A YEAR IN TV THINKBOX ANNUAL REVIEW 2017-18 - Commercial Producers Association
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THINKBOX Contents 02—09 WHO WE ARE 02 Who we are 04 Welcome, from Lindsey Clay 06 If you read one bit, read this 08 10—23 TV IN NUMBERS 10 TV viewing: the facts 12 How broadcaster VOD keeps TV reaching further 16 TV advertising in the video world 18 TV advertising revenue 22 24—39 RESEARCH & TRENDS 24 Profit Ability: the business case for advertising 26 Get with the Programmes 30 TV in 2017 at a glance 34 Ad fab: new approaches to TV advertising 36 40—59 TELEVISIONARIES 40 The year in commercial TV, by Lisa Campbell 42 Forever young: how TV keeps young audiences 46 tuned in, by John Plunkett Let’s use TV to change minds, attitudes... 50 even society, by Rosie Arnold Bringing the TV world together: the Global TV 52 Group, by Katty Roberfroid System One: the behavioural science revolution, 56 by Orlando Wood Advertising can power growth beyond Brexit, 58 by Stephen Woodford 60—71 CREAM OF THE CROP: 2017’S AWARD WINNERS 60 Cracking creativity: The Thinkboxes 2017 62 The Thinkbox TV Planning Awards 2017 66 72—77 HOW CAN WE HELP? 72 Allow us 74 With thanks to… 76 Chewing The GreatGum British Bake Off Channel 4 Channel 4 CONTENTS 01
THINKBOX A YEAR IN TV Who we are Thinkbox’s role is to help advertisers get the best out of today’s TV by proving its supreme effectiveness and helping them navigate the developing technologies contributing to TV’s exciting future. Thinkbox is the marketing body for commercial TV in the UK. We are owned by Channel 4, ITV, Sky Media, UKTV and Turner, but are supported by all UK commercial broadcasters, representing over 99% of TV advertising. 02 We are also proud to have many Associate Members both in the UK and abroad. These are Discovery Networks Norway, Disney, TAM Ireland, Think TV (Australia), thinktv (Canada), TVN (Poland), TV Globo (Brazil), TV 2 (Norway), TV 2 (Denmark), DStv (South Africa) and Virgin Media. Discovery Networks UK & Ireland, and STV also give direct financial support. TV and TV advertising shape popular culture. We are living in The Age of Television where the standard, variety and popularity of the shows that broadcasters invest in create an environment for brands that is second to none. TV has more to offer advertisers than ever before. As viewers embrace new forms of TV, the targeting capabilities and data-richness of the online world are blending with the high-quality, highly trusted world of TV with its huge reach. TV now has the best of both worlds for advertisers. 01 03 01 Britain’s Got Talent, ITV 02 Joshua vs Klitschko, Sky Sports Box Office 03 Murder on the Blackpool Express, Gold 04 Ben 10, Cartoon Network 05 The Handmaid’s Tale, 05 04 Channel 4 04 WHO WE ARE WHO WE ARE 05
THINKBOX A YEAR IN TV Welcome from Lindsey Clay This is a brand-safe publication. 100% viewable and not a bot in sight. You can trust the content you are about to associate with. 01 Where was I? In last year’s ‘A Year in TV’ I ended my TV advertising revenue in 2017 was dampened by welcome like this: the ongoing economic uncertainty, down 3.2% to £5.11 billion – its first year without growth for 8 years. “With the ugly revelations about Facebook’s inflated However, the shoots of recovery are already in video metrics and other murky misdoings online, evidence and the pendulum is swinging back to TV marketers are demanding and deserve better.” advertising after a promising Q4 in which revenue Well that went well. was up year-on-year by approximately 2%. In 2018, TV is predicted to see a return to growth. LINDSEY CLAY 2017 was again something of an annus horribilis for parts of online advertising. More on that in a moment, If you want clever opinion as well as well as cold, Chief Executive, Thinkbox hard data then allow me to present the Advertising but first let’s focus on TV. Association’s Stephen Woodford on how advertising One consequence of the online omni-fiasco is can grow beyond Brexit (p. 58) and John Plunkett that TV’s strengths and unique assets have been looking at why TV remains such a fundamental part thrown into even sharper relief. You can read all of younger viewers’ lives (p. 46). We also have Abbott about these strengths in the coming pages, from Mead Vickers BBDO’s Rosie Arnold talking about the latest effectiveness research by Ebiquity and how TV can make the world a better place (p. 50). Gain Theory (‘Profit Ability’ on p. 26), to the immense variety and quality of the broadcasters’ investment Talking of making the world a better place, briefly in programming (courtesy of Lisa Campbell on back to that annus horribilis. Surely we cannot p. 42), to the latest examples of brands using TV continue to inhabit a world where online platforms in innovative and surprising ways (p. 36). claim to reach more people than exist, where ads appear next to inappropriate content, and advertisers If TV in 2018 has a theme, it is collaboration. There is are ripped off by non-human traffic. We need a a renewed spirit of partnership among broadcasters policy and regulatory framework to ensure all online both within countries and between countries. The TV companies take proper responsibility and face industry is working together more than ever to tell consequences for misdemeanours. It works for TV its amazing story. At an international level, we’ve and other media, so why not them? seen the formation of the Global TV Group to give TV a global, unified voice (see p. 52). In the UK, the Anyway, enough on that; this publication is about main TV sales houses of Channel 4, ITV and Sky are the positive and wonderful world of TV, so enjoy and publicly committed to exploring ways in which they I’ll finish with a couple of grovelling yet genuine thank can combine to make it easier for advertisers to get yous: to our amazing broadcaster shareholders who 02 the most out of TV, be that joint research, joint events keep commercial TV at the top of its game, and to like The Big TV Festival, or joint technology initiatives. those equally amazing advertisers who invest in TV and show us how it’s done – especially the 785 new And we have plenty of data in here to share with you. or returning advertisers on TV in 2017. Thank you TV viewing is changing and we look at exactly how and have a great year. on page 12 with all the facts and figures you need to know. At 3 hours, 23 minutes a day, TV remains the bulk of our video diet and our latest video viewing 01 This Morning, ITV analysis is on page 18, including a breakdown of how 02 Big Little Lies, Sky Atlantic 03 First Dates Hotel, Channel 4 much video advertising people are seeing (spoiler 04 Dave Gorman: Modern Life is Goodish, Dave alert: TV accounts for 95%). 05 Gold Rush, Discovery 03 04 05 06 WHO WE ARE WELCOME FROM LINDSEY CLAY 07
THINKBOX A YEAR IN TV If you read one TV ADVERTISING DELIVERS LIKE NOTHING ELSE TV ACCOUNTS FOR 71% OF ALL VIDEO VIEWING THERE WERE 785 NEW OR RETURNING ADVERTISERS ON TV IN 2017 bit, read this ‘Profit Ability: the business case for advertising’ by In total, the average person in the UK watched This figure represents the number of brands who Ebiquity and Gain Theory found that TV outperforms 4 hours, 39 minutes a day of video in 2017 advertised on TV for the first time or returned to TV all other media investments. They found that TV and TV accounted for almost three quarters of after a gap of at least five years and includes new to delivers 71% of total profit generated by advertising, it, with viewers offered an unparalleled variety TV advertisers who used Sky AdSmart. Notable new We trust you. We have complete faith that at the greatest efficiency, and for the least risk and quality of shows and advertisers offered a or returning brands included Uber, Opodo and Sixt. you will read and absorb all the goodness (see p. 26). premium advertising environment (see p. 18). WE’RE IN THE AGE OF TELEVISION herein contained and then discuss it at TV ACCOUNTS FOR 95% THE PENDULUM We really are. We have more great TV than you can length with colleagues, friends and family. OF VIDEO ADVERTISING SEEN IS SWINGING BACK TO TV shake a stick at – and we include the likes of Netflix But, to help make those conversations That’s in full, with the sound (most likely) turned Although total TV advertising investment in 2017 and Amazon here, which couldn’t be more TV if they on and with unbeatable effectiveness. For 16 to was down due to the ongoing economic and political tried. Commercial TV in particular had another vintage even punchier, here are a few of the key 34-year-olds TV advertising accounts for 90%. uncertainty, Q4 2017’s performance is significant. year and the wonderful Lisa Campbell has a look at points we’d really like you to know. In 2017, YouTube activity accounted for 0.9% of It was the first year-on-year quarterly comparison some of the highlights on p. 42. video advertising time for all individuals and 2.9% since the impact of the Brexit referendum and it for 16–34s. Netflix and Amazon accounted for shows the shoots of regrowth, with TV spend up none (see p. 18). year-on-year by approximately 2%. ABOVE Love Island, ITV2 08 WHO WE ARE IF YOU READ ONE BIT, READ THIS 09
THINKBOX A YEAR IN TV TV viewing: the facts Prepare for a tale of the standard industry DESPITE A DECADE OF DISRUPTION, STANDARD VIEWING IS RESILIENT WE WATCH 43 TV ADS A DAY TOTAL INDIVIDUAL BROADCAST IMPACTS Source: BARB, 2007–2017, individuals. TV set viewing within 7 days of broadcast. *Ipsos Tech tracker Q4 2017. Source: BARB, 2007–2017. Base: 30” reweighted impacts. An impact = one person viewing one TV ad in its entirety. definition of TV viewing and what it doesn’t Commercial impacts have grown by 14% in the last Impacts only count when viewed at normal speed. include. Steel yourself for the knowledge 62% INTERNET ACCESS 91% INTERNET ACCESS* decade. The average viewer watched 43 TV ads a day 4hrs 02m 4hrs 02m 4hrs 01m 3hrs 52m that people continue to watch tonnes of TV, 4 3hrs 38m 3hrs 44m 3hrs 45m 3hrs 41m 3hrs 36m 3hrs 32m 4 at normal speed (anything else is free to advertisers – 1000 1000 3hrs 23m 984 984 1000 especially commercial channels. React with bonus views). This is 3 ads more a day than 10 years 959 967 957 965 942 INDIVIDUAL IMPACTS BILLIONS 3 3 906 almost no surprise when we tell you that ago and totals an average of 2.6 billion TV ads watched 800 823 875 800 younger audiences love TV in all its forms 2 2 a day in 2017, or 942 billion across the year. and that people prefer to watch TV on big 600 600 screens. Yes, it’s time for some up-to-date 1 1 YOUNG PEOPLE LOVE TV IN ALL ITS FORMS 400 400 facts about TV viewing in the UK… 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 0 Younger audiences are the most enthusiastic watchers of new forms of TV and this has an impact on their 200 200 WE WATCH 3 HOURS, 23 MINUTES TV consumption. That said, TV remains the biggest A DAY OF ‘STANDARD’ TV form of video in their lives, accounting for just under 0 0 When you see figures for TV viewing, they are usually half of 16–34s’ total video diet (see p. 18). 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 based on the Broadcasters’ Audience Research TV VIEWED ON A TV SET PER DAY HOURS Commercial Non-commercial Board’s (BARB) standard measurement: broadcaster In 2017, 16–34s watched 2 hours, 3 minutes a day programming on a TV set watched within seven of TV on a TV set, down from 2 hours, 18 minutes in days of the original broadcast either live, playback 2016; under-16s watched 1 hour, 26 minutes a day, or on-demand. COMMERCIAL ‘INDUSTRY STANDARD’ TV SET VIEWING OVER TIME (INDV/ABC1 AD/KIDS) down from 1 hour, 42 minutes. According to our TV SET VIEWING OVER TIME BY AGE Source: BARB, 2007–2017, industry standard commercial TV viewing in-home on a TV set. analysis, 41% of 16–34s’ video viewing is on devices, Source: BARB, 2007–2017. TV set viewing within 7 days of broadcast. Standard TV is the bulk of TV viewing, but it only tells 3 3 compared with 22% for all individuals. 7 7 part of the TV viewing story, as an increasing amount AVERAGE HOURS OF TV VIEWED In 2018, BARB will begin to officially report on 6 6 PER DAY ON A TV SET HOURS is outside standard measurement. We’ll give the full picture below, but for now we’ll tell you that standard non-TV set viewing. This is a vital step as TV viewing 5 5 2hrs 17m 2 2 evolves, especially younger people’s viewing habits. viewing accounted for 3 hours, 23 minutes a day 4 4 (23 hours, 41 minutes a week) of the average viewer’s 1hrs 55m We have been missing out on measuring the entirety of viewing. For example, if you look at the week from HOURS PER DAY 3 3 TV consumption in 2017 – just 15 minutes a day less than 10 years ago. 1 1hr 04m 1 3rd July to 9th July and the six episodes of ITV2’s 2 2 youth blockbuster Love Island that aired, an average 1 1 TWO THIRDS IS COMMERCIAL TV VIEWING of 2.8 million people watched live or within 7 days 67.5% of standard TV set viewing in 2017 was to 0 0 on a TV set. Not to be sniffed at. But this increased 0 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 to 3.5 million when ‘device viewing’ was included, 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 commercial TV channels, up 0.6 percentage points on 2016. This means that the average person either live-streaming or on-demand. Individuals ABC1 Adults Kids 4–15 16–24 25–34 35–44 45–54 55–64 65+ watched 2 hours, 17 minutes of commercial TV a day, just 5 minutes a day less than 2016 and up COMMERCIAL TV REACHES 1 minute on 2007. 90% OF THE UK IN A WEEK COMMERCIAL ‘INDUSTRY STANDARD’ TV SET VIEWING OVER TIME (ADS/MEN/16–34) In 2007, it was 91.5%, so a story of stability. For COMMERCIAL TV HAS EXTREMELY HIGH DAILY, WEEKLY AND MONTHLY REACH Source: BARB, 2007-2017, industry standard commercial TV viewing in-home on a TV set. younger audiences, it is lower, as it always has Source: BARB, 2017, individuals, reach 3 min+. TV set viewing within 7 days of broadcast. been, but the vast majority watch every week: 3 3 2hrs 30m in 2017, standard commercial TV reached 83.6% of 16–34s a week compared with 87.2% in 2007. 65.9% OF THE POPULATION IN A DAY 2 2hrs 17m 2 1hr 35m 90.0% HOURS PER DAY 1 1 OF THE POPULATION IN A WEEK 0 0 97.0% OF THE POPULATION IN A MONTH 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Adults Men 16–34s 12 TV IN NUMBERS TV VIEWING: THE FACTS 13
THINKBOX A YEAR IN TV TV viewing Continued… LIVE TV REMAINS FUNDAMENTAL THE MAJORITY OF INDUSTRY STANDARD TV SET VIEWING IS LIVE BROADCASTER VOD VIEWING IS SHIFTING FURTHER TO THE TV SET TV ACCOUNTS FOR 40% OF ADULTS’ CHOSEN MEDIA DAY Source: BARB, 2017, individuals; individuals in TV recorder homes. TV set viewing within 7 days of broadcast. Source: UK broadcaster data, Individuals. Source: Touchpoints 2017, IPA. Base: Adults 15+. Includes only media which people choose 86% of standard TV was watched live in 2017. This to consume. TV, radio, newspaper and magazine figures include online/app consumption. is the average figure for all UK households, but 39% 10 10 of UK households don’t have a television recorder. 8 10 8.5 7 In those that do, 81% of TV on a TV set in 2017 was 9 8 7.5 8 watched live, compared with 82% in 2016. If live Any TV 40% Internet for work 2% Any radio 18% Music online 1% TV didn’t exist, we’d have to invent it – this is why INDIVIDUALS 6 5.0 5.0 6 Messaging/ Shopping online/ people watch TV they have recorded so soon INDIVIDUALS % WITH TV 9% 40% emailing/video product research 1% MINUTES PER DAY RECORDERS % 4.0 4.0 4 3.5 3.5 3.5 4 ADULTS 15+ calling 15% Any magazine 0.9% afterwards; they instinctively choose to stick 3.0 Social media 9% Travel/weather close to the schedules. Browsing/other info online 0.7% 2 2 15% activity 4% Sports/hobbies info Online video inc. online 0.5% AN ADDITIONAL 7% OF TV VIEWING 86 81 SVOD (not BVOD) 3% Cinema 0.4% 0 0 18% Any newspaper 3% FALLS OUTSIDE STANDARD MEASUREMENT Banking online 0.3% 2013 2014 2015 2016 2017 By including census level device and TV set stream Live Viewed on the same day as live (VOSDAL) Time-shifted viewing within 7 days data from the broadcasters together with the TV TV Set BVOD Device BVOD set viewing that occurs 8–28 days after broadcast (BARB reports it but doesn’t include it in its standard measurement) we can estimate total time spent PEOPLE PLAYBACK PROMPTLY: 58% WITHIN TWO DAYS TIME-SHIFTED VIEWING STABLE IN TV RECORDER HOMES watching broadcaster TV content for the average Source: BARB, 2017. All playback on a TV set 0–28 days post broadcast, individuals. Source: Sky – 10 Years of Sky Plus (Q3 2006–Q3 2010) and BARB Establishment Survey (Q4 2010 onwards). Q4 2017 TV recorder penetration Thinkbox estimate. viewer at 3 hours, 38 minutes, compared to the standard measurement of 3 hours, 23 minutes. 40 39 40 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 This means some 7% of TV viewing currently falls 70 70 TV RECORDER PENETRATION % outside the standard BARB measurement. 60 60 30 30 Among 16–34s the amount of additional viewing 50 50 on top of standard measurement increases 20 19 20 40 40 to 15% meaning their total TV consumption is ALL VIEWING % 14 30 30 in fact 2 hours, 21 minutes, compared to the PLAYBACK % 10 8 10 20 20 standard measurement of 2 hours, 2.5 minutes. 6 4 4 4 10 10 1 98% OF TV IS WATCHED ON… THE TV 0 0 0 0 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Hope you were sitting down for that. Yes, other TV Viewing on 1 2 3 4 5 6 7 8–28 same day screens like tablets and smartphones are a brilliant as live DAY OF VIEWING POST BROADCAST TV recorder penetration (HH) % Total time-shifted viewing (inds) % Time-shifted viewing in TV recorder homes (inds) and much appreciated way to watch TV, but they are most often a compromise; they’re there when a big screen isn’t. Quite understandably, people will always THERE’S AN ADDITIONAL 7% OF TV THERE’S AN ADDITIONAL 15% OF TV VIEWING TIME-SHIFTING IS DRIVEN BY PROGRAMME GENRE NOT AD AVOIDANCE want to watch on the best screen available and 98% VIEWING ON TOP OF ‘INDUSTRY STANDARD’ ON TOP OF ‘INDUSTRY STANDARD’ FOR 16–34S Source: BARB, 2017, individuals in TV recorder homes, commercial TV vs BBC. TV set viewing within 7 days of broadcast. of the TV the average viewer watched in 2017 was Source: BARB and UK broadcaster data, 2017, individuals. Source: BARB and UK broadcaster data, 2017, 16–34. on a TV set. 6% 5% 100 100 35% 43% 25% 22% 24% 20% 22% 20% 16% 16% 16% 13% 12% 10% 14% 21% 94% 95% 88% 90% PROPORTION LIVE/TIME-SHIFTED 87% 86% 80 84% 84% 84% 80 AVERAGE TIME PER PERSON 80% 78% 76% 78% 80% 79% 75% 3.5m 60 65% 60 Commercial lifestyle & leisure 3h 38m 6.5m 2h 21m 57% Commercial documentaries 11.5m Commercial entertainment BBC news & current affairs BBC lifestyle & leisure BBC drama inc. soaps 12m 40 40 BBC documentaries BBC entertainment Commercial drama Commercial music Commercial sport Commercial news Commercial films Commercial kids & current affairs PER DAY BBC music 20 20 BBC sport inc. soaps BBC films BBC kids 3hrs 23m 2hrs 2.5m 0 0 Industry standard TV set viewing Additional TV set viewing Additional viewing on other devices Time-shifted Live 14 TV IN NUMBERS TV VIEWING: THE FACTS 15
THINKBOX A YEAR IN TV How broadcaster VOD keeps TV reaching further There is now industry standard proof that But those viewers you reach who are outside “Among 16–34s Industry standard measurement only gives a partial Using data from the 5,000 strong IPA TouchPoints “As people have television’s reach hasn’t changed in the last 10 your bought audience are far from worthless; picture of TV. A consequence of this is that it has media diary and hub questionnaire, RSMB has years – but, to make the most of it, marketers they are simply worth less. there’s an extra 15% looked as though TV’s ability to drive cost-effective made it possible to model the reach build for TV embraced new need to plan across both TV and broadcaster of TV viewing that is 1+ reach, especially among younger audiences, and BVOD together. ways to watch So reach is crucial. You don’t become a household VOD, writes Thinkbox’s Matt Hill. not incuded as part had declined. TV, getting a name by avoiding most of the households. However, So, for example, a campaign today targeting as people have embraced new ways to watch TV, of industry standard This led to a question we at Thinkbox have been 16–34s with a budget of £1 million planned only proper picture Reach has always been one of TV advertising’s trump cards. Broad reach creates fame and that their viewing has split across different times, places measurement.” asked above all others: how can Broadcaster across ‘industry standard’ TV reaches 60% of of TV’s reach has builds brand desirability. and devices and getting a proper picture of TV’s VOD be planned in conjunction with linear TV 16–34s, when it would have been 70% back in 2007. become harder.” reach has become harder. BELOW Fargo, Channel 4 to maximise reach? No-one can truly predict who might end up a But, with the new TouchPoints planning tool we customer and to succeed in marketing you can’t Industry standard measurement (viewing within Many media agencies have developed their own can see that by using an 80:20 mix of industry simply speak to those who are in market; our seven days of broadcast on a TV set) has not been systems to estimate the combined reach of TV standard TV and Broadcaster VOD, this goes back emotions drive our decisions and, as a result, able to keep pace with the changes in TV viewing. and BVOD. But we’ve been in urgent need of an up to 70%. TV’s reach is undiminished. we need to be warm towards a brand for our industry standard and I’m happy to say we now For example, among 16–34s there’s an extra 15% have one, and a very credible and revealing one This is an important new tool for the industry. activation media to work. If the first time you of TV viewing that is not included as part of the It shows the modern marketer how to generate see a Mercedes ad is in your 50s, it’s too late. it is too. industry standard measurement, these being the incredibly high and cost-effective reach using the That’s why the term ‘wastage’ is such a misnomer most enthusiastic adopters of the new ways we Step forward and receive thunderous applause premium, brand safest advertising environment, in TV. There is no waste in TV, just bonus views. have to watch TV (see p. 14). IPA TouchPoints’ new AV planning tool. It has a and the optimal budget splits between TV and In TV, advertisers only pay for the audience they channel planner to find the optimal splits of TV BVOD to achieve this. buy – everything else is a windfall of extra viewers. and BVOD to maximise 1+ reach at the lowest budget for the key buying TV audiences. TV’s immense reach is still easily within reach. INCLUSIVE OF BVOD, TOTAL TV REACH IS UNCHANGED FOR 16–34S Source: BARB / K2 / Touchpoints 2017 / Station average prices / Natural delivery. 90 90 80 80 70 70 60 60 50 50 40 40 1+ REACH (16–34 s ) % 30 30 20 20 10 10 0 0 – 0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 1.8 SPEND (CONSTANT PRICES) £ MILLIONS 100% Linear (2007) 100% Linear (2017) 80% Linear TV / 20% BVOD (2017) 16 TV IN NUMBERS HOW BROADCASTER VOD KEEPS TV REACHING FURTHER 17
THINKBOX A YEAR IN TV TV advertising in the video world From click farms and brand safety issues TV ACCOUNTS FOR 95% OF ALL VIDEO ADVERTISING TIME NEW COMSCORE DATA ALTERS THE PICTURE WEEKLY REACH BY VIDEO TYPE Source: 2017, BARB / comScore / Broadcaster stream data / OFCOM Digital Day / IPA Touchpoints 2017 / Rentrak. Source: Touchpoints 2017, IPA. Other online video inc. Facebook video. to the continuing issues in measurement and In 2017, for the first time, there was a full year of data lingering questions of effectiveness, the video available from comScore’s multiplatform Video Metrix 100 100 93.4 world didn’t get any less complicated in 2017. 0.9 analysis software. This has had an impact on the 0.4 87.2 What is increasingly clear is that not all forms 0.7 YouTube data. In the absence of mobile data, previous 3.9 2.9 of video are of equal value to advertisers. But, if 2.5 6.3 Thinkbox analyses of the video world have employed 80 80 6.6 you want to advertise next to high-quality shows 4.8 IPA Touchpoints data to estimate the proportion of in a high-quality, brand-safe context – at scale YouTube activity on mobiles. The new comScore 9.0 or more personally – TV is the answer. data – provided by YouTube – suggests that mobile 60 54.2 60 85.8 ALL INDIVIDUALS % 76.3 16–34s % accounts for a significantly higher proportion than 46.4 45.6 TV ACCOUNTS FOR 95% the Touchpoints study found (39% for Touchpoints 40.1 OF VIDEO ADVERTISING SEEN vs. 66% for comScore). 40 40 32.9 That’s in full, with the sound (most likely) turned WEEKLY REACH % on and with unbeatable effectiveness (see p. 26). So, following comScore’s change in methodology, 24.7 21.6 21.7 For 16–34s, TV advertising accounts for 90%. In 2017, YouTube has grown from 6.5% of all video in 2016 20 20 YouTube accounted for 0.9% of video advertising to 9.1% in 2017. time for all individuals and 2.9% for 16–34s. Netflix and Amazon accounted for none. 88% OF YOUTUBE USE 0 0 IS BY 20% OF ITS USERS TV Broadcaster Subscription YouTube Other online YouTube Cinema Playback TV VOD VOD video TV ACCOUNTS FOR 71% OF ALL VIDEO VIEWING Other online video Broadcaster VOD Live TV It’s important to take into account the fact that, unlike A caveat: we can confidently say ‘viewing’ when we BARB, comScore reports the activity of devices not Adults 16–34 talk about TV, cinema and SVOD, for example, but humans. ComScore’s data shows that 88% of YouTube not all video activity is strictly speaking viewing (or by activity is generated by only 20% of devices. There humans). For example, a significant chunk of YouTube is a hardcore of YouTube super-users that affect the activity is where the service is being used more like average (for TV 48% of viewing is accounted for by TV ACCOUNTS FOR 71% OF OUR VIDEO DAY the heaviest 20%). THE MAJORITY OF YOUTUBE VIEWING IS GENERATED BY HEAVY VIEWERS a jukebox. Source: 2017, BARB / comScore / Broadcaster stream data / OFCOM Digital Day / IPA Touchpoints 2017 / Rentrak. Source: comScore November 2017 / BARB November 2017. Nonetheless, in total, the average person in the UK In addition, a portion of YouTube activity is using the 100 100 watched 4 hours, 39 minutes a day of video in 2017. 1.2 service as a jukebox, so the service is being listened to as opposed to watched. This use of YouTube is on 88 89 TV’s share of total video time in 2017 was slightly down from 2016, a total of 4% points fewer. The astonishing 9.1 0.4 the increase. IPA Touchpoints data for 2017 shows 80 80 choice of video on offer has unsurprisingly taken a 6.3 22.1 that 71% of 16–34s use YouTube at least once a month 1.1 slice of time from watching TV – most likely the TV for ‘background music’, up from 57% in 2016. 1.8 we watched more as a compromise than a choice. 3.7 33.1 60 60 FACEBOOK NOW ACCOUNTS 56.4 ALL INDIVIDUALS % 16–34s % 48 LIVE TV VIEWING CONTINUES TO DOMINATE 6.4 FOR 1.2% OF VIDEO TIME 8.1 But it has moved from 60% of all video to 56%. This equates to 3 minutes a day per person, which 3.9 40 40 The shares of the playback of recorded TV 2.0 echoes Facebook’s own claims that 100 million hours % OF ALL VIEWING and broadcaster VOD are largely unchanged 10.8 9.6 4.3 of video are watched on Facebook a day. With 2 27 year-on-year. 12.6 billion users globally, this averages out at 3 minutes 20 20 6.4 16 0.6 a day per person. In 2016, Facebook accounted for 9 9 8 1.7% of video time, so a story of stability year-on-year. 2 2 1 0 0 0 2 0 0 Heaviest fifth 2 3 4 Lightest fifth YouTube Online ‘adult’ DVD Playback TV Facebook XXX video Subscription VOD Live TV Other online video Cinema Broadcaster VOD YouTube Mobile YouTube.com TV on a TV set 18 TV IN NUMBERS TV ADVERTISING IN THE VIDEO WORLD 19
THINKBOX A YEAR IN TV TV advertising in the video world Continued... AMONGST 16–34S, TV ACCOUNTS THE IMPACT OF LIFESTAGE ON TV VIEWING Source: Touchpoints 2017, IPA. Base: 16–24, 25–34, 25–34 with children. FOR 49% OF ALL VIDEO VIEWING This is down from 59% in 2016 following the impact 3 3 of comScore’s new methodology and the effect it has had on YouTube activity, which increased from AVERAGE HOURS VIEWED 13% of all 16–34s’ video in 2016 to 22% in 2017 (see 2 2 previous page). SVOD VIEWING HAS GROWN FROM 4.1% TO 6.4% 1 1 It is likely that this growth has been at broadcaster TV PER DAY viewing’s expense, which makes sense as SVOD is TV and more homes now have access to SVOD services. 0 0 As of Q4 2017, 10.2 million homes in the UK (36%) TV on a TV set Broadcaster Subscription Other online video (incl. VOD VOD Youtube/ Facebook) subscribed to either Amazon Prime or Netflix, according to the BARB Establishment Survey, up 23% from 8.3 16–24 25–34 25–34 with children million in Q4 2016. Based on our viewing estimates, this means that in homes with access to Netflix or Amazon Prime, the average viewer spends 50 minutes watching VIEWING PROPORTIONS BY DEVICE – ADULTS SVOD per day. Source: Touchpoints 2017, IPA. All adults. ‘Other device’ not shown. For 16–34s, SVOD has grown from 9% to 13% of all video viewing. 54% of 16–34s have access to either Amazon LIVE/STREAMED/ BVOD ALL OTHER RECORDED TV CATCH UP SVOD YOUTUBE ONLINE VIDEO Prime or Netflix according to the BARB Establishment Survey. In these homes we estimate that 16–34s spend % OF ALL VIDEO TIME 2017 67.2% 3.9% 6.4% 9.1% 9.3% on average 1 hour, 3 minutes watching SVOD per day (see previous page). 99% 66% 66% 18% 39% LIFE STAGE INFLUENCES VIDEO CONSUMPTION 0.4% 15% 18% 41% 37% No one has a crystal ball, but we do have the IPA’s Touchpoints study. It shows the impact that our life 0.3% 11% 8% 14% 9% stage has on our viewing habits. Looking within the ‘millennials’ generation, it shows that as millennials 0.1% 5% 5% 25% 12% get older they watch less YouTube and Netflix, and more TV. If they have kids, TV becomes even more popular. With 91% of the UK having internet access, 73% having VOD services on their TV and 81% carrying smartphones, it is reasonable to think that this may VIEWING PROPORTIONS BY DEVICE – 16–34S Source: Touchpoints 2017, IPA. 16–34. ‘Other device’ not shown. now be an established pattern of behaviour. SCREEN PREFERENCE VARIES BY VIDEO LIVE/STREAMED/ RECORDED TV BVOD CATCH UP SVOD YOUTUBE ALL OTHER ONLINE VIDEO According to Touchpoints, BVOD and SVOD are most likely to be viewed on the TV set, while YouTube is % OF ALL VIDEO TIME 2017 42.7% 6.4% 12.6% 22.1% 11.2% most commonly viewed on a PC/laptop. Broadly speaking, 16–34s and adults have similar preferences 98% 59% 60% 13% 30% when it comes to what form of video is watched on what screen, although 16–34s are more likely to watch 1.0% 21% 22% 44% 48% video on PC/laptops, tablet or smartphone. 0.4% 10% 9% 13% 7% 0.4% 7% 6% 27% 13% 20 TV IN NUMBERS Red Dwarf XII Dave TV ADVERTISING IN THE VIDEO WORLD 21
THINKBOX A YEAR IN TV TV advertising revenue: the pendulum is swinging back Post-recession, TV advertising in the UK had TOTAL TV REVENUE Source: Advertising Association/WARC Expenditure Report 2000–2010. 2011–2017 data supplied by the TV IS DELIVERING EXCELLENT VALUE THE FMCG SECTOR IS UNDER HUGE PRESSURE “The first proper seven consecutive years of growth. But TV In 2017 the average adult cost per thousand for TV set The success of an FMCG campaign relies heavily on hyper-reacts to the economy, good or bad, UK broadcasters which includes VOD revenue. Note: Figures are at current prices and gross. Revenue ad views (100% viewable, played through from start reach and the recruitment of lighter consumers to year-on-year includes linear TV spots and sponsorship, product placement, broadcaster VOD, addressable and and recent uncertainty saw growth stall in 2017. interactive (broadcaster VOD from 2011). to finish at normal speed) was £5.06, 4% less than boost the return on investment, both areas in which comparison since However, this was temporary and there are INCLUDES BROADCASTER VOD 2016 and 28.6% cheaper in real terms than 10 years TV excels. But FMCG brands are under huge pressure. the impact of the signs that growth is returning. ago. This high value should be coupled with findings The post-Brexit drop in the value of the pound, wage 6.00 6.00 Brexit referendum from Ebiquity and Gain Theory’s ‘Profit Ability’ study inflation falling behind RPI, and the rise of discounters TV ad revenue totalled £5.11 billion in 2017 (gross of 5.00 5.00 (see p. 26) that showed TV advertising investment is like Lidl and Aldi have all hit FMCG profits and led to shows the shoots agency commission), down 3.2% on 2016. This represents often sub-optimal. This means there is a significant short-term cost cutting. With TV such a fundamental of regrowth with 4.00 4.00 all the money invested by advertisers in commercial opportunity for brands to get even more business medium for this category, it is understandable that this TV spend up TV across all formats and on any screen: linear spot and 3.00 3.00 impact out of TV. has been a key factor in the overall TV spend levels. sponsorship, product placement, broadcaster VOD, year-on-year.” addressable and interactive. 2.00 2.00 WHY DID TV ADVERTISING NOT GROW IN 2017? The impact of FMCG can be clearly seen when you £ BILLIONS In 2017, according to data from Nielsen, 216 look at where the biggest cuts in TV came from. BELOW Cold Feet, ITV 1.00 1.00 Of the 10 advertisers who saw the biggest cuts in TV 2000 2004 2006 2009 2008 2005 2002 2003 2007 2001 2010 2014 2016 2015 2012 2013 2017 Q4 2017 WAS UP 2% YEAR-ON-YEAR advertisers in the UK increased their TV budgets 2011 Although total TV advertising investment in 2017 0.00 0.00 by over £1 million year-on-year, a total of £546 million spend in 2017 compared with 2016, seven are FMCG was down, Q4’s performance is significant. It was in additional investment. At the top end of this was advertisers, including Mars Confectionery which more the first proper year-on-year comparison since the the likes of Samsung, which increased TV spend by than halved its TV budget (-£23 million) and Premier impact of the Brexit referendum and it shows the ONLINE BUSINESSES ARE THE BIGGEST INVESTORS IN TV 33% from £34 million to £45 million, contributing to a Foods which cut its TV budget by 74% (-£11 million). Source: Nielsen, 2016 vs. 2017. ‘Online business’ is a Thinkbox-created category which consists of all online-only In total, these seven FMCG advertisers account for shoots of regrowth with TV spend up year-on-year brands and online services for bricks and mortar businesses. very successful year for the company. However, there by approximately 2%. were 240 advertisers who invested over £1 million a £103 million decline in TV revenue year-on-year. 700 -0.3% 700 less in 2017 than in 2016 – a total loss of £663 million. ONLINE BRANDS REMAIN SIGNS OF IMPROVEMENT 600 -11.4% 600 THE BIGGEST ADVERTISERS ON TV This pattern shows that, despite there being a decline Going forward, it is sensible to remain cautious, but AD SPEND £ MILLIONS 500 500 Now more than ever, online brands need to be seen -2.4% in standard TV viewing (p. 12) and growth in some things are looking up. For FMCG advertisers, the +1.6% 400 400 other forms of ad-funded video content, there is no year-on-year Brexit effect on the value of the pound as trustworthy. Imbuing brands with trust is one of TV -3.1% -4.9% +11.1% advertising’s strengths and online businesses seeking 300 -0.3% -0.4% 300 structural cause of TV spend not growing in 2017. has come to pass and in Q4 2017, FMCG investment +1% to harness the brand-building power and confidence 200 200 If there was, most or all brands would be cutting in TV advertising grew by 8% year-on-year, according that TV advertising instils invested £682 million in TV 100 100 spend, but this is not happening. Instead, there are to Nielsen. in 2017, a decrease of only 0.3% on 2016. 0 0 other topical factors that had a disproportionate impact on TV. Online business Food Cosmetics & PC Ent. & leisure Finance Motors Telecoms Retail Household equip. & DIY Household FMCG 785 NEW OR RETURNING ADVERTISERS ON TV This figure represents the number of brands who advertised on TV for the first time or returned to TV after a gap of at least five years and includes new to TV advertisers who used Sky AdSmart. Notable new MOST VIEWED ADVERTISERS / HOLDING COMPANIES IN 2017 or returning brands included Uber, Opodo and Sixt. Source: BARB, 2017, R/W commercial impacts according to BARB reporting. TV FORECAST TO RETURN TO GROWTH P&G 33.5 WARC estimates for the Advertising Association Sky 24.7 indicate that the total UK advertising market grew Unilever 17.5 to £22.1 billion in 2017 (up 3.4%), with TV advertising Reckitt Benckiser 16.9 TV BROADCAST VIEWS* representing 23.4% of it. The AA/WARC forecast BT 14.1 that in 2018 the ad market will reach £22.7 billion L’Oréal 11.9 (up 2.8%), with TV forecast to increase by 1.5%. Mars 11.2 Crown Commercial Service 8.6 Tesco 8.3 McDonald’s 8.2 0 5 10 15 20 25 30 35 IMPACTS BILLIONS *A TV ad ‘view’ relates to a single viewer watching a full TV ad at normal speed and with the sound likely to be on, as measured by The Broadcasters’ Audience Research Board (BARB). 22 TV IN NUMBERS TV ADVERTISING REVENUE: THE PENDULUM IS SWINGING BACK 23
THINKBOX A YEAR IN TV Research & trends Channel 4 News Channel 4
THINKBOX A YEAR IN TV Profit Ability: the business case for advertising This study, for the first time, quantified the THE PROPORTION OF TOTAL PROFIT REVEALED BY ATTRIBUTION MODELLING AND ECONOMETRICS Source: ‘Profit Ability: the business case for advertising’, Nov 2017 Gain Theory long-term ROI study. TV DELIVERS SCALE OF RETURN ADVERTISING CAN BE RISK ASSESSED “TV delivers 71% total profit generated by different forms TV drives the most profit because its scale and In the long-term, 72% of advertising campaigns create of advertising to show what they deliver to popularity enable it to deliver efficient profit return profit. Advertising is a safe business investment. of total profit the bottom line. It set out to examine and at high volumes of spend. Businesses can increase TV is the ‘safest’ medium as it is most likely to create generated by benchmark all media’s profit-generating investment in TV to a higher level than other media advertising-generated profit, both in the short and advertising, at performance, with a particular emphasis 18% ATTRIBUTION and it will continue to generate a profitable return long-term. In the short term, 70% of TV advertising MODELLING the greatest on uncovering TV advertising’s effects. before diminishing returns kick in. campaigns delivered a profitable return. During the 42% SHORT-TERM ECONOMETRICS 3 years after ad campaigns finished, this increases efficiency, and The study was commissioned by Thinkbox from ADVERTISING-GENERATED to 86% of TV advertising campaigns delivering for the least risk.” Ebiquity and Gain Theory, who independently PROFIT VARIES BY CATEGORY a profitable return. evaluate advertising performance and effectiveness 100% LONG-TERM As well as looking at overall advertising performance, for hundreds of brands. Using their databanks The majority of advertising STUDIES the study also shows how different forms of advertising IT’S TIME TO REASSESS THE RETURN of existing, client-funded data, they analysed over returns (58%) occur in the perform for different categories – Retail, FMCG, THAT ADVERTISING CAN GENERATE 2,000 advertising campaigns across 11 categories long-term. Financial Services and Travel – and how factoring in Businesses can now reassess the potential return to uncover the impact that different forms of the long term is crucial to understanding the impact that can be generated by different forms of advertising. advertising have on short-term profit (within 3–6 advertising has on different categories. For example, the study concludes that advertisers months of a campaign finishing), and then combined may be missing out on maximising advertising- these learnings with results for profit generated generated profit by under-investing in TV. Currently, over the longer term (up to 3 years on) to determine TV accounts for 54% of advertising spend among total profit return. Clearly, advertising also has Ebiquity’s database, yet it is responsible for 71% an even longer-term impact beyond 3 years, but of total advertising-generated profit. that is beyond the scope of this study. The key findings were... 58% OF ADVERTISING’S PROFIT RETURN IS PROFIT ABILITY KEY FINDINGS PROPORATION OF ADVERTISING-GENERATED PROFIT BY MEDIUM OVERLOOKED WHEN IGNORING THE LONG-TERM Source: ‘Profit Ability: the business case for advertising’, Nov 2017 | Ebiquity & Gain Theory. Source: ‘Profit Ability: the business case for advertising’, November 2017 Ebiquity ROI campaign database (Feb ’14–May ’17) & Gain Theory. Campaign obs: 1,954. Less than half of advertising’s profit impact happens in the short term. Businesses optimising their advertising £5.00 £5.00 investment based solely on these more easily visible TOTAL AD-GENERATED PROFIT SHORT-TERM AD-GENERATED PROFIT short-term returns are hugely undervaluing the total (WITHIN 3 YEARS) (WITHIN 3–6 MONTHS) £4.50 £4.50 TV 71% profitability driven by advertising. They are not £4.00 £4.00 TOTAL PROFIT ROI EFFICIENCY maximising the growth and value of the company. TOTAL PROFIT ROI EFFICIENCY % OF % OF AVERAGE PROFIT % OF AVERAGE PROFIT NO. OF BUDGET PROFIT PROFIT ROI LIKELIHOOD PROFIT PROFIT ROI LIKELIHOOD CAMPAIGNS £3.50 £3.50 ADVERTISING IS A £3.00 £3.00 TV 54% 71% £4.20 86% 62% £1.73 70% 1,280 POWERFUL BUSINESS INVESTMENT £2.50 Online Video 4% Print 18% £2.50 Looking at total profit return on investment (ROI) PRINT 23% 18% £2.43 78% 22% £1.44 61% 980 over 3 years, the average campaign delivers a profit OUT OF £2.00 £2.00 Radio 3% ROI of £3.24 per pound spent. This varies by channel, HOME 8% 3% £1.15 48% 3% £0.57 19% 580 £1.50 £1.50 but all forms of advertising, except Online Display, ONLINE VIDEO 6% 4% £2.35 67% 5% £1.21 52% 158 Out of Home 3% deliver profitable returns when you look at their £1.00 BREAK EVEN £1.00 long-term impact. £2.09 £1.61 540 Online Display 1% RADIO 5% 3% 75% 5% 62% £0.50 £0.50 ONLINE DON’T LOOK AT ROI IN A VACUUM DISPLAY 4% 1% £0.84 40% 2% £0.82 37% 330 £0 £0 This study is unique because it moves on from only 0% 10% 20% 30% 40% 50% 60% 70% looking at ROI to position it within the context of ALL MEDIA 100% 100% £3.24 72% 100% £1.51 58% 1,954 % OF BUDGET the volume of investment and scalability of different media. It found that, in the short term, TV is responsible Note: Online Video includes Broadcaster VOD, YouTube, Facebook video & online programmatic video Note: Online Video includes Broadcaster VOD, YouTube, Facebook video & online programmatic video for 62% of all advertising-generated profit at an ROI Bubble size represents % of total profit of £1.73 for every pound spent, the highest of any Total profit = all return (short + long-term) generated over 3 years media. In the longer term, TV advertising creates 71% of total advertising-generated profit at an ROI over 3 years of £4.20 for every pound spent, also the highest of any media. 26 RESEARCH & TRENDS PROFIT ABILIT Y: THE BUSINESS CASE FOR ADVERTISING 27
THINKBOX A YEAR IN TV Profit Ability Continued... THE DATASET DISTRIBUTION OF EBIQUITY CLIENT BASE (ANNUAL TURNOVER) Source: ‘Profit Ability: the business case for advertising’, November 2017. Ebiquity ROI campaign database. The findings are representative of the average performance of larger, better-known advertiser brands whose media is bought by the major 1.7% 5.1% 10.2% media agencies and is professionally audited 6.8% by Ebiquity and/or Gain Theory. 1.7% Ebiquity’s client base was used to determine the 8.5% 5.1% £1bn+ short-term ROIs and ad-generated profit volumes, £500m–1bn which Gain Theory then built on to determine £200m–500m long-term impact. The annual revenue distribution £100m–200m of Ebiquity’s client base can be seen to the right: £50m–100m £20m–50m £10m–20m So, all sizes of advertisers are accounted for, with 16.9% £5m–10m a skew towards bigger companies. This is not £5m–10m 27.1% surprising if we are realistic and pragmatic. To produce
THINKBOX A YEAR IN TV Get with the Programmes What brands can expect from TV sponsorship Would you like the evidence and benchmarks SPONSORSHIP MAGNIFIES BRAND STATURE TURBO-CHARGING AWARENESS GOOD CREATIVE FIT DRIVES HIGHER BRAND HEALTH Source: ‘Get with the Programmes’, 2017, Thinkbox/House 51. Base: 8 sponsorships (1,199 viewers; Source: ‘Get with the Programmes’, 2017, Thinkbox/YouGov. Base: 26 ‘good fit’ sponsorships, six ‘less obvious’ to measure the positive impact TV sponsorship 1,202 non-viewers). ESPECIALLY FOR LESSER-KNOWN BRANDS sponsorships. ‘Partnership Index’ is a composite average of reputation, impression, quality and consideration. will have on your business? A major study The reach and frequency that comes from sponsoring by House 51 and YouGov provides just that. 100 100 a TV show raises brand awareness for all brands. 7 7 Here we look at the key findings from ‘Get For lesser-known brands this effect is even greater, with the Programmes’. 90 90 underlining the impact TV sponsorship offers 6 6 5.7 80 78 % 80 new brands. 5.2 % PTS DIFF VIEWERS vs. NON-VIEWERS 5 MATCHMAKING VIEWERS WITH BRANDS 68 % For less well-known brands, both their brand and 5 4.9 5 70 70 People love their favourite TV shows, and brands that advertising awareness scores were substantially higher sponsor them can share in that love and borrow from 60 60 for viewers of the TV shows they sponsored. Brand 4 3.7 4 the show’s personality. This ‘brand rub’ effect makes awareness was 17.2 percentage points higher than for 3.4 viewers feel the sponsoring brand is more for them. 50 50 2.8 2.8 % AGREE BRAND IS POPULAR non-viewers (it was 1.1 percentage points higher for 3 3 On average, the personality fit between a viewer of a well-known brands). 2.4 40 40 sponsored TV show and the sponsoring brand is 53% 2 2 higher than the fit between the sponsoring brand 30 30 CREATIVE FIT IS KEY and a non-viewer. When a TV sponsorship creative was a good fit with 1 1 20 20 0.4 a TV show, key brand health metrics for viewers of MAGNIFYING BRAND STATURE 10 10 the sponsored show were 5 percentage points higher 0 0 Partnering with TV shows takes advantage of ‘costly than for non-viewers. When the fit was less obvious Partnership index Reputation Impression Quality Consideration signalling’ – TV sponsorship is perceived to be costly, 0 0 they were 2.4 percentage points higher. so it signals success. Viewers of a sponsored TV show Non-Viewer Viewer Less obvious Good fit are more likely to believe the sponsoring brand is FULLY INTEGRATED PARTNERSHIPS popular than non-viewers. WORK MUCH HARDER Fully integrated sponsorships – those that include BOOSTING MENTAL AVAILABILITY MENTAL AVAILABILITY IS AMPLIFIED FOR VIEWERS additional activity such as bespoke spot advertising, EXTENT OF CAMPAIGN INTEGRATION IS REFLECTED IN BRAND HEALTH Using a timed response test, House 51 found that Source: ‘Get with the Programmes’, 2017, Thinkbox/House 51. Perception of sponsorship brand. microsites, product placement, programme talent Source: ‘Get with the Programmes’, 2017, Thinkbox/YouGov. Base: 22 badging only, nine some integration, four fully viewers were twice as fast as non-viewers to agree Base: 8 sponsorships (1,199 viewers; 1,202 non-viewers). integrated. ‘Partnership Index’ is a composite average of reputation, impression, quality and consideration. or licensing – increased brand health metrics by 8.9 they would recommend the sponsoring brand. 100 100 percentage points above non-viewers compared HIGH, MORE EFFECTIVE HIGH & AUTOMATIC 12 12 with a ‘badging-only’ sponsorship approach which delivered a 2.8 percentage point increase. Popular, 78% 10 9.8 10 Likeable, 77% % PTS DIFF VIEWERS vs. NON-VIEWERS 8.9 Popular, 68% 8 8 I’d recommend, 63% 7.6 8 Likeable, 66% For me, 57% % AGREE 6.1 6.3 50 50 6 6 I’d recommend, 49% 5.3 5.6 For me, 43% 5 4 3.7 4 3.6 3.4 2.8 3.2 2 2 1.2 LOW, MORE EFFORT LOW & AUTOMATIC 0 0 0 0 Reaction time Partnership index Reputation Impression Quality Consideration Viewers Non viewers Badging only Some Integration Fully Integrated 30 RESEARCH & TRENDS GET WITH THE PROGRAMMES 31
THINKBOX A YEAR IN TV Get with the Programmes Continued... PLAY THE LONG GAME LONG-TERM PARTNERSHIPS DELIVER BETTER BRAND RESULTS Source: ‘Get with the Programmes’, 2017, Thinkbox/YouGov. Base: 15 below 12 months, seven at three years and Longer-running campaigns (three+ years) drove over. ‘Partnership Index’ is a composite average of reputation, impression, quality and consideration. increases in all brand health metrics above younger campaigns (up to one year). 7 7 7 TV SPONSORSHIP EFFECTS LIVE ON 6 6 In the six months following the end of a TV sponsorship, 5.4 whilst ad awareness fell as you’d expect, brand 5.1 5.2 % PTS DIFF VIEWERS vs. NON-VIEWERS 5 5 health metrics fell at a far slower rate. Six months after 4.7 4.5 4.6 sponsorships had ended, 81% of the brand health 4 advantage gained with viewers of the sponsored 4 4 TV show was still active. 3.2 3 3 2.2 NOTE: METHODOLOGY 2 2 House 51 used a blend of mobile self-ethnographies, filmed in-depth interviews, and a quantitative survey 1 1 across eight TV sponsorships, each time interviewing 300 viewers/non-viewers, to understand the mechanics 0 0 of how TV sponsorship drives brand affinity. Partnership index Reputation Impression Quality Consideration YouGov combined their Brand Index database with Below 12m 3 Years and over their TV programme database (both of which survey the attitudes of 4,000 people every day) to look for evidence of the impact TV sponsorships deliver for brand health and to uncover the key drivers of BRAND HEALTH DECAYS SLOWLY WHEN SPONSORSHIPS END increased effectiveness. Source: ‘Get with the Programmes’, 2017, Thinkbox/YouGov. Base: 16 completed campaigns. ‘Partnership Index’ is a composite average of reputation, impression, quality and consideration. 7 7 6.3 6 6 5.4 5.4 5.2 % PTS DIFF VIEWERS vs. NON-VIEWERS 5 4.7 5 4.3 4 3.8 4 3 3 3 2 2 1.5 1 1 0.1 0 0 Last day of campaign 1 Month Post 2 Months Post 6 Months Post 9 Months Post Partnership Index (Ave. of four brand health metrics) Ad awareness 32 RESEARCH & TRENDS The Voice ITV GET WITH THE PROGRAMMES 33
THINKBOX A YEAR IN TV TV in 2017 at a glance 03 CHANNEL 4, ITV AND SKY MEDIA UNITE Broadcasters and Perhaps ‘TV at a glimpse’ is a better title given the Thinkbox team up to launch The Big impossibility of fitting everything from the last year TV Festival, an event for media planners on a double-page spread. But, this gives you a taste and marketers to of what happened... showcase the power of TV advertising CHANNEL 4 CHANNEL 4 JOINS EUROPEAN TAKEOVER FOR BROADCASTER INTERNATIONAL EXCHANGE WOMEN’S DAY Ad alliance will see CANCER RESEARCH Broadcaster hands GET WITH THE Channel 4 run pan- CO-OP FESTIVE UK LIVE AD FIRST control of its JOSHUA vs PROGRAMMES CHANNEL 4’S European campaigns CHOIR AD LAUNCHES Channel 4 airs the first airwaves to 18 KLITSCHKO FIGHT New study SIGNED AD BREAK across its VOD ON CHANNEL 4 live ad shot from inside guest announcers IS A KNOCKOUT commissioned by Brands including services alongside Groups sing the theme the human body for its biggest-ever Sky Sports broadcast Thinkbox reveals Nationwide, Samsung other EBX partners tunes of The Crystal continuity takeover ITV & CHANNEL is one of the biggest the value that TV and Maltesers team up Maze, Gogglebox and THE NATIONAL 4 PARTNER UP boxing matches in sponsorships deliver with Channel 4 to create PROFIT ABILITY Countdown in the break TELEVISION TV ACCOUNTS FOR ALZHEIMER’S recent history for brands LIONESSES the first ad break fully DAVE BECOMES New research from immediately preceding AWARDS GO TO… FOR 94% OF SOCIETY SMASH RECORD accessible to deaf and ‘RUPERT’ FOR Ebiquity and Gain the shows Emmerdale, I’m A VIDEO ADVERTISING Broadcasters team THE HANDMAID’S DFS AND MEDIACOM England’s crunch Euro hard-of-hearing viewers SNICKERS Theory – commissioned Celebrity, Gogglebox, LEGO BATMAN TAKES New analysis by up to simultaneously TALE PREMIERES SUPERHUMANS WIN GRAND PRIX 2017 semi-final against UKTV channel by Thinkbox – reveals AUDI IS AD OF This Morning and OVER CHANNEL 4 Thinkbox of 2016 launch ‘United Against ON CHANNEL 4 TRIUMPHS AT At the Thinkbox TV Holland draws the JUST EAT SPONSORS morphs into a posh that TV advertising THE YEAR Ant & Dec’s Saturday CONTINUITY video consumption Dementia’ campaign Award-winning series BRITISH ARROWS Planning Awards biggest-ever UK TV THE X FACTOR and pretentious outperforms all other Thinkboxes winner Night Takeaway Warner Brothers brings in the UK shows scores an average Channel 4’s campaign for ongoing TV ad audience for a women’s The online food delivery character for ‘You’re media investments, ‘Clowns’ by BBH is chosen take the honours Lego Batman to life as breakdown of video SKY Q HITS 1 audience of 2.3 million for the Paralympics wins innovation that sold football match with brand creates idents not you when you’re in both the long and as top film ad of 2017 by for commercial TV a continuity announcer advertising viewing MILLION HOMES per episode Commercial of the Year £1bn worth of sofas a peak of 4 million featuring singing chefs hungry’ campaign short term Campaign magazine JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER THE VOICE ONLINE BRANDS DISCOVERY CHANNEL 4 JAMESTOWN DEBUTS SKY AND VIRGIN LOVE ISLAND IS A SKY & HBO CORONATION SKY LAUNCHES WORLD TV DAY CHANNEL 5 LAUNCHES ON ITV FUEL GROWTH FOR LAUNCHES SHOWCASES New Sky One series is MEDIA ANNOUNCE SMASH HIT ON ITV2 ANNOUNCE FIRST STREET ADDS DIVERSITY Global TV Group launch ENJOYS GREAT 2017 The show’s debut on TV ADVERTISING QUEST RED PERSONALISED the channel’s biggest STRATEGIC The number of 16–34s CO-PRODUCTION AN EPISODE COMPETITION ‘The Global TV Deck’, Delivered highest ever commercial TV captures Amazon, Facebook, New free-to-air AUDIO ADVERTISING launch in a year PARTNERSHIP watching increased by DEAL INVESTMENT The record-breaking Aims to encourage pulling together data share of 16–34 UK views 5.6 million viewers, Google and friends now channel with focus 20th Century Fox’s Enables brands to reach 86% year-on-year Investing in British soap moves to six brands to be braver from 19 countries to in 2017 and strongest including 1 million 16–34s the biggest spenders on true-life stories campaign for ‘Alien: more than 30 million production company shows a week when targeting ethnic underline the power overall performance for on TV with 8% increase Covenant’uses new viewers with brand-safe GAME OF Bad Wolf as part of minority groups of TV advertising 13 years in spend BVOD ad format that targetable advertising THRONES FINALE $250m deal AND THE EMMY addresses viewers by REACHES 5.2M GOES TO… RECORD RATINGS TWO LEGENDARY ITV HUB LAUNCHES their name RIVIERA IS A SKY The final episode JOHN SNOW Sky Atlantic’s Big Little FOR GOLD’S MURDER STREETS TEAM UP ON XBOX RECORD BREAKER of season 7 is Sky’s TACKLES FACEBOOK Lies and Channel 4’s ON THE BLACKPOOL FOR CHRISTMAS Sun-drenched crime largest-ever audience Veteran newsreader The Handmaid’s Tale EXPRESS ON ITV thriller becomes the calls on digital platform are the big winners Becomes the highest- Coronation Street and broadcaster’s most to pay more for TV ever rated show on Gold Quality Street partner to news content in the TASKMASTER offer families a festive successful original Edinburgh TV Festival’s RETURNS TO DAVE THE GREAT celebration on the commission McTaggart Lecture Bafta-nominated UKTV BRITISH BAKE OFF hallowed cobbles Originals show back for RISES TO THE TOP 01 series 5 Channel 4 wins its biggest audience in 32 years and second-biggest ever SKY ADSMART HITS 10K CAMPAIGN MILESTONE Landmark campaign 02 04 is for Clydesdale Bank ITV LAUNCHES LINEAR ADDRESSABLE ADVERTISING 01 Jamestown Partnership with 02 UEFA Women’s Sorenson Media will see EURO 2017 dynamically personalised 03 Profit Ability ads on ITV’s channels 04 Coronation Street 34 RESEARCH & TRENDS TV IN 2017 AT A GLANCE 35
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