There is so much unbelievable and interesting content out there nowadays that advertisers are going crazy trying to figure out ways to capitalize on all of it. Currently there isn’t a standard metric for a morphing viewing industry. There needs to be a single-source measurement for every possible content interface, tablet, mobile, streaming, etc., without it marketers are going to have a hell of time.
Advertising is in a dire need to redefine what TV is. TV networks throw back at least %50 of their revenue to produce original programming, they realize that streaming is huge for their TV audiences and brands. Let’s not forget how the new practice of binge TV watching has set record breaking results for new programs and sport events. Networks have kept on top of the changing mediums for viewing the material, wherever and whenever and by doing so have seem surges in viewership. Streaming is a brand builder for TV, it creates fans, new and old, gets people engaged, especially when adding social networking into the fray.
Mind you a lot of these streaming services don’t do the advertising thing, but marketers always seem to figure out way to sneak in there. It’s critical to see that the device is not the content.
TV viewers are pursuing their favorite content on the best available device. In doing so, viewers extend TV’s reach across today’s full range of video-viewing devices and conduits. It’s a sea change, evolution, not revolution. In the earlier days TV opened with sponsorships, well now the next frontier of creativity in advertising could be opt-in ads to dynamic ads to ads that aren’t ads at all.
Think about the fact that Google keeps increasing its advertising revenue even though they are making less money per ad. The pricing-versus-supply trend is a problem the company has tried to fix. Why is this? CFO Patrick Pichette, who is leaving Google says it’s Youtube’s fault. People can just click past the ads. Although “We are experiencing strength in mobile search, and the [prices per ad click] in our core search business are continuing to grow year-over-year,” Mr. Pichette said.
How about the fact that Facebook now claims to average 4 billion video views a day. Last September they only claimed a billion. YouTube no longer reports its total daily video views, but the Google-owned video service said in January 2012 that it had notched 4 billion daily video views. Well then, guess who’s catching up? Facebook announced on Thursday a branded-video program called Anthology that will have publishers and digital video producers including The Onion, Electus Digital, Oh My Disney, Vice, Vox Media, Tastemade and Funny or Die. They are all creating videos for advertisers in collaboration with Facebook’s Creative Shop. These would run as ads on the social network.
When you try to picture what’s happening here, it could make Facebook bigger than Youtube as the go-to destination for digital-video advertising. Hence, putting a major dent in Google’s revenues. The whole reason marketers would look to Facebook as an outlet is because Facebook has all the data on what their people already watch and want to watch. Companies can you use this data to their advantage.