Consumers are everywhere, hop scotching from one medium to the next. And brands are eager to be there when they arrive.
Why are brands still spending money on TV?
It's a question that seems more inscrutable with every passing day. A recently released report from RMG Networks took a look at the state of video, both online and off. "The New Reality of Digital Video Advertising" reveals some startling stats:
- TV viewership has dropped 50 percent since 2002
- About 5 million consumers have cut their cable since 2010
- Network and cable CPMs are on the rise, up 5 percent in 2013
Increasingly, consumers are tuning out traditional TV and turning to the Internet for their entertainment. The digital video audience, which encompasses online video and streaming, is 52 million viewers strong, up 15 percent from a year ago. Forty percent of young adults watch digital video monthly, up 25 percent since 2013.
That isn't to say online video doesn't have problems of its own. Fraudulent bot traffic, skipped ads, and videos delivered but never seen all present marketers with a conundrum. If both TV and online video are riddled with challenges, how can a brand ensure it reaches its desired audience?
One way to manage this irregular marketing terrain is by embracing cross-channel communications. Beauty e-commerce company Birchbox this month marked its first venture into brand advertising by coupling a TV spot with a shopping feature online. "Open for Beautiful" is airing on TV in select U.S. markets that include Atlanta, Boston, Chicago, and San Francisco. On its brand site, the video is presented in tandem with an online catalogue.