Why it is necessary to evolve TV advertising?

Posted by Pushpa Sri on April 23rd, 2019

With the rising popularity of Direct Video Recorder (DVR), cord cutting as well as Over The Top (OTT) platform it becomes very essential for the television commercial to evolve and get smarter with better production quality and production team. In this age of Internet viewers now do no longer watch television in the way that they used to view in the past. The introduction of OTT, geo-targeting facility, and Internet platform has actually completely changed the way how the advertisement is seen on television. This has made the television experience more critical and advanced for both the viewers as well as for the advertisers.

It is also observed that the video commercial production companies and advertising agencies of New York City are still slow in adapting the new habits of the customer of the new generation. It is seen that many advertising companies still make their advertisement on the basis of the age or gender of their target customer. But this old approach of television advertisement needs to be changed and involve a new approach for making their TV advertisement effective in today’s competitive market.

As per the report of eMarketer, it was observed that there has been a 1.5 percent decline in the investment of TV ads in 2017 and a 0.5 percent decline in 2018. It is also expected that there will be 1 percent more decline in a TV advertisement in the year 2019. When there are such TV ad spending drops for continuous three years you can easily predict that there is something wrong in it and it is necessary to evolve.

It is now the high time that the television ad industry fights back by offering more and more options for reaching unique TV audiences. It is seen that with the advantage of advanced data and technology the cable TV providers are becoming smarter day by day. It is seen that cable and satellite TV provider gets the opportunity to grow the number of addressable ready TV household.

With OTT platform, even if you miss the television show you can still watch the television program again and thereby can watch the television advertisement during the commercial break of the TV program. In research, it is found that 51 million households have now access television through OTT platform. Hence, it is very essential for all the NY production companies to come up with the data-driven advertising. It can make a particular TV advertisement very effective for that type of brand which usually could not justify huge TV ad spending.

Apart from that, the television advertising company can also overcome the downside of the traditional TV advertisement by implementing addressable TV purchase. It helps the advertising company for using data to define a particular audience and deliver more personalized TV advertisement no matter what TV program the viewers are watching.

Unlike traditional TV buying, addressable TV provides the advertiser the ability to define an audience on the basis of their purchasing history, the demographics of the subscriber, behavioral data, third-party data, etc. This helps the TV buyers to decrease the waste and make superior marketing decisions. They can now only pay for the impressions of their target audience.