It’s the perfect marketing equation. More people watching TV plus attractively priced packages equals a great time for advertising on TV.
People are watching more TV
Over the past year, there’s been a change in TV behaviour with viewership on the up. Due to Covid-19, society has temporarily withdrawn from life outside, and TV has become an important source of trusted information and a necessary distraction.
Over 95% of consumers in the U.S. and UK say they consume more content since the outbreak, with the biggest spike in watching news coverage. Gen Z are more likely to be streaming music and uploading videos whilst boomers are more likely to be watching TV on broadcast channels. Income has an impact too: Higher wage-earners are more likely to report increased media consumption.
Yet despite increased eyeballs, the Advertising Association and Warc Expenditure Report forecasts that TV ad spend will be down 46.6% this year.
Broadcasters have cut prices
Broadcasters have responded with a reduction in the average price for a TV spot. The impact of this for businesses is that price for advertising on TV will offer even better value over the next couple of months.
- ITV has offered 23% discount on bookings and suspended late fees.
- AdSmart has its SME100 incentive, offering £10K campaigns to SMEs.
Now’s the time to advertise on TV
With a global recession upon us, I know some businesses are more focused on survival rather than advertising. But not all. At this time, some businesses are offering just what we all need, like remote working apps, med-tech, educational tools, vending machines or home delivery services.
I don’t know about you, but since Boris unveiled a conditional plan to reopen businesses, I’ve seen an increase in business activity. This may be the result of large brands exploring more affordable creative agencies in the south west. Or that the brave amongst are heeding the advice of marketing guru, Mark Ritson, who advised that the best marketers will be upping, not cutting their budgets,
‘It may seem like a paradox, but recessionary periods actually provide fertile grounds for marketers to grow their brand’s market share if they’re prepared to think long-term.’
When we emerge from this crisis, brands that maintain or build during it will be much stronger for it. While you couldn’t possibly talk about these opportunities a month ago, now that the government has started to set down guidelines on the reopening of businesses, those getting ready for new ways of working should make the most out of this opportunity in increased viewership combined with less ad competition and reduced prices.
Skylark Media is the recommended video production company for Adsmart for Sky. We can help with any questions you might have about launching a winning campaign