A new survey of marketers conducted by the Association of National Advertisers has discovered something interesting, but not terribly surprising about the new media rage. According to the survey, more national companies are dedicating larger portions of their ad budgets to new media. But it also finds more companies questioning the effectiveness of their new media investments.
78% of companies surveyed said that they planned to spend more on new media like online ads, social networks, search engine marketing, mobile and viral video in 2012 than they did this year. On average, this represents 14% of their total media spending – up from 10% in 2011.
So, with more spending come better results, right? Not necessarily. Compared to a similar study in 2009, marketers in general, are complaining that bigger investments in new media are not always producing the desired results.
“While marketers have substantially increased their use of new media platforms over the past few years, they are beginning to question the effectiveness of some of these vehicles,” Bob Liodice, president and CEO of the ANA said. “The ANA survey indicates a strong willingness by marketers to integrate innovative new approaches into their marketing mix; however, this enthusiasm is tempered by concerns regarding the ROI of these emerging options.”
Or in other words, anyone who thought that new media was going to quickly transcend old media (i.e. television) was perhaps blinded by all the glitter.
TV advertising is not going anywhere, just evolving. It’s always been about getting consumers to act, and incorporating the use of today’s smartphone applications is the newest way to bring more
impact to your TV commercials.
According to a study done by the Consumer Electronics Association (CEA), in 2010, 33% of U.S. households owned a smartphone. With that number estimated to skyrocket to 45% by 2012, advertisers are already starting to adopt the use of mobile applications in their TV campaigns.
Brands like Tide® and Old Navy® have recently integrated the music identification application, Shazam® into current TV commercials. It’s simple too, no typing in long URLs or performing lengthy Google searches. The commercials feature songs, so all the consumer has to do is open up the Shazam® application and let it identify the song playing in the ad. From there they will have options to go straight to that brand’s website, purchase product, etc. With the Old Navy® ad you even have the option to buy the outfit the person is wearing in the ad!
This new trend will not only make TV ads more interactive for consumers, but allow advertisers to more accurately measure the performance of the ads while tracking TV conversions.
Integrating mobile apps into your TV advertisements works well all around – the consumer gets to interact with the ad while the advertisers are able to more easily direct traffic to brands’ websites. Shazam® is just the beginning; as this advertising tactic grows, the variety of applications available for integration will most likely grow as well.
Although it makes common sense, it’s still nice to see a study that confirms what a lot of us already knew: For retailers especially, television presents a more effective commercial environment than the Internet or mobile devices.
A new report from the research firm NeuroFocus found that TV earns high marks for emotional engagement, message recall and intent to purchase. While on the other hand, viewers of small-screen media (Internet and mobile) found the ad experience to be less immersive and not nearly as engaging as TV.
“Emotional response appears to be tied to the way people use different media platforms,” said Clay Collier, Cable & Telecommunications Association’s VP of Research.
He adds, “TV is particulary good at striking an emotional cord and conveying a sense of novelty. If you want to draw someone in and create an immersive environment, TV is a better fit.”
“On the small screen (mobile devices), certain emotional triggers – facial expressions, for example – are somewhat undermined,” said Clay.
(Somewhat undermined? On a three inch cell phone screen, you’d be lucky enough to discern a face, let alone facial expressions.)
The study also found that TV and Mobile ads were particularly effective at prompting a sale. Not so for Internet ads, which appear to require repeated exposure before eliciting a consumer response.
On the emotional engagement scale, Internet ads came in last by a wide margin.
“It stands to reason that people who are less emotionally invested in your ad may be less likely to buy your product,” said Tim Brooks, a former Lifetime Network Research Director.