Advertisers Showing Renewed Appreciation for Premium Video, Including Linear TV

This perceptual shift back to quottelevisionclassquot video ad contexts portends further digital video adspend shifts to premium digital video and perhaps even to linear TV as mounting evidence from virtually all ROI attribution systems including ongoing Bill Harvey Consulting studies leveraging SMI data continues to show TVamp8217s high ROI irreplaceable reach and attentionemotion advantagesTechnology improvements that make linear TV easier to plan optimize buy and track such as OptiBrain will contribute to renewed growth in linear TV adspendIn premium digital video programmatic innovation leader Reset Digital continues to help networks make their premium OTTCTV content selectable at the program level The chart below shows that this programselect capability means twice the sales lift effect of using the systematic context resonance system of RMTWhile advertisers make their more cautious shifts citizens are changing their basic habits far more rapidly as always According to a Horowitz Research study fielded in Q4 2020 cited by Byron Media founder John Morse 40 of US TV content viewers 18 now own an antenna up from 29 a year earlier among 1834 the increase was more than double from 20 to 42 It39s clever to understand that antenna acquisition is a leadingedge indicator of cord cutting People are foreseeing watching more free TV using a combination of CTV and antenna This is a perfect time to speed up the deployment of ATSC 30 and the sale of antenna packages including the ATSC 30 adaptorThe quotset it and forget itquot past habit of longterm MVPD subscriptions is rapidly turning into an quotin and outquot tactic the majority of citizens have already adopted and as the idea spreads it will tend to become almost universal people are trying out new AVODSVODvMVPD services with an intention to watch specific content they offer and then churning out This preplanned churnout tactic is new to televisionThe best way to retain these customers is to ensure that you are recommending to them programs they will really enjoy and thereafter watch loyally Take a close look at the data to see if you can find evidence of how well or poorly your current program recommendations are performing Too often they are based on collaborative filtering duplication of audience What are the programs with heaviest duplication to programs this subscriber watches The problems with this approach are manyCannot be used for new shows until weeks go by and duplication patterns with the new show stabilize That is exactly the time period in which new shows are subject to infant mortalityIgnores the awareness and trial factors ScreenEngineASI shows that the typical major TV show39s existence is known to fewer than a third of its potential viewers Programs in the longtail not included in such studies have even lower awareness levels Duplication data are therefore a very limited data set representing a minority of the potential audience After becoming aware of the existence of a TVvideo series it must first pass through the filter to the trial of that program and therefore is severely cut down from the total potential audience to what is probably in the ballpark of 10 of the program39s potential audience Making vital decisions while excluding 90 of the program39s potential audience is not a best practice yet today is almost universalIf you use collaborative filteringduplication you never find out what it is about a program which makes people love it that makes it harder to decide what to include in tunein ads The recommended alternative is to use RMT or custom research or both to learn what motivates viewers to a specific series and how to reach people 276 million privacy protected ID graphed Semasio RMT IDs in the US who are highly motivated by those same emotional and psychological attributes That approach can be used the day a new series launches without the delay imposed by collaborative filteringduplicationThe fastest and most accurate way to test new approaches such as this is the use of random control holdout groups In my work on this with ARF RCT21 in a private ARF meeting with about a dozen top advertisers one of them that has been using random control trials RCTs to calibrate its media planning model shared its result media cost saving of 30 while more than doubling of incremental sales The thing about RCTs is that they automatically measure incremental sales All correlationbased attribution methods must estimate the percentage of sales which are incremental For planning optimization buying and postevaluation forecasting models must be used but they will serve you better if they are calibrated by RCTs a few times annuallyClick the social buttons above or below to share this content 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

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Advertisers Showing Renewed Appreciation for Premium Video, Including Linear TV

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Bill Harvey

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Advertisers Showing Renewed Appreciation for Premium Video, Including Linear TV

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