10/06/2021
Now more than ever, we are aware that watching television has changed. The 6 o’clock news does not reach people under 30, the water cooler rehash of last night’s show does not exist, and the days of “Must See TV” on a single channel are long over. Television viewing is fragmented, which can be a challenge for local and short-term advertising campaigns. Budgets do not always allow for traditional schedules to reach a divided audience with enough frequency to promote recall. Many agencies are recommending an overhaul of plans, in favor of programmatic buying or a straight OTT platform. The directness of a campaign that can target individuals based on exactly who they are, where they are, and what type of media they consume is an easy sell. What is the downside?
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In actuality, the universe of OTT viewing is small. Most homes have some sort of third party serving, so viewers have options. However, according to ThinkBox Research, as of September 2021, on average, 64% of viewers watched at least one minute of broadcast TV a day. This culminates to 84% within 7 days. The opportunity for message recall is imperative and opportune; no other form of media can reach so much of the population in as short a time.
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Additionally, OTT is expensive on a CPM level. A $30-$50 average CPM is manageable for a national or long-term advertiser, but for short-term, local, retail, or healthcare branding, it’s not suitable as a stand-alone campaign. What good is a beautiful spot or message if very few people see it? Rather than using OTT as a replacement for TV advertising, the two should be integrated for maximum results. The layering of these mediums provides consistency and reach, as well ensuring video messaging is accessible and successful for most clients.
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Just as TV has not replaced radio, Digital has not replaced a more traditional broadcast campaign. Television continues to reach the largest audience at the most affordable cost.
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