LONDON, UK — At the recent The Future of TV Advertising Global conference, executives discussed how international markets were lagging the US when it comes to actually uncovering the effectiveness of connected TV advertising.
With some forecasts for TV ad spend showing lower growth, that topic may grow in importance.
On the main stage, Nicola Lewis, Global Chief Solutions Officer, GroupM Nexus, gave a presentation that may point the way forward.
In it, Lewis laid out what she calls “The Effectiveness Equation”. Speaking with me at the conference, Lewis elaborated.
Navigating the CTV Environment
“There’s a huge amount of excitement around CTV as an advertising channel,” Lewis acknowledges. “Clients realize the eyeballs are moving and they are shifting, and we all know that, and that’s a fact, and therefore you need to find roots and ways into the addressable TV ecosystem.”
For Lewis, the equation has three parts:
- high-attention media.
- addressable audiences.
- high-emotion creative.
“Using those three key core ingredients … allows us to inform clients on where the focus should be based on addressable creative,” she says
The Power of Creative Optimization
Lewis emphasizes the importance of optimizing creative content for clients, a process that can have significant impact on brand and sales.
This optimization is backed by a research study Lewis undertook in March, which surveyed 46 ads across core industries and sectors and involved 13,000 panelists.
“We were able to see that there was a strong creative effect both on brand and sales impact when you did serve the right creative based on the right audience segmentation,” Lewis notes.
The research also established a framework for implementing findings, which includes pre-campaign enhancements and mid and post-campaign optimization.
The Promise of 2024
Looking forward to 2024, Lewis is hopeful that the power of television will continue to be felt, fueled by the content that was put on hold in 2023. “I think that the user experience is just going to get better and better and better across all of the providers within the television space,” she observes.
With new entrants to streaming TV ads, such as Netflix, Disney+, and Paramount+, Lewis believes the television ecosystem will continue to grow and draw in more budgets.
However, she cautions: “We’ve got to put effort into proving at the value and effectiveness of addressable TV specifically in order us to continue to grow the relevance and importance of television.”
You’re watching Beet.TV coverage of The Future of TV Advertising Global 2023, presented by Index Exchange. For more videos from this series, please visit this page.
