEN LEADS TO SHOPPING test

People watching “social shows” like “Dancing with the Stars” or “The Bachelor” on television and simultaneously sharing their views on Twitter are more likely to be committed to the program and shop online, according to new research from Indiana University’s Kelley School of Business.

Marketers have feared that social media distracts viewers from commercials and minimizes their impact. But this research found the opposite. “Social shows” are more beneficial to advertisers because commercials that air in those programs generate more online shopping on the advertisers’ websites.

The international marketing research firm Nielsen estimated in 2014 that 80 percent of U.S. television viewers simultaneously used another device while watching television, often live tweeting to share their views, for example. The trend has led scholars to coin the term “social TV.”

“Participation in online chatter about a program may indicate that viewers are more engaged with the program,” said Beth L. Fossen, assistant professor of marketing at Kelley. “Online program engagement may encourage a loyal, committed viewing audience. And media multitasking may decrease the ability for the viewer to counterargue or resist persuasion attempts, increasing ad effectiveness.

“We find that advertisements that air in programs with more social activity see increased ad responsiveness in terms of subsequent online shopping behavior. This result varies with the mood of the ad, with more affective ads — in particular, funny and emotional ads — seeing the largest increases in online shopping activity.

“Our results shed light on how advertisers can encourage online shopping activity on their websites in the age of multiscreen consumers.”

In the study, Fossen and her co-author, David Schweidel of the Goizueta Business School at Emory University, sought to determine how the volume of program-related online chatter is related to online shopping behavior at the retailers that advertised during the programs.

In addition to their findings that social shows benefit advertisers by encouraging online shopping activity, Fossen and Schweidel also found that increases in online chatter about a retailer lead to increased traffic to the company’s website in the first five minutes after the advertisement appears.

They also found that ad timing affected online shopping. Ads airing near a half-hour interval — such as 8:28 or 9:02 p.m. — spurred more online purchases than ads aired at other times. Commercials airing earlier in the evening generated more web traffic than those airing before the late-night news.

Fossen and Schweidel studied the online shopping activity of 100,000 active internet users, which they paired with data on commercials for five retailers and nearly 1,700 instances of advertising on 83 prime-time programs during the fall 2013 television season. They considered online traffic and sales on the retailers’ websites, prime-time advertising, social media comments mentioning the TV program or the advertiser, and characteristics of both the program and the advertising.

Source: https://www.eurekalert.org/pub_releases/2019-04/iu-twv040419.php

TARGETED BYRON SHARP, ANYONE? test

Data can now make TV more effective. Even Byron Sharp should welcome more accurate targeting.

Brands and their agencies face a dilemma.

On the one hand, evidence from Byron Sharp shows that brands should drive reach of all purchasers in the category as often as possible. What’s more, according to effectiveness gurus Peter Field and Les Binet, TV remains a critical part of the mix for delivering this reach and cost-effective growth.

But, at the same time, the ability of TV to deliver the requisite levels of reach has deteriorated rapidly. Over the past five years, the number of gross rating points required to reach 50% of an all-adult target audience has risen by 50% in the US, 40% in France and 22% in the UK. Other markets show similar trends, making Sharp’s vision harder to deliver. There’s a reach gap and it’s getting bigger – especially among younger audiences. It’s also becoming significantly more expensive to generate that reach.

To fill the gap, some brands have boarded the personalisation-at-scale bandwagon, targeting high-value individuals with personalised messages. But this is an extreme reaction. Huge amounts of money have been invested in the technology and data to deliver such personalisation – but it’s questionable whether the investment can be recouped.

Moreover, not all reach is equal. So, while it is possible to fill the reach shortfall with digital activity, it may not be possible to match the impact that TV-driven reach generates – especially at scale.

The dilemma is that TV remains critical, but there’s a reach gap and efficiency is diminishing. So, to compensate, we are facing a huge investment in a data-driven solution. Ultimately, this compromises the Sharp/Field and Binet dream and makes it harder to deliver effective reach of category users.

But there is a solution. One that retains the ambition of delivering Sharp’s reach strategy, addresses the shortfall in TV delivery against the real category users and frees up budget to fill any reach gap.

That solution is the intelligent application of data.

By applying the same data we use to activate personalised digital activity at scale to TV, we can plan airtime to actual category users instead of demographic proxies for category users. That may sound like a semantic change, but it’s actually hugely significant.

Fusing our behavioural data with TV viewing data enables us to plan a campaign against specific interests – dog owners, say – instead of 25- to 45-year-old BC1s. Planning in this way frequently generates in excess of 10% improvements in the cost of reaching the people that Sharp demands we contact: category users.

Data allows us to deliver actual category users, rather than people who look like category users.

Delivering reach more efficiently in this way releases investment for more targeted video activity – filling the reach gap against a consistently defined target audience. And, more than this, by using a single data source to plan activity across digital and TV, we can measure cross-media reach and identify those that have not been exposed to the TV activity.

Incremental video support can then be directed at these individuals, maximising reach against category users. Thus, Sharp is satisfied, personalisation at scale is delivered, relevance is maximised and ROI is stabilised.

The same data sets can also be applied to other channels, such as radio and outdoor. This lets us quantify and identify an audience in more detail than traditional media metrics allow and invest more accurately.

These principles can be applied to every sector, ultimately making TV more powerful and more effective, while, for the first time, reassuring marketers that they are actually reaching all (or many more) of their category buyers.

If it’s true that TV will become more programmatic in the future, then some of the more technical lessons learned online will be applicable to our most important medium, but that will take time.

For now, it’s important to remember that data isn’t simply the preserve of digital – it can be applied to every channel and every strategy. The impact is massive, and with smarter targeting strategies it can help any brand.

David Beale is global chief data officer at MediaCom

Source: https://www.campaignlive.co.uk/article/targeted-byron-sharp-anyone/1580598