MIPTV 2017 Preview: Ashley Deibert, VP of Marketing, iQ Media

The transformation and fragmentation of TV over the last decade has caused more than a few headaches for the advertising industry. Accustomed to a broadcast model that was at once disproportionately in their favor, advertisers are now challenged with getting in front of viewers who are scattered across myriad channels and devices, watching content whenever and wherever they want to. They’re also no longer able to rely on sheer gut instincts; big data now plays a big role in informing advertisers’ creative decisions.

With streaming TV content now officially the norm, the industry has had mixed feelings about investing in linear TV. The good news is that viewers haven’t tuned out of traditional TV, especially when it comes to news, sports and other live events. These three content constants have proven impervious to time-shifting because, unlike scripted TV content, viewers very much still value watching live events at the time they air, rather than on-demand.

These are the topics that will be addressed at this year’s MIPTV conference. Since I can’t be there, I thought I’d chime in on four other reasons traditional TV continues to be an important part of the advertising mix.

1. Live TV is finally measurable, in real-time

It used to be that brands had to wait a minimum of 30 days to see how their TV investments faired, from both the paid and earned side. And only very recently have they had any access to where their logos appeared beyond their paid commercials and sponsorships. Now they can do all of this, not to mention segment this data by national and local DMAs (210 to be exact), and look at the same for their competitors.

While annual upfront buys are still a major part of the TV game, those brands who concentrated on shorter campaigns or localized efforts find that they’re able to adjust efforts in real time based on information about their own campaigns’ performance and that of their competitors. Nike sees that Reebok is going strong in a certain region? They can either decide to push harder than Reebok or focus on a region their competition is neglecting.

2. Local media buys have proven themselves worthy

One of 2016’s biggest TV events, the Presidential Election, demonstrated why a focus on TV ad spending in local markets is often the winning strategy. A report by iQ Media [1]found that, beginning in September, Clinton spent 71% of her ad budget on local ads and only 28% on national. Similarly, Trump spent 85% on local and only 15% on national.

While other factors were at play, both benefited when they targeted niche messages to local audiences, rather than one-size-fits-all messages to broad audiences.

3. Mega events and sports hold captive, real-time TV audiences

From the Super Bowl and NASCAR to the Grammy’s and the Oscars, these heavily-watched, tent-pole events give brands access to concentrated audiences over multiple consecutive days or weeks. Just like the good old days.

Ever since the total March Madness ad spend topped $1 billion in 2012, ad investments in the college basketball tournament have continued to grow, nearing a record $1.19 billion the past two years.

This year’s Super Bowl 51 also demonstrated the continued energy around TV advertising. Within just the first 12 hours of their ads airing on TV, advertisers were mentioned on TV and online news channels over 40,000 times[2]. This means that not only are people seeing these ads; they’re talking about them too.

4. More people are doing more things online while watching TV

According to Accenture, 87% of consumers use a second screen device while watching TV. So, while the idea of the second screen is not a new one, how advertisers use the additional device to their advantage is getting more and more focus from a strategy perspective.

As with anything in media or video, it’s all about crafting a good story and inviting your audience to participate. Gone are the days of piping your ads into the ether with no way for viewers or listeners to respond or interact. Because according to Ericsson[3], 31% of TV viewers browse the internet for content related to what they are watching, while they are watching.

Some say traditional TV is dead. I’d argue that it’s only just now reaching its full potential. I think we’re finally in a place where we will undoubtedly see smart advertisers use it like never before to initiate consumer engagement and actions.