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Evaluating TV Effectiveness

Olga Casabona – Senior Director, Client Insights, Turner

Isaac Weber – VP, Strategy, MarketShare

Ad dollars are shifting from TV to online due to the latter’s perceived higher efficiency. But TV’s problem isn’t effectiveness, it’s measurement. The research aimed to help marketers better understand media effectiveness, in order to maximize sales and ROI.

Media mix models from over 500 brands were analyzed, including actual market observations. A holistic model encompassing paid, owned, earned, controllable and non-controllable was developed that measures direct and indirect impacts on media. Key findings are as follows:

  • Even with the explosion of digital media, “TV remains the most effective advertising medium representing the highest impact on sales.” TV was also found to drive the largest indirect impact through organic search and web activity.
  • “Media mix matters. Optimizing TV spend with high-frequency consumer interaction data translates into significant increases in sales.
  • Premium content also matters. Premium TV online video significantly outperforms other publishers’ video content.” Despite the lower amount of impressions, premium content drives higher ROI.

Implications for marketers:

  • “Consider the strength of TV’s effectiveness across categories.”
  • “Leverage TV’s synergistic impact on other marketing vehicles.”
  • “Recognize the “need for consistent, adequate, and optimally-timed TV.”

 

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