Full Circle, TV Has Become "The New Online"

NASHVILLE, Tenn. - April 9, 2018 - PRLog -- Digital media has certainly changed the way we experience events, entertainment, and everyday life, around the world... however, it may not be doing 'the trick' for advertisers as you much as you might imagine. Not settled with amassing huge audiences of tens of millions of online users, digital media companies are now trying their hand at TV.

I kept noticing this trend and wondered if anyone else was paying attention to how many online companies are driving people to their websites through television advertising - while at the same time, most social media ad companies are telling local and corporate business, TV's not relevant anymore - shame, shame, shame :) The truth is, all mediums matter to some extent but Television has been under constant attack for about 15 years and believe it or not, its just as strong as ever, and possibly stronger, because the purpose and "pipeline" of "the Box", has increased exponentially.

In a note entitled "TV is the new online," Liberum Capital head of European media research, Ian Whittaker, said that the recent moves from BuzzFeed and Vice towards TV "shows even the newly-launched online platforms that have been part of every single future of media conference in the last two years actually [have started] looking at more traditional media and more specifically TV, which is the media channel with the highest ROI [return on investment.]" Speaking to Business Insider, Whittaker said: "Online is now coming under more scrutiny,

Whittaker added that online measurement systems are still behind those of TV — while online companies proudly boast their reach, it doesn't always tell the full picture and advertisers are becoming more wise to i

TV is still where the money is
While linear (TV watched as it is scheduled) TV ratings  have broadly declined, TV ad spend continues to grow. Carat, a media buying agency, predicts  global TV ad spend will increase 3.1% this year and 2.9% in 2017. Marketers still spend more on TV than any other medium. And even though  "digital" ad spend is predicted by eMarketer to overtake TV ad spend next year— much of the money spent on "digital" is associated with content from TV networks (especially on their video-on-demand players.)

Part of the reason that traditional TV revenue has continued to grow is that as ratings fell, TV networks — particularly those in the US —  began stuffing more and more ads into every hour of broadcast. But part of the reason is that ad buyers are most comfortable with buying TV.

Netflix CEO Reed Hastings is the "prime example of this," according to Clay.

"He's constantly saying how binge watching is the future, people are never going to stick to the schedule, and TV's dead, but they invest huge amounts in TV advertising for their own service," she said.

Thinkbox research, based on data from Nielsen, found that online businesses invested more than £500 million ($711 million) on TV advertising in the UK in 2015, up 14% on the prior year. Netflix, Google, and Facebook spend more than 60% of their marketing budgets on TV advertising,  the research found.

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sources: Business Insider / Lara O'Reilly
Liberum Capital/ European Media Research
Original Content: Steve G Galiher / A3