TV Advertising – Stronger Than Ever

February 25, 2010

Everyone is selling something.  As soon as you realize this simple fact, the sooner you’ll be able to see through the “TV is Dead” smoke screen perpetrated by those who are, yes “selling” digital services.

Most new media folks are like the partisan politician who is unwavering in his position even when the facts prove otherwise. It’s the classic “if I say it long enough … it must be true” approach.

 Well, they can stick to their “TV is so yesterday” talking points, but the facts just don’t add up. 

TV is stronger than ever. This, according to the largest privately-owned, full-service direct response media agency in the country. And TV is not losing its luster.

The Senior Director, Research & Analytics at Mercury Media, Michael Goodman says, “Rather than cannibalize traditional television, emerging video platforms, like Hulu, cable VOD and FLO TV, are supplementing viewership and creating new revenue streams for programmers.”

“Television advertising is not dying,” said Goodman.

Rather than fragmenting the marketplace, emerging video platforms like broadband and mobile TV are acting as audience multipliers.” Goodman points to innovations like Addressable TV, TV Everywhere and Interactive TV as leading the evolution toward “a harmonious video delivery ecosystem.”

Among Goodman’s top findings are: TV is still the #1 screen. Television viewership remains at hundreds of hours per month, while viewership of broadband and mobile video remains in the low single digits.

“It is reckless to proclaim that any great revolution is taking place”, says Mercury.

In 2Q 2009, watching TV in the home accounted for 77% of screen time among consumers age 2+, up 1.5% year-over-year.

So there you have it. Yet more information that dispels what the new media folks would have you to believe on the state of television.  But it won’t stop them though … they’re armed with one heck of a sales pitch, just not the facts.

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2010 Super Bowl TV Commercials

February 9, 2010

Did you miss one of the Super Bowl ads? Or can you not stop watching certain ones over-and-over?  Ad Age did a nice job gathering them all up for your viewing pleasure. Watch and share them as frequently as you like. CLICK HERE to be redirected to Ad Age to see them all now.

ENJOY (again)!

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Four Favorite 2009 Holiday TV Commercials

January 8, 2010

The 2009 holiday season didn’t  produce many good or effective TV commercials.  But, there were a few standouts. 

Below are 4 of my favorites (other than my clients, of course):

Target/Marshalls

iPhone

Hersey’s Kisses

(one of the few recycled commercials that is memorable)

Dell

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The Five Worst Local TV Commercials!

December 29, 2009

This is not my list, but I’m not sure I could do a much better job picking out such horrendous commercials. Sit back and enjoy … I mean cringe.

 

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Americans Spending Even More Time with TV

December 16, 2009

TV Remains “Most Influential Ad Medium for 2009”

A year dramatically impacted by the economic recession has influenced consumers to return to watching television over other types of entertainment. Deloitte’s 2009 “State of the Media Democracy” survey reveals a 26% increase in the number of Americans choosing the TV as their favorite type of media as compared to the previous year.

More than 70% of survey respondents rank TV their top three favorite media activities. Additionally, when ranked alongside other activities like surfing the Web, listening to music or reading, 34% of consumers still place TV at the top. This is a substantial increase from last year and more than double the percent of the number two choice, which is the Internet that came in at 14%.

When watching their favorite TV programming, 86% of survey respondents prefer watching on their television set, enjoying the programming either live, via a DVR/TiVo or using an “On Demand” feature. While less than 10% of Americans say they prefer watching the same content online, it is a growing trend.

Hours Spent with TV:

  • Nearly 18 hours of television programming is spent on TV in a typical seven day week – up notably from less than 16 hours last year.
  • Millennials (ages 14-26) had the largest increase, to almost 15 hours from 10.5 hours.
  • 72% of Americans say they have been forced to reduce their purchases of other entertainment products including movies, concerts, sporting events, DVDs, CDs and videogames.

Besides TV viewing, the survey supports the culmination of the game console as a stand-alone media platform and the mobile phone’s rapid decoupling of the Internet from the desktop and the rise of tribal marketing.

But, nevertheless, television continues to reign as the most influential advertising medium, with 83% of consumers identifying TV advertising as one of the top three media with the most impact on their buying decisions. Online advertising ranks much lower in impact than television.

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How to make Your Television Commercials Memorable

November 20, 2009

What makes a memorable TV commercial? It’s all about messaging. When a piece of communication is to the point, relevant, worthwhile and compelling – it will move the viewer to action.

Moving people is not magic – it’s all about effective communication. It’s called the 4Cs model, which stands for Comprehension, Connection, Credibility and Contagiousness.

Brands like Dunkin’ Donuts, Suave Shampoo and Breyers Ice Cream use the 4Cs model to develop advertising campaigns that create an emotional connection with their customers.

Use the 4Cs to objectively evaluate your television commercials: what’s working, what isn’t and why.

The First C:  Comprehension

Does the audience get the message or main idea of the commercial? What does the commercial instantly communicate? Can the audience play the message back? This confirms that they “get it” and the first C is working.  Here are three tips for better comprehension:

1) Make the message sharp and clear

2) Repetition helps

3) Keep it simple – don’t go too deep

The Second C:  Connection

Making a connection with your TV commercial means not only that the audience “gets it,” but that it resonates with them, has meaning and significance for them and usually triggers an emotional response.

The Third C:  Credibility

The audience needs to believe who is saying it (the brand voice), what is being said, and how it is being said. Otherwise, any connection begins to break down – immediately.  Credibilty is the critical C, because the audience may completely understand an advertiser’s message, and even connect with it on an emotional level – but may not buy into it.  An example is Buick’s recent failure to attract younger buyers to the brand despite a more youthful image being put forth in its products and advertising.  It’s going to take a lot more than some well-produced TV ads to convince people that Buick is more than their grandfather’s car.

The Fourth C:  Contagiousness

You want your audience to “catch the message,” run with it, and spread it around. Think of the last time you saw a TV commercial that was so funny or clever that you discussed it with your friends, found yourself reenacting it or repeated the slogan in conversations.  That’s contagiousness.  To be contagious, your commercial needs to be energetic, new, different and memorable. And most of all, it should motivate the target to do something. 

Applying the 4Cs

So now play one of your TV commercials for a few people in your target audience and ask them the following questions:

1) What is the main message?

2) Does it evoke an emotional response?

3) Is the message believable?

4) Do you feel the message will “stick with you” and make you want to react in some way?

I assure you, the answers will be revealing – one way or another.

 

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TV Advertising Helps 3 Auto Brands Stand Out!

November 11, 2009

Picture for Post #39

 

What do Hyundai/Kia, Subaru and Volkswagen all have in common?

1) They spent considerably more on television advertising for the first 6 months of 2009, as a percentage of their ad budgets, than the auto industry average.  

Brand

% of ad budget spent on TV Advertising

Hyundai/Kia 

78.4%

Subaru 

90.0% 

Volkswagen 

80.7%

Industry Avg. 

62.5%

2) All three auto makers saw their market share increase substantially over the same period a year ago.

Brand  Market Share Increase 
Hyundai/Kia  39.7%
Subaru  52.9%
Volkswagen 28.8%

3) All three posted year-over-year unit sales decreases (every single manufacturer suffered decreases in sales during this period) that were considerably less than the industry average.

Brand  Unit Sales Decreases 
Hyundai/Kia  -9.4% 
Subaru -0.8%
Volkswagen -16.4%
Industry Avg. – 35.1%

4) All three brands allocated a smaller percentage of their ad budgets to Internet advertising than the industry average:

Brand  % of ad budget spent on U.S. Internet Advertising
Hyundai/Kia 3.7%
Subaru 5.4%
Volkswagen 4.0% 
Industry Avg. 7.5%

What do I think?

First of all, I think all three auto makers have done a great job bringing products to market that people actually want to buy. That’s most important to remember.

I also think it’s hard to refute what the data above says about their advertising decisions. There’s no denying, I’ve seen a ton of compelling television commercials for Hyundai, Subaru and Volkswagen this past year … and it would appear I was not the only one. 

I don’t care how the new media crowd spins it, when a brand like Subaru spends 90% of their total ad budget on television and is able to increase market share by 53% — it makes a compelling case for the power of television advertising. Short and simple.

And when you add in the impressive sales performances by Hyundai and Volkswagen, it’s even harder to ignore that television played more than just a casual role in success of all three auto makers.  Wouldn’t you agree?

Source:  TNS Media Intelligence/Automotive News

 

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Do “Attack Ads” Work in Retail TV Advertising?

November 5, 2009

Compared to political campaign ads, retailers have been cautious about using negative TV ads to badmouth their competitors.  A recent Adweek/Harris Poll indicates such caution is well founded.

As the chart shows, people have a predisposition to think worse of the brand making the attack than the brand that is the target.  

Graph for Post #38One caveat:  Though people routinely claim to dislike attack ads in politics, the results on Election Day often suggest those ads have worked.  So, consumers may be less averse than they say to TV advertising that goes negative on the competition.

 

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TV Still the Mass Media Champion – Just Ask a Politician

November 2, 2009

Picture for Post #36

It seems that when it comes to high-stakes political campaigns, where every dollar has to count, politicians are still turning to what has always worked for them – television advertising.

Wells Fargo Senior Analyst, Marci Ryvicker predicts that $3.3 billion will be spent in political and issue advertising in 2010 – with 67% of every dollar spent going to television.

Here are her projections for the entire advertising industry for the 2010 Political season:

Medium                       Projected Ad Spending                       % of Total

Television                    $2.2 billion                                           67%

Direct Mail                   $650 million                                         20%

Radio                           $228 million                                         6%

Newspaper                  $95 million                                           3%

Outdoor                       $55 million                                           2%

Internet                        $50 million                                           2%

I’ll let you draw your own conclusion.  

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TV Advertising Builds Brands that Last

October 27, 2009

Picture for Post #35

Let’s just cut to the chase? As it stands today, TV advertising builds brands. Internet advertising does not. There’s little doubt that once a brand is established, the Internet can and does keep the momentum moving forward, but until that point is reached all the banner ads and twitter tweets will do little to ingrain your brand into the psyche of the consumer.

Creating a memorable brand requires more than getting people to talk about your product on a social network. It requires the advertiser to make an emotional connection that television does so well.  Do you honestly think Nike would be the #1 sports brand if it wasn’t for television advertising?  Or would you feel the same connection with a little known insurance company if their AFLAC-ing duck never made its way onto your television screen? 

Sure technology has changed, but the basic rules of effective marketing remain the same. You still need reach and frequency to create most truly memorable brands.  And television advertising delivers both better than anything else out there.

Television has a rich history of transforming everyday companies into household names.  From packaged goods to insurance, from fast food to tires – television has been responsible for creating some of the most memorable advertising icons.

Who can forget …

The Energizer Bunny … Frank Bartles and Ed Jaymes … Joe Isuzu … Tony The Tiger … The Michelin Man … Mr. Whipple … Dave Thomas … Mr. Peanut … The Keebler Elves … The Maytag Repairman … The Geico Gecko … Charlie The Tuna … Ronald McDonald … Mrs. Olsen … Jared from Subway … Clara “Where’s the Beef” Peller … Orville Redenbacher … The Marlboro Man …Colonel Sanders … Pillsbury Doughboy … Chef Boyardee … The AFLAC Duck … The California Raisins … Morris the Cat … The Quaker Oats Man … The Green Giant … Juan Valdez … The Doublemint Twins … The Budweiser Frogs … Rosie, The Bounty quicker picker upper … Aunt Jemima … Mr. Clean … The Verizon Wireless “Can You Hear Me Now” Man … Betty Crocker … The Lucky Charms Elf … The Geico Cavemen

Now, recall just one advertising icon or brand that wasn’t first introduced to you on television.

I’ll wait …

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