Podcast: A Conversation with SMI CEO James Fennessy

EB Moss amp160How is SMI unique James Fennessyamp160 Standard Media Index was founded in Australia nine years ago by Sue Fennessy who ran marketing agencies and Jane Schulze former media editor for News Corp Australia amp160based on a quotgive to getquot model of data consortium amp160Agencies were having trouble getting at their own data and thus reporting problems with clients amp160So the idea was for SMI to work with their data to normalize it standardize itamp160and structure it so they could report faster and more accurately and then get access to that aggregated dataCharlene Weisler amp160How do you get your dataFennessyamp160 We get data every week from the agencies via an AWS environment and take automated extracts from all of their invoices across TV digital radio print and outofhomeMoss amp160What companies work with SMIFennessyamp160 Our partners include big holding groups like Omnicom Publicis Dentsu Aegis Network Havas Horizon amp8230 and leading independents like MDC Partners RPA and others and organizations in the marketing effectiveness and measurement space like Accenture and McKinsey ampamp CoWeisler amp160Does your data also help Wall StreetFennessyamp160 We have about 15 hedge fund clients in the US particularly those who invest directly in media stocks amp160because they get to see the advertising revenue of major media companies which could be a Google a Facebook a Snap amp8230 before those companies report amp160They have successfully modeled our data for a competitive edge around how those companies are going to perform in their next earnings periodMoss amp160Let39s talk about trust Fennessyamp160 We39ve got very strict privacy protocols amp160We never see the agency clients spend amp160We take it at the category levelWeisler amp160How do others work with SMIFennessyamp160 Our big relationships are with the national TV networks across pricingplanninginventory management amp160We can help them size the entire marketplace and understand their position and the flow of dollarsamp160amp160We just launched a major ROI research piece with Fox Network Group There are very good services the Kantars the iSpots but unfortunately cost data has been 50amp160or 60 percent off amp160We fixed that problemWeisler amp160What percentage of the US and the world39s advertising spending do you trackFennessyamp160 We have about twothirds of all US national TV market invoices about 50 percent of all premium digital invoices excluding Google search part amp8230 about a third of the market in print and outofhome and about 40 of national radio amp160In other markets around the worldamp160we have between 50 and 60 percent of ad spendWeisler amp160What trends are driving the advertising marketFennessyamp160 See Fennessy39s detailed summary here amp160Cable news continues to be on fire amp160In the first couple of months 2018 it was up 13 percent We continue to see real strength in sports the Super Bowl was up 34 percentage points and the Winter Olympics were up more than 10 percent over the 2014 Games amp160The NFL regular season was down about sixamp160percent but the playoffs were up about 15 percent amp160We39ve also seen real strength in tentpole events like the GrammysWeisler amp160What areas are not really doing that wellFennessyamp160 Late night programming on broadcast is down 15 percent for the year but latenight comedy on cable is doing much betterWeisler amp160When does the drop in TV ratings impact pricingFennessyamp160 The ROI studies show national TV in particular is still a powerhouse for return on ad expenditure amp160The massive problems that digital is having with brand safety and security areamp160playing right into the hands of TV networks amp160So we expect a strong UpfrontWeisler amp160SMI reported digital grew double digits last year but there39s been a lot of talk about pulling back dataFennessyamp160 Digital has probably been overbought amp160As advertisers have taken more money out of TV and put it into digital their market share has actually dropped amp160Now they39re starting to put it back into national TV and there39s a direct correlation to an increase in sales amp160But I think you do have to have the right mix amp160The ARF says an ideal mix is about 82 percent TV and 18 percent digital and they work well in tandem reinforcing each otherWeisler amp160What are the biggest trends in digital and TV for the next couple of yearsFennessyamp160 In digital it has to be around privacy and security amp160On the TV side we39ll continue to see innovation amp8230 less ads but much more expensive ads advanced targeting different types of creative like the sixamp160second ad highquality drama programming and a real focus on live eventsPhoto at top Left to right EB Moss Charlene Weisler James FennessyClick the social buttons above or below to share this story with your friends and colleaguesThe opinions and points of view expressed in this content are exclusively the views of the author andor subjects and do not necessarily represent the views of MediaVillagecomMyersBizNet Inc management or associated writers

Click to Make Your 2025 Contribution to Support the MediaVillage Education Foundation

Podcast: A Conversation with SMI CEO James Fennessy

Author

Publish date

Channel

Archived in

E.B. Moss

Jon Miller | Cofounder Marketo, Engagio | The Gumball Machine is Broken - Rethinking B2B Marketing - By Mike Linton

More Videos:

Click to Make Your 2025 Contribution to Support the MediaVillage Education Foundation

Podcast: A Conversation with SMI CEO James Fennessy

Enjoying This Commentary? There's More to Love

E.B. Moss

Jon Miller | Cofounder Marketo, Engagio | The Gumball Machine is Broken - Rethinking B2B Marketing - By Mike Linton

The payment was successful

Cookies