Friday, March 27th, 2009
Lately, I’ve been thinking about what television advertising
will look like over the next few years. Although the 30-second spot pallbearers are suited and ready to go, that doesn’t mean video is on the way out. In fact, I think it’s just now getting its wind.
Yes, I realize that sounds ridiculous. After 75 years of massive growth, we’re just now getting started? Yes.
Television is not dying, not even close. It’s growing as fast as ever before.
This sounds like we can relax, use our same old television commercials, and whistle all the way to the bank. But technology is too fickle a friend, and as it has empowered our abilities, now it will empower others’.
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Friday, March 13th, 2009
The drumbeat of doom for TV advertising has sounded for more than a decade—DVRs, channel surfing, fragmentation, clutter, the flight to digital media … Jay Leno moving to primetime. Now the recession has even TV’s most reliable moneybags of yore, such as Procter & Gamble and General Motors, yanking big wads of cash off the table.
Yet a funny thing is emerging from the smoldering ruins of what may be the ugliest quarter TV has ever encountered financially:
A growing body of evidence which suggests not only that TV advertising still works, but that it may be working better than ever.
Analyses by people and companies that have studied or made bets on advertising effectiveness for years find no evidence that all of the problems TV advertising faces have done anything to render it less effective at its ultimate goal—selling stuff.
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Monday, February 16th, 2009
The National Bureau of Economic Research has declared that the U.S. economy entered a recession in December of last year. Of course, the news is hardly groundbreaking news these days.
In a recession, customers don’t stop buying; they just stop “over-buying”. In other words, they start second guessing that $4 Starbucks latte and start talking about how great $.99 Dunkin Donuts coffee really is after all. Spending more conservatively on small items helps the American consumer rationalize larger purchases like cars, vacations, and clothes.
So what to do when your local market economics wither? You need to make sure that your television ad campaign generates an even higher Return on Investment to compensate for a smaller market opportunity.
How do you do it? Simple. You “Recession-Proof” your television campaign. Here are a few tips on how to do it:
Present a Superior Value:
The consumer wants to see a commercial from you that can help her stretch her dollar. Auto dealers are moving toward advertising and selling more preowned cars instead of new cars. These used cars are a great value and the dealer makes money on these used car sales at a rate of five to one versus new. Department stores start gift with purchase events. Furniture stores are offering full room discount deals. Grocery stores start accepting competitor’s coupons. You get the picture. Think about what value statement you can create that makes your product or service a more attractive value than those of your competition. (more…)