According to Thinkbox and Magic Numbers research, TV advertising helps brands create cheaper online journeys. The econometric analysis of 10 online businesses proven to have used TV to drive their growth discovered that 66 percent of online search journeys initiated by TV ads were direct/URL or organic search visits, which carry no additional cost to the advertiser. A further 20% were paid brand search clicks, which carry a small search cost, while 14% were for paid generic searches, which carry the highest search cost.
The ‘The TV playbook for online businesses’ study found TV advertising has a positive effect on click-through rates in both organic and paid search. The analysis of a furniture retailer in the study, for example, revealed that during three years of increasing TV investment focused on driving traffic, its brand search click rate improved from 37.4% to 38.8%.
The research suggests that advertising on TV can have an immediate and visible response. Across the 10 brands modeled, TV drove 42% of all visits online – 50 million in total – at an average cost per visit of £2.11. Six of the 10 brands the study modeled had a TV cost-per-visit of between £1.90 and £2.50. Furthermore, the study finds that brand-focused TV advertising, along with outdoor, has the longest-lasting effects, generating 50% of sales in the first 14 weeks and 50% in the two years following activity.
TV Advertising is not just for huge Brands
Most people are likely to think that only the largest brands will benefit from the full mass-media reach on offer when considering the advantages of TV advertising. There’s no denying that the bigger your budget and the bigger your audience, the more you’re likely to be seen in return. However, this does not preclude small and medium-sized businesses from benefiting and reaping their own share of the benefits.
Why brands should consider advertising on TV?
Reach Larger Audiences
One of the most significant advantages of television is the ability to scale your marketing and potentially reach large audiences. Simply put, no other kind of media allows you to reach as many people with a single advertisement. TV advertising is fantastic at reaching large audiences with frequency and speed. Furthermore, studies have shown that 60 percent of consumers are more likely to make a purchase after seeing an advertisement on television, compared to just slightly more than 40 percent after seeing ads online or on social media.
Other advantages of advertising on television include the ability to target specific audiences and expand reach by encouraging further engagement on social media. Advertisers can target their audience by purchasing ad spots during shows their intended demographic is likely to be watching.
TV advertising, unlike almost every other medium, has a captive audience. The audience is free to do things or switch channels when the ads come on, but the majority will remain in their seats, 'watching live,' allowing your ad to enjoy its time in the spotlight. If the program that they are watching has been recorded and they skip the ad, you won't get charged for that anyway. However, this is an issue that simply doesn’t exist on TV. Some viewers may be able to fast-forward past the advertisements due to the live recording. 91 percent of all viewers, however, still watch live television at least once a week. When watching live, viewers are unable to skip advertisements. Since the broadcasters control the medium, it’s much easier to ensure that their audience simply doesn’t zip past the ad.
Legitimacy and Cost Delivers Brand Trustworthiness
Although TV advertisements are more expensive to produce than other forms of advertising, and commercial air time can be costly, promotional material on television is the most influential because consumers trust it more than other mediums. They also interact with it more than other mediums. When it comes to establishing a sense of legitimacy and trust in your brand, TV outperforms all other platforms. Furthermore, it does it to such a large market that brand recognition is almost certain to increase after a single TV ad campaign.
TV and Online Work Together
In fact, taking a multi-channel approach with the same branding or campaign can boost brand recognition and growth. Furthermore, thanks to the power of the internet, TV can be watched from any device at any time. TV advertising has also been shown to improve user engagement with your online content. Your TV advertisements can prompt them to become more involved with your online efforts, whether it's through a multimedia marketing campaign or simply by sending them to your site. Furthermore, the viral nature of the internet allows an ad to be shared and seen thousands, or millions, of times.
Thinkbox/Magic Numbers, Smallbusiness.chron.com, Improvemarketing.co.uk