Buy 40 Reach in Linear then Addressable TV to Add 20-40 More Reach Points

This and many other actionable welldocumented findings can be found in the new CIMMGoAddressable Guidelines for Planning and Buying Addressable TV put together by two of the most trusted consultancies in the business Janus and Sequent The consultants drew upon the vast data available from GoAddressable including a metaanalysis of 145 recent addressable TV campaigns as well as best practices and data supplied by the 19 major companies interviewedThis report captures industry learning driven by the pioneers in using addressable TV and shares it with all CIMM members An advertiser or agency attempting to duplicate this learning would need to invest millions of working media dollars and at least a year or more of testing and would still fall short of the scale of the learning condensed in this landmark studyWhen Next Century Media introduced addressable TV commercials in the 1990s the main benefit we emphasized was the elimination of waste audiences for the buy side resulting in a lower eCPM CPM against the target while the total revenue to the sell side would be increased by the overall average CPM being paid per 15 seconds going up Both buy and sell sides winAs shown in this new report the winwin of addressability works whenever the target audience represents 45 or less of the total population When the target is larger than that it is less expensive to use linear than addressable The smaller the target the more advantageous it is to use addressable In other words it even works if you are targeting a smaller sexage group For example males 1824 are 94 of the population However current addressable campaigns are typically targeted to specific types of purchasersThe report establishes that there are two main types of addressable TV in the US the MVPD type and the CTV type The MVPD type is available from individual MVPDs as well as combinations of MVPDs and through aggregators The CTV type includes programmerowned streaming services independents such as Netflix Crackle and FAST channels TV set manufacturers and virtual MVPDs such as Sling TV DIRECTV STREAM YouTube FUBO or Hulu LiveAnother type of addressable TV that is not yet in broad use is when a linear network offers addressability through deals with the MVPD andor CTV infrastructure I first proposed this type in the 1990s as a way of increasing marketing productivity for the buy side while also increasing revenues and margins for the sell side I proposed it again more recently as a way of reestablishing the profit growth of linearIt is a common belief that the CTV type has a strong edge in terms of reaching younger people but this report debunks that misperceptionLinear TV delivered principally by MVPDs reaches 22 of adults 1849 exclusively CTV only 4 points higher in this measure six months ago and that parameter has been shrinking since thenand the total reach of linear TV is 74 against adults 1849The study found that the two main types of addressable each have their own strengths Importantly if one uses addressable TV in conjunction with household level purchase tracking the MVPDs have the edge over the CTV type because MVPDs match by postal address whereas CTV matches by IP address In a quarterly campaign the MVPDs still have 61 matchability by the end of the quarter whereas for CTV it is only 24 matchability left after a quarterCTV on the other hand is perceived by the buy side as offering faster and easier including programmatic campaign starts and measurement reports which can be near real time for CTV vs quot23 weeks for MVPDquot However GoAddressable members have now achieved turnaround time of less than a weekEach type can improve by closing these gaps which is easier said than done There are no technical barriers only costs to considerThe amount of additional information in this report is considerable We have only touched upon a few highlights We strongly recommend you take a look at the reportamp160Posted at MediaVillage through the Thought Leadership selfpublishing platformClick the social buttons to share this story with colleagues and friendsThe opinions expressed here are the author39s views and do not necessarily represent the views of MediaVillageorgMyersBizNet

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Buy 40 Reach in Linear then Addressable TV to Add 20-40 More Reach Points

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Bill Harvey

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Buy 40 Reach in Linear then Addressable TV to Add 20-40 More Reach Points

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