As society becomes more digital, business owners and marketing managers could be forgiven for thinking all the opportunities for growth are now online.
Thinkbox joined us at Guerilla HQ recently to explain how this train of thought is actually damaging to a brand’s prospects, and why TV advertising should be under consideration.
Internet advertising offers an effective means of targeting and speaking to consumers already in the market – this we know.
However, over time it becomes hard to maintain this early sales growth, and the principle of diminished returns begins to apply. Simply put, you end up preaching to the converted.
When a brand reaches this point, it’s time to initiate phase two: build a future demand pool. Here, creative messaging and the scale afforded by new advertising channels are key.
TV’s clout as a driver of demand is evident in the average UK viewer’s tendency to consume almost 4 hours of live telly a day. What’s more, advertisers can reach 70% of the population instantaneously, 90% in a week, and almost the whole nation within a month.
Yet despite its unbeatable reach and brand building potential, many advertisers find TV a daunting prospect.
This is usually due to one of four misconceptions: it’s too expensive, too risky, not accountable enough, or too soon for a small business just starting out.
For businesses trying to break through a glass ceiling, the platform on which you advertise is as important as the message itself. Using a trusted channel like TV shows confidence in your product and creates a sense of scale – it makes you look bigger than you perhaps are. This in turn drives credibility, and helps consumers form a positive association with your company.
As for affordability, it may surprise you to learn that over half of TV advertisers in 2018 spent less than £50k across the entire year? In fact, the average cost for one view of a TV spot currently equates to just £0.6p.
TV is also the medium that offers the lowest risk to your investment. It’s responsible for 71% of total advertising-generated profit, and generates the highest average ROI at £4.20 per £1 spent (covering three years or more) . No other media channel comes close in the short-term either, with £1.73 made for every £1 spent.
Arguably, the largest feather in TV’s cap is its ability to sustain and build a business over the long-term. No other advertising medium combines audio and visual to elicit emotional responses so effectively; this memorability and depth of connection means TV continues to work hard for the advertiser long after a campaign has aired.
The instant credibility and inevitable longevity added to any media campaign from TV advertising aligns with the 60:40 rule: according to best-practice theory, 60% of any brand’s budget needs to go into long-term brand building to ensure success for the future. This also drives activation in the short-term.
Ultimately, in the age of dual-screening all TV drives response and all TV builds brand visibility.
Brands are often deterred from advertising on TV as they believe that it is not as accountable as digital.
Although digital and social have provided advertisers with simple ways of measuring campaign effectiveness, there are now multiple TV tracking tools on the market which now allow advertisers to experiment with different programming, ad lengths and seasonal trends.
Guerillascope optimises campaigns with the assistance of Adalyser, an industry-leading analysis tool. This allows us to evaluate performance by TV channel, hour of the day, day of the week and even postcode; for the advertiser, it means smaller portions of a budget can be used to test, learn and build around the best performing areas.
This capacity for performance analysis was hugely successful for Teletext Holidays, where after six months of testing we had reduced the brand’s Cost Per Lead by 68% – a level we have maintained ever since.
Want to get the ball rolling on your own TV advertising campaign? We’re always available for a chat.