While television
advertising is not nearing extinction, the TV ad business model is facing a
major transition. We still watch TV advertisements while watching any TV
programme, however, if we compare TV ads to what it used to be 10-15 years from
now, you'll definitely come across a lot of changes.
TV advertising
still takes the top seat when it comes to creating brand awareness effectively.
However, with each passing day, ad spending is moving to the digital realm and
media companies are working to find solutions. Hence, here all you need to know
about the working of TV advertising and how it’s changing.
Timing is the Key (to Almost Everything
The daily average
TV viewers in India have increased to 62 million since January. As per BARC,
there is a jump of 11% from 560 to 622 million viewers watching television. At
the same time, the daily viewership from 3:36 hours to 4:49 hours per day has
increased by 23%. Additionally, the more channels are being watched, precisely
16 to 22 channels per week, thereby increasing the number of channel viewership
by 38%.
What's more?
Individuals within the age bracket of 15-years and above are spending 2.8 hours
(approx.) per day watching TV.
Brands or
businesses generally experience 5% uptick in sales during the first month of releasing a television
advertisement. However, when it comes to ad lengths, each channel has
its own restriction in this regard as well as in terms of the ad subject
matter. For example, during a kids' show, it is highly unlikely for you to come
across any beer advertisement or any other ad with adult content.
When it comes to
small business with a limited ad budget, it is essential for them to choose the
right time for releasing the ad. Releasing a TV ad is about garnering the
maximum viewership more than the frequency of the ad. The reputation of the
program and the frequency of airing the ad together have an impact on the total
cost of running the ad.
Upfronts and Sweeps
In the television
industry, there lies a term upfront season. It is defined as the
advance-selling season in the spring when marketers buy television commercial
airtime several months before the season begins. There’s also the TV “sweeps”
periods, which happen during set times in a year when shows suddenly start
having special guests or a huge must-see event.
Brands are Going Digital- However, is it Worthwhile?
The TV advertising
model has changed drastically with the introduction of DVRs and TiVo. These
have enabled the viewers to choose whether or not to watch an ad, and millions
of people started skipping the ad.
In other words, new
business models are developing catering to TV
advertisements. Traditional networks and advertisers are trying to find out
effective ways to reach their target audience as digital platforms like Netflix
do not even depend on the revenue that comes from the advertisement.
The Verdict
These days, the
game around television
advertising has changed. While there are TV shows which are extremely
popular among the Indian household, businesses are battling things like DVRs,
online streaming and younger audiences who prefer online platforms or their
phones for entertainment. Still, traditions like the up fronts and sweeps weeks
remain, while TV ads still happen to be any company’s important marketing plan.
