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Is TV still setting the agenda for commercial production?


By The Drum Team, Editorial

February 7, 2012 | 5 min read

From industry-wide belt-tightening to advancing technologies, the dwindling importance of TV and the growth of online, commercial production has changed a lot of late.

In a series of articles featuring the questions surrounding commercial production, The Drum catches up with low budget TV and digital ad specialists STV Creative, creative audio company Kalua, video guide producers Flixity, TV and radio commercial production specialists The JMS Group and animators Flaunt Productions to take stock of the industry and find out what we can expect to see going forward.Today we’re looking at the role of television, and how that’s starting to change. Is TV still seen as setting the agenda when it comes to marketing budgets or has its importance started to dwindle?Jack Garrow, director, FlixityLess and less. The future is not bright for traditional TV advertising as audiences fragment. Online static advertising has been the winner in the past five years. Flixity believes that the next few years will see an explosion in good quality video advertising online, on phones, tablets - and even back on TV!Stephen O’Donnell, Head of STV Creative, STVIn my experience, our clients in Scotland and London still definitely use TV as their lead media - no other media comes close when it comes to building brands and engaging with customers. However, as our audience consumes media in different ways we’ve enjoyed expanding our repertoire of skills and experience across platforms. Over the last couple of years we’ve been creating online and mobile advertising as well as short form editorial content.Francesca de Lacey, head of TV, The JMS GroupTV generally remains at the head of any campaign strategy, but nowadays it’s usually the flag-bearer for an extended digital and social media onslaught. I can’t remember the last commercial we made without a URL in it, and that applies to our radio productions too. Almost every first production meeting with any agency these days opens with a comprehensive overview of the wider media strategy long before we get anywhere near the storyboards. Gav Matthews, MD, KaluaOf course, I’m biased! But we often hear from clients that TV is just becoming too expensive, due to media or commercial production costs. With environments such as online, social networking, and radio still proving to be value for money, I’d say that TV has been a victim due to the perceived higher costs. But to be fair, there are some great deals out there at present.Is there still a place for the traditional commercials or are TV and radio spots now merely a teaser for some bigger online experience?Gav Matthews, MD, KaluaThere will always be a place for a dedicated TV or radio campaign, and they still prove to deliver fantastic results. But it’s no secret that combining these with an online campaign will increase their effectiveness. Radio has certainly seen the benefit of this - many campaigns we produce are designed to push the listener online, and in certain sectors this is now more cost effective than driving traffic through PPCJack Garrow, director, FlixityTraditional 30 spot is under attack from lower (assured) audiences and more cost effective online channels. Flixity is seeing a huge expansion in many more companies considering video ads and communications. So trad TV will continue at some level backed up by a huge market increase as more and more SME move into having a professional online video presence.Paula Lacerda, executive producer, FlauntI believe the two are becoming more entwined than ever. There will always be a place for traditional TV but it's fantastic that we can follow a brand we like onto a landscape that has so much to offer. It feels like we are only just scratching the surface. Stephen O’Donnell, head of STV Creative, STVTraditional TV advertising still has a lot of life in it. Indeed, spot advertising is enjoying something of a resurgence. With the emergence of every new technology we hear the prediction of the death of linear, real time spot advertising. But in the face of PVRs and catch up TV, traditional spot advertising is still top of the tree. The resurgence of appointment-to-view TV has helped drive this. Prime time shows like the X Factor and the social experience they promote in the living room and online via Facebook and Twitter have enhanced the power, reach and engagement the medium enjoys. $3.5 million dollars for one 30 sec Super Bowl 2012 spot confirms my point. Sponsored by:

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