TV Advertising’s Killer Charts...in this presentation… tv viewing: the facts 01 tv advertising:...
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TV Advertising’s Killer Charts What every marketer should know PUBLISHED Nov 2018 Full Deck - Nickable charts with notes
Transcript of TV Advertising’s Killer Charts...in this presentation… tv viewing: the facts 01 tv advertising:...
TV Advertising’s Killer ChartsWhat every marketer should know
PUBLISHED Nov 2018
Full Deck - Nickable charts with notes
Who is Thinkbox?
Main shareholders
Associates & supporters
In this presentation…
TV VIEWING: THE FACTS 01
TV ADVERTISING:
THE MOST EFFECTIVE AND GETTING MORE SO 02
TV DRIVES ACTIVATION 03
TV AND MULTI-SCREENING 04
TV HAS UNBEATABLE SCALE AND REACH 05
TV IS THE EMOTIONAL MEDIUM AND BUILDS BRAND FAME 06
TV IS GREAT VALUE 07
TV IS A TRUSTED & SAFE ENVIRONMENT FOR BRANDS 08
TV viewing: the facts
SECTION ONE
In a decade of disruption, TV viewing is resilient
00:00
00:30
01:00
01:30
02:00
02:30
03:00
03:30
04:00
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
HR
S V
IEW
ED
PE
R D
AY
(A
LL
IN
DS
)
Live TV TV Playback Broadcaster VOD Subscription VOD
Source: 2007-2017, BARB / Broadcaster stream data / OFCOM Digital Day / IPA TouchPoints 2017
There’s an additional 7% of TV viewing on top of ‘industry standard’
Source: BARB and UK broadcaster data, 2017, individuals
3h 38mAdditional
TV set
viewing
Industry
standard TV
set viewing
Additional
viewing on
other devices
3h 23m
3½m
11½m
Time spent per
person per day
There’s an additional 15% of TV viewing on top of ‘industry standard’ for 16-34s
Source: BARB and UK broadcaster data, 2017, 16-34
2h 21mAdditional
TV set
viewing
Industry
standard TV
set viewing
Additional
viewing on
other devices
2h 2½m
6½m
12m
Time spent per
person per day
22,1%
1,1%
8,1%
2,0%0,6%
4,3%
12,6%6,4%
9,6%
33,1%
9,1%
1,2%
6,3%
1,8% 0,4%
3,7%
6,4%
3,9%
10,8%
56,4%
YouTube
Other online video
Online 'adult' XXX video
Cinema
DVD
Subscription VOD
Broadcaster VOD
Playback TV
Live TV
TV accounts for 71% of our video day…
Source: 2017, BARB / comScore / Broadcaster stream data / IPA TouchPoints 2017 / Rentrak
All Individuals: 4hrs, 39 mins
16-34s: 4hrs, 19 mins
Average video time per dayALL INDIVIDUALS
16-34s
2,9%
6,3%
0,7%
4,8%
9,0%
76,3%
0,9%
3,9%
0,4%
2,5%
6,6%
85,8%
YouTube
Other online video
Cinema
Broadcaster VOD
Playback TV
Live TV
TV accounts for 95% of ad viewing time
Source: 2017, BARB / comScore / Broadcaster stream data / OFCOM Digital Day / IPA Touchpoints 2017 / Rentrak
All Individuals: 21mins
16-34s: 14mins
Average video advertising time per day
ALL INDIVIDUALS
16-34s
On average each person sees 42 TV ads a day
Source: BARB, H1 2008-2018, individuals.*digital switchover complete
Only includes ads viewed at normal speed
In total 2.5 billion TV ads are seen in the UK every day
42
4745
47 47 4845 45 45
43 42
H1 2008 H1 2009 H1 2010 H1 2011 H1 2012* H1 2013 H1 2014 H1 2015 H1 2016 H1 2017 H1 2018
Broadcaster VOD on the TV set grew by 13% in 2017
Source: UK broadcaster data, Individuals
3,5
5,0 5,0
7,5
8,5
3,03,5
4,0 4,03,5
2013 2014 2015 2016 2017
TV set BVOD
Device BVOD
MIN
UT
ES
PE
R D
AY
Viewers have embraced new screens for broadcaster VOD
Source: TouchPoints 2018, IPA. Base: adults 15+
37.9%7.8%
5.4%
8.6%
% of adults watching broadcaster VOD via device (in a week)
Laptop / desktop Tablet SmartphoneTV set
TV accounts for 37% of adults’ chosen media day
Source: TouchPoints 2018, IPA. Base: adults 15+. Includes only media which people choose to consume. TV, radio, newspaper & magazine figures include online/app consumption
37%
16%3%
1,0%
0,4%
4,3%
2%
12%
15%
3%7%
Any Broadcast TV (Live, Recorded or Catch-Up)
Any Radio
Any Newspaper
Any Magazine
Cinema
SVOD
Other online video (inc. YouTube and Facebook)
Using a Messaging Service e.g. Texting/WhatsApp
Using Social Media e.g. Facebook/Twitter/Instagram
Streamed Online Music
General internet browsing
ADULTS
TV accounts for 21% of 16-34s’ chosen media day
Source: TouchPoints 2018, IPA. Base: 16-34s. Includes only media which people choose to consume. TV, radio, newspaper & magazine figures include online/app consumption
21%
9%
2%
0,6%0,5%
7,6%
5%19%
24%
5%
7%
Any Broadcast TV (Live, Recorded or Catch-Up)
Any Radio
Any Newspaper
Any Magazine
Cinema
SVOD
Other online video (inc. YouTube and Facebook)
Using a Messaging Service e.g. Texting/WhatsApp
Using Social Media e.g. Facebook/Twitter/Instagram
Streamed Online Music
General internet browsing
16-34s
There are 8 need states which drive video viewing
16% COMFORT
10%
EXPERIENCE
26% UNWIND
2% DO
18% DISTRACT
9% INDULGE
7% ESCAPE
12% IN TOUCH
co
nte
nt
co
nte
xt
socialpersonal
Live TV viewing is driven by need to keep in touch and experience viewing with others
Source: The Age of Television, 2018, MTM/Thinkbox. Base: all adults (53 – 1,531)
77%
68%
62%
56%
48%
44%
44%
31%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
IN TOUCH
EXPERIENCE
COMFORT
UNWIND
INDULGE
DISTRACT
ESCAPE
DO
Live TV
Millennials’ TV viewing increases as they get older and have kids
Source: TouchPoints 2018, IPA. Base: 16-24, 25-34, 25-34 with children
0,00
1,00
2,00
3,00
TV on a TV set BVOD SVOD e.g. Netflix Other Online Video incYouTube / Facebook
AV
E.
HO
UR
S V
IEW
ED
PE
R D
AY
16-24
25-34
25-34 with children
TV dominates media consumption all evening
Source: TouchPoints 2018, IPA. Base: adults 15+. TV, radio, newspaper & magazine figures include online/app consumption
0
5
10
15
20
25
30
35
40
45
50
06:0
0
06:3
0
07:0
0
07:3
0
08:0
0
08:3
0
09:0
0
09:3
0
10:0
0
10:3
0
11:0
0
11:3
0
12:0
0
12:3
0
13:0
0
13:3
0
14:0
0
14:3
0
15:0
0
15:3
0
16:0
0
16:3
0
17:0
0
17:3
0
18:0
0
18:3
0
19:0
0
19:3
0
20:0
0
20:3
0
21:0
0
21:3
0
22:0
0
22:3
0
23:0
0
23:3
0
TV Radio Newspaper Magazine Other online activity
TIME OF DAY
% R
EA
CH
The majority of industry standard TV set viewing is live
Source: BARB, H1 2018. Individuals; Individuals in TV recorder homes. TV set viewing within 7 days of broadcast
85%
7%
8%
81%
9%
10%
INDIVIDUALS WITH RECORDERSINDIVIDUALS
Live
Time-shifted viewing
within 7 days
Viewed on the same day
as live (VOSDAL)
Even those with TV recorders watch a lot of TV ads
Source: BARB, individuals with PVRs. Ads viewed at normal speed on TV set
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2013 2015 2017
501+
301-500
201-300
101-200
51-100
1-50
None
8.8m
NO. OF TV ADS
VIEWED PER WEEK
8.8m 8.4m
6.8m 6.4m
5.5m5.2m
7.7m7.6m
4.9m5.3m
5.8m7.0m
3.8m 4.7m
6.8m
5.3m
7.2m
4.4m
4.8m
2.8m
% O
F I
ND
IVID
UA
LS
WIT
H T
V
RE
CO
RD
ER
S
People playback promptly: 58% within two days
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
VIEWING ONSAME DAY AS
LIVE
DAY 1 DAY 2 DAY 3 DAY 4 DAY 5 DAY 6 DAY 7 8-28 DAYS
% P
LA
YB
AC
K
40%
18%
8%6%
4% 4% 4%
1%
15%
Source: BARB, H1 2018. All playback on a TV set 0-28 days post broadcast, individuals
0
10
20
30
40
50
60
70
0
10
20
30
40
50
60
70
Q1 07 Q3 07 Q1 08 Q3 08 Q1 09 Q3 09 Q1 10 Q3 10 Q1 11 Q3 11 Q1 12 Q3 12 Q1 13 Q3 13 Q1 14 Q3 14 Q1 15 Q3 15 Q1 16 Q3 16 Q1 17 Q3 17 Q1 18
% T
V R
EC
OR
DE
R P
EN
ET
RA
TIO
N
% O
F A
LL
VIE
WIN
G
TV recorder penetration (HH) % time-shifted viewing in TV recorder homes (inds) % total time-shifted viewing (inds)
QUARTER
Time-shifted viewing stable in DTR homes
Source: Sky – 10 Years of Sky Plus (Q3 2006-Q3 2010) and BARB Establishment Survey (Q4 2010 onwards). Q2 TV recorder penetration Thinkbox estimate
Time-shifting is driven by programme genre not ad avoidance
Source: BARB, 2017, individuals in TV recorder homes, commercial TV vs BBC. TV set viewing within 7 days of broadcast
65%57%
75% 78% 76% 80% 78% 80% 84% 84% 84% 87% 88% 90% 86% 79%94% 95%
35%43%
25% 22% 24% 20% 22% 20% 16% 16% 16% 13% 12% 10% 14% 21%6% 5%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
% P
LA
YB
AC
K
Timeshifted Live
TV advertising: the most effective and getting more so
SECTION TWO
TV creates 62% of short-term profit at the highest efficiency (all categories)
Source: ‘Profit Ability: the business case for advertising’, November 2017
Ebiquity ROI campaign database (Feb’14-May’17). Campaign obs: 1954
SH
OR
T-T
ER
M P
RO
FIT
RO
I E
FF
ICIE
NC
Y
£0,00
£0,50
£1,00
£1,50
£2,00
£2,50
0% 10% 20% 30% 40% 50% 60% 70%
TV: 62%
Print: 22%Radio: 5%
Online Video: 5%
OOH: 3%
Bubble size represents
% of short-term return
Online Display: 2%
% OF BUDGET
BREAK EVEN
NB: Online Video includes Broadcaster VOD, YouTube, Facebook
video & online programmatic video
Scale is fundamental to high profitability
Source: ‘Profit Ability: the business case for advertising’, Nov 2017
Ebiquity ROI campaign database. Financial Services example
INC
RE
ME
NTA
L P
RO
FIT
RE
TU
RN
£0
£2 000 000
£4 000 000
£6 000 000
£8 000 000
£10 000 000
£12 000 000
£14 000 000
£16 000 000
£18 000 000
£0 £2 000 000 £4 000 000 £6 000 000 £8 000 000 £10 000 000
TV
Radio
Press
Online Video
Online Display
OOH
SPEND LEVELNB: Online Video includes Broadcaster VOD, YouTube, Facebook
video & online programmatic video
Total advertising-generated profit by medium
Source: ‘Profit Ability: the business case for advertising’, Nov 2017
Ebiquity ROI campaign database (Feb’14-May’17) & Gain Theory. Campaign obs: 1,954
£0,00
£0,50
£1,00
£1,50
£2,00
£2,50
£3,00
£3,50
£4,00
£4,50
£5,00
0% 10% 20% 30% 40% 50% 60% 70%
TV: 71%Print: 18%
Radio: 3%
Online Video: 4%
OOH: 3%
Bubble size represents
% of total profit
Total profit = all return
(short + long-term)
generated over 3 years
% OF BUDGET
BREAK EVEN
Online Display: 1%
TO
TA
L P
RO
FIT
RO
I E
FF
ICIE
NC
Y
NB: Online Video includes Broadcaster VOD, YouTube, Facebook
video & online programmatic video
0%
5%
10%
15%
20%
25%
30%
35%
TV Outdoor Radio Press DM Online PR Promos Sponsorship Cinema
INC
RE
AS
E I
N A
VG
. N
O.
VE
RY
LA
RG
EB
US
INE
SS
EF
FE
CT
SIncluding TV in your plan drives effectiveness
Source: Media in Focus, 2016, Binet & Field IPA
20%
17%
15%
10%
7% 6%6%
3%2%
29%
0
10
20
30
40
50
1980-1996 1998-2006 2008-2016
TV has become more effective over time
Adding TV increases effectiveness by 40%,
making TV the most effective medium
Source: Media in Focus, 2016, Binet & Field IPA
INC
RE
AS
E I
N A
VG
. N
O.
VE
RY
LA
RG
E
BU
SIN
ES
S E
FF
EC
TS
FR
OM
AD
DIN
G T
V%
Brand TV is the most cost-efficient longer-term channel
Source: TV Response: new rules, new roles, 2015, GroupM/Thinkbox. Based on 7 brands
- 0,2 0,4 0,6 0,8 1,0 1,2 1,4 1,6
Online display
DRTV
Radio
Outdoor
Brand TV
EFFICIENCY INDEX (UPLIFT PER SPEND)
EFFICIENCY INDEX AT DRIVING BRAND METRICS (HIGHER = BETTER)
LO
NG
ER
-TE
RM
RE
SP
ON
SE
0%
5%
10%
15%
20%
25%
30%
35%
40%
TV without BVoD TV with BVoD
INC
RE
AS
E I
N A
VG
. N
O.
OF
VE
RY
LA
RG
E
BU
SIN
ES
S E
FF
EC
TS
FR
OM
AD
DIN
GBroadcaster VOD enhances TV’s effectiveness
Source: Media in Focus, 2016, Binet & Field IPA
27%
36%
Media channel breakdown of short-term and total profit
NB: Online Video includes Broadcaster VOD, YouTube, Facebook
video & online programmatic video
Source: ‘Profit Ability: the business case for advertising’, November 2017
Ebiquity & Gain Theory
TV drives activation
SECTION THREE
TV; 33%
Generic PPC Search, 22%
Online display; 12%
Affiliates; 10%
Print; 8%
DM & doordrop; 8%
Radio & outdoor; 4%
Other online, 3%
TV accounts for a third of media-driven sales
Source: TV Response: new rules, new roles, 2015, GroupM/Thinkbox. Based on 15 brands
SH
OR
T T
O M
ED
IUM
-TE
RM
RE
SP
ON
SE
Base; 61%
Short to medium-term media; 39%
DRTV is the strongest ‘demand generating’ channel
Source: TV Response: new rules, new roles, 2015, GroupM/Thinkbox. Based on 15 brands
0 0,25 0,5 0,75 1 1,25 1,5 1,75 2 2,25 2,5 2,75
Generic PPCsearch
Affiliates
DRTV
DR onlinedisplay
DR offline
BRTV
BR offline
BR onlinedisplay
Generic PPC
search
Affiliates
Direct response
TV
DR online
display
DR offline
Brand TV
Brand offline
Brand online
display
EFFICIENCY INDEX (COST PER RESPONSE, LOWER=BETTER)
Most
efficient
Generic PPC
search
Demand harvesters
Demand
generators
TV drives high levels of indirect online response
Source: TV Response: new rules, new roles, 2015, GroupM/Thinkbox. Based on 8 brands. *Facebook metric is likes/comments
45%
29%
25%
26%
33%
20%
33%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
Bricks & mortar
Direct to site
Telephone
Online display
Facebook*
Affiliates
Paid search
TV’S CONTRIBUTION TO MEDIA-DRIVEN SALES
% of media-driven response
(i.e. excl. base driven sales)Indirect
Direct
SH
OR
T T
O M
ED
IUM
-TE
RM
RE
SP
ON
SE
TV drives the highest volume of cost-efficient response
Source: TV Response: new rules, new roles, 2015, GroupM/Thinkbox. Based on 7 brands
MA
RG
INA
L C
OS
T P
ER
RE
SP
ON
SE
SPEND
TV
Radio
Outdoor
Online display
Generic PPC Search
Affiliates
TV and multi-screening
SECTION FOUR
Multi-screening brings the high-street to the living room
42 minsspent using internet while watching
TV per day
Source: TouchPoints 2018, IPA. Base: adults 15+
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0,0
5,0
10,0
15,0
20,0
25,0
30,0
35,0
40,0
45,0
50,00
6:0
0
06:3
0
07:0
0
07:3
0
08:0
0
08:3
0
09:0
0
09:3
0
10:0
0
10:3
0
11:0
0
11:3
0
12:0
0
12:3
0
13:0
0
13:3
0
14:0
0
14:3
0
15:0
0
15:3
0
16:0
0
16:3
0
17:0
0
17:3
0
18:0
0
18:3
0
19:0
0
19:3
0
20:0
0
20:3
0
21:0
0
21:3
0
22:0
0
22:3
0
23:0
0
23:3
0
% O
F V
IEW
ING
TIM
E
% R
EA
CH
TIME
Watching TV set Watching TV set and internet use % of viewing time
Multi-screening usage patterns follow TV
Source: TouchPoints 2018, IPA. Base: adults 15+ who have broadband
Ad break multi-screeners are more likely to stay in front of ads
Source: Screen Life: TV advertising everywhere, 2014, Craft/Thinkbox. Mobile diary 7pm-11pm.
57%
36%
35%
49%
41%
28%
I just stayed where I was and waited for the programme to restart
I left the room during the ad breaks
I found myself watching the adverts almost by accident
Multi-screeners Everyone else
% AGREEING WITH EACH STATEMENT
Multi-screening doesn’t diminish ad recall
Source: Screen Life: the view from the sofa, 2012, COG/Thinkbox
0
1
2
3
4
Single screeners Multi screeners
NU
MB
ER
OF
BR
AN
DS
RE
CO
GN
ISE
D
Correct brand recognition Incorrect brand recognition
TV has unbeatable scale and reach
SECTION FIVE
TV has high daily, weekly and monthly reach
Source: BARB, 2017, individuals, reach 3min+. TV set viewing within 7 days of broadcast
90.0% 97.0%65.9%of the population
in a week
of the population
in a month
of the population
in a day
Industry standard commercial TV reaches:
‘Standard’ commercial TV reach has remained broadly stable
Source: BARB, 2013 – 2017, reach 3min+. Industry standard TV viewing in-home on a TV set
Weekly Reach % 2013 2014 2015 2016 2017
Individuals 92.7 91.9 91.6 91.3 90.0
Adults 93.1 92.6 92.2 92.0 91.1
ABC1 adults 91.8 91.3 90.9 90.7 89.8
16-34 88.5 87.4 86.7 86.2 83.6
Men 91.9 91.5 91.1 91.0 89.8
Women 94.3 93.6 93.3 93.0 92.4
Kids 90.3 88.3 88.5 87.5 83.6
An average broadcast TV campaign of 400 TVRs in the UK gets 238 million views
Commercial TV delivers unrivalled scale
Source: TouchPoints 2018, IPA. Base: adults 15+. Newspaper/magazine/TV figures include online/app consumption
AD
ULT
S R
EA
CH
ED
PE
R W
EE
K
(MIL
LIO
NS
)
AVERAGE HOURS PER WEEK
0
10
20
30
40
50
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Co
mm
erc
ial T
V
So
cia
l Med
ia
Co
mm
erc
ial
Rad
io
Ne
ws
pa
pe
r /
Mag
azin
e
Yo
uTu
be
0
10
20
30
40
50
60
70
80
90
£- £200 000 £400 000 £600 000 £800 000 £1 000 000 £1 200 000 £1 400 000 £1 600 000 £1 800 000
1+
% R
EA
CH
(16
-34
s)
SPEND (CONSTANT PRICES)
100% Linear TV (2007)
100% Linear TV (2017)
Linear TV 80% / BVOD 20% (2017)
We need to include BVOD to fully capture TV’s reach
Source: BARB / K2 / Touchpoints 2017 / Station average prices / Natural delivery
16-34 cover guide
TV is the emotional medium and builds brand fame
SECTION SIX
TV ads evoke emotion more than those in other media
Source: TV/Ad Nation, 2016, Ipsos Connect/Thinkbox, adults 15+
Question: ‘In which, if any, of the following places are you most likely to find advertising that…’
58%
3%5%6%
6%9%
Social Media Website
Newspapers Radio Magazines
1%
Outdoor
2%
Search
TV
9%
YouTube
TV advertising is most likely to make you laugh
Source: TV/Ad Nation, 2016, Ipsos Connect/Thinkbox, adults 15+
Question: ‘In which, if any, of the following places are you most likely to find advertising that…’
62%
4%5%
17%
7%
8%
3%
13%
2%
YouTube Social Media Website
Radio Newspapers Magazines Outdoor Search
TV
TV advertising is the most liked
Source: TV/Ad Nation, 2016, Ipsos Connect/Thinkbox, adults 15+
Question: ‘In which, if any, of the following places are you most likely to find advertising that you like’
54%
6%8%
13%
9%
10%
3%
11%
3%
Social Media Websites Magazines
YouTube Newspapers Radio Search Outdoor
TV
TV ads are the most talked about
Source: TV/Ad Nation, 2016, Ipsos Connect/Thinkbox, adults 15+
Question: ‘On which medium are you likely to find advertising that you talk about either face to face or over the phone / online (e.g. on Facebook/Twitter)?’
0%
10%
20%
30%
40%
50%
60%
TV Social media Websites Newspapers YouTube Radio Magazines Out of home Online search
Face to face / on the phone Online
On which medium are you likely to find advertising that you talk about…
53%
26%
14%
19%
9%7% 8%
4%
8% 7% 7%
2%
7%
3% 3% 2% 2% 3%
% A
GR
EE
Fame and emotion generate the most sales and profit
Source: ‘Marketing in the Era of Accountability’, 2007, IPA
0%
10%
20%
30%
40%
50%
60%
70%
Sales Profit
Fame Emotive Informative Persuasive
% O
F C
AM
PA
IGN
S R
EP
OR
TIN
G
VE
RY
LA
RG
E G
AIN
S
58%
39%
TV is great value
SECTION SEVEN
Average TV view
costs 0.5pThe average cost
of buying the media
space to get one
person in the UK
to see a TV advert
costs just half a penny
Source: BARB, 2017, ad revenue data supplied by UK Broadcasters
TV is a trusted & safe environment for brands
SECTION EIGHT
TV is the prime real estate of AV advertising
High completion rates
Full Screen
Sound on
Broadcasters spent £7bn on high
quality TV programming in 2016
Shared viewing
Robust measurement
Viewed by humans
Brand safe
TV advertising is the most trusted
Source: TV/Ad Nation, 2016, Ipsos Connect/Thinkbox, adults 15+
Question: ‘In which, if any, of the following places are you most likely to find advertising that…’
42%
5%6%
13%
8%
8%
4%
9%
3%
Newspapers Websites Radio
Magazines YouTube Social Media Search Outdoor
TV
Find out more on Thinkbox.tv
Helping you get the best out of TV
