TV viewing habits have changed, but the best screen in the house is still a valuable medium for brands to advertise; one that comes with advanced targeting, optimization and measurement capabilities. For any brand looking to invest in growth strategies rooted in either awareness or targeted marketing, there are many reasons why TV will be key to creating the long-term fame every brand deserves.
2021 was a record year for TV advertising – with 1,286 advertisers using TV for the first time or returning after a 5+ year hiatus. This dramatic increase (up 50% in the last two years) shows the increasing appeal of TV advertising to businesses of all shapes and sizes. The stats from Thinkbox and Nielsen Ad Intel show that TV ad spend was up 24% in 2021 to reach a total of £5.46bn, surpassing pre-pandemic levels.
At the beginning of 2022, Finecast predicted that this would be the year for advertisers to address new audiences on TV, as many marketers switch on to innovations like addressable TV advertising to discover new pockets of audience growth. And now, The Drum is going all-in on addressable TV with the launch of a dedicated content pillar as part of its Future of TV hub, with the support of Finecast.
TV advertising – a right, not a privilege
There can be noise in the market from certain corners pushing the ‘TV is dead’ agenda – but for many fast-growth companies, particularly those born in the digital world, who are new to TV, there’s a common truth that unites them: success . Indeed, the Nielsen figures show that while all major advertising categories increased their TV investment in 2021, the largest increase came from ‘online-born businesses’ who invested £1.12bn in TV advertising – up 42% over the previous year, representing 20% of all linear TV advertising spend.
The UK is a nation of TV lovers. And, although media habits have changed drastically over the last decade, TV remains a firm favorite and a valuable medium for brands to advertise – one that is primed and proven to turbocharge brands.
“Access to TV advertising is a right, not a privilege,” says Samantha Lister, senior director, data solutions, Finecast. “With an unbeatable scale and reach, TV is highly effective – both in the short and long term – and can even help other advertising channels perform better. Where some companies see TV advertising as an inaccessible marketing luxury with unclear returns, it’s the most emotively powerful, narratively impactful, and demographically targetable route to your audience.”
Here are eight reasons why every brand deserves what TV advertising has to offer:
More advanced targeting – with new supply, data opportunities and measurement capabilities, best-in-class data means that it’s now much easier to understand a household and create bespoke audience profiles and precision-target viewers across multiple on-demand, linear and live-streaming TV environments , enabling advertisers to reach their target viewers.
A bigger stage – from advertising-based video on demand (AVOD) to subscription video on demand (SVOD) to transactional video on demand (TVOD) and the proliferation and adoption of over-the-top (OTT) streaming platforms, the TV industry is expanding and transforming, giving brands a bigger stage on which to compete in a content, tech and data-driven future.
The best creative – creative has the power to spark emotion and create impact. And it is core to driving sales, accounting for a 47% share of sales contributions (Nielsen). Creative works best when it reaches the right audience, however it’s got to be relevant. Finecast’s Thinking Inside the Box research found that those who deem an ad relevant are 18x more likely to think a brand is worth paying for and 20x more likely to find the creative appealing.
Unbeatable scale – TV is still the most popular form of video, accounting for 75% of the average person’s video diet, according to Thinkbox. The study also shows that, more importantly for advertisers, TV accounts for 91% of all video advertising that is seen – a signal that the scale and reach of TV remain unmatched.
Trusted, safe environments – unlike the ad fraud and brand safety issues dominating the online advertising world, TV advertising is inherently viewable, with campaigns able to run on screens within high-quality, brand-safe content with no adblocking. Plus, being seen on TV gives brands a stamp of quality and credibility. Finecast’s recent TAG (Trustworthy Accountability Group) certification demonstrates its commitment to brand safety and trust in the television industry.
Better audience recall – audiences who are emotionally invested in a TV show are more receptive to advertising. A 2021 study from tvScientific found that 46% of consumers said TV and streaming ads are the most memorable, compared to 33% brand recall for social media ads, 12% for ads in mobile games, and just 9% for ads on websites.
Higher impact – with sophisticated targeting capabilities, new approaches to total TV measurement mean that brands can see the impact and incremental reach of TV campaigns, the effect of additional spending to ensure cost-effectiveness, and the frequency of which a campaign is shown to an audience. This enables brands to plan more strategically, better manage budgets and ensure cost efficiency and effectiveness of campaigns.
Greater fame – Entertainment TV shows like The X Factor, Love Island, and Great British Bake Off give everyday people a chance to find fame – and the same goes for brands too. If advertisers want to leave a lasting impression and make an impact, TV advertising can create, build and grow brand awareness through the biggest screen in the house.
You can tune in to see Finecast’s Samantha Lister, who was joined by speakers from Roku, Comcast and Freewheel at The Drum’s Digital Transformation Festival 2022 to explore how to create a better cross-channel currency for CTV.