CANNES – Marketers are asking for a reliable source of media measurement to help them set the value of advertising transactions, especially as national linear television becomes more addressable to different groups of households.
“Measurement singly defines the biggest tension point between agencies and their clients, sellers and the brands themselves and the agencies,” Catherine Sullivan, chief executive of Omnicom’s PHD US, said in this interview at the Beet Villa during the Cannes Lions International Festival of Creativity.
“We have better signals than we’ve ever had before, but we still have more room to actually make it where I think when we get to that point,” she said. “The value that really great video content has is probably two times what it currently is valued at if we can get it right.”
Eliminating Wasteful Spending
Addressable television advertising, which shows different ads to different household during the same programming, can make media spending more efficient.
“Being able to target that audience upfront, know who it is and only be paying for that and not that wasted environment that has been really the drag on linear TV for many, many years — to me, that’s the really good stuff,” Sullivan said. “We’ve never been in a more golden age of being able to see so many great pieces of content that are living on the screen and the screens in multiple sizes now.”
She said some advertisers may resist spending on addressable advertising, especially if they’re selling consumer packaged goods (CPG) that almost everyone needs. Advertisers that seek to reach more targeted groups of consumers, such as automotive brands, makers of luxury goods and travel companies, might see a better return on investment (ROI) from addressable ads.
“There are some clients who are trying to target everyone with a mouth and a stomach. That becomes a little bit more difficult in terms of convincing them that they need to do something that’s addressable,” Sullivan said. “So it is about proving out the consumer that they’re trying to access at that point.”
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