Thursday, July 21, 2016

Cinema Advertising Rakes in the Ad Revenue

The cinema industry has high hopes for the future; and rightfully so with a 13% increase of ad revenue in 2015, topping $700 million for the first time.

The Cinema Advertising Council (CAC) recognizes the consistency of movie-goers. In fact, there have been at least 1.25 billion movie tickets purchased every year for the past 22 years! Katy Loria, CAC President and Chairman, notes that, “it [cinema advertising] delivers millennial audiences whose consumption habits compared with past generations are different and elusive… except for movies.”

Theater ads have high viewability in front of captive audiences, as well as the ability to target specific demographic and geographic consumers.

In addition to the ordinary cinema ad on the big screen, with the development of new data and technology, advertisers are beginning to connect brands with consumers before, during, and after the movie experience.


While cinema advertising is growing nationwide, the strongest area of growth is amongst national and regional brands. Two hundred fifteen new brands jumped on the cinema bandwagon last year. Overall, national and regional brands make up 77% of cinema ad revenue. 

Thursday, July 14, 2016

Advertisements on the Big Screen Verses the Small Screen

No one reading this blog would be surprised if I stated that people watch television shows on multiple devices. A statement that might intrigue you is that advertisements do not settle in with consumers in the same way across all devices.

Nielsen commissioned a study to be carried out by Hub Entertainment Research to measure how people watched the same five shows and their ability to recall advertisements. Viewers watched the shows: Bones, Family Guy, The Big Bang Theory, Survivor, and Family Feud across televisions, tablets, smartphones, and computers.

After the shows had been viewed, Hub Entertainment Research conducted 15-minute interviews and determined that those watching on televisions had the highest ad-recall percentage at 62, followed by tablets (47%), smartphones (46%) and computers (45%).

Hub also measured “attentiveness” using a scale of 1-10 where 29% of television viewers ranked advertisements in the 8-10 range.

Conclusions were drawn that the study had two primary factors: the size of the viewing screen and the role of multitasking when watching the shows. A mere 7-11% of multitasking was related to the brands featured in ads shown.

Peter Fondulas from Hub Entertainment Research puts it this way, “The more likely culprit for lower ad engagement on smaller screens is an ad delivery approach that doesn’t align well with the expectations, and viewing situations, of consumers watching on mobile devices.”

Simply put, viewers expect to see advertisements on television, that’s all we’ve ever known. Yet, when it comes to viewing video on alternative devices, viewers are less accommodating and accepting of these interruptions.

Wednesday, July 6, 2016

Where and When to Reach Your Customers

We all know that advertising is a way to reach customers and hopefully impact their opinions, actions, and decisions in a positive way. But what is the best way to impact customers before they make a purchase decision? Starcom Mediavest Group dove deep into researching customer activity prior to purchases to discover just that.

Through SMG’s research, they found that customers are highly impacted at all stages of the decision making process through audio and out of home.



From the above graph, you can see the correlation between purchase activity and media usage. Interestingly, each category affects consumers the most at the “consider” and “decide” levels except for television and digital video which highly affect consumers at the purchase point.

Taking a deeper look into the industry’s hot-topic generation, the Millennials (ages 18-34), SMG found that trends tend to be relatively similar. By analyzing the graph below, we can see that Millennials tend to react in a similar way when compared to non-millennial adults.


Surprisingly, television and digital video are the only media outlets where Millennials correlate at a higher level than adults 18+.  Search and social, while being incredibly popular with Millennials, have a correlation that fails to outperform that of the adult group.

For advertisers looking to influence their target audience in a way that will cause them to consider, decide, and purchase a product or service, this information is incredibly relevant and might require some re-strategizing to reach consumers in the most effective manner.

Friday, June 24, 2016

Ad Blocking: The Hottest Digital Topic

Years ago the “hot topic” in media was the integration of DVR’s in every household. Now, the buzz word has switched to “Ad Blocking”. It seems like everyone in the industry is perplexed with the concept and anxious about finding a solution to overcome this trend.

From logical thinking, one would assume that ad blocking is mostly utilized by younger millennials who are tech savvy. The largest concern with that is that millennials are becoming young adults, newlyweds, new parents, and leaders in the society.  Soon this Ad Blocking generation will be raising their kids to do the same.

eMarketer dug deeper into this topic and reported that 63.2 million people use an ad blocker on their desktop/laptop while only 20.7 million people use the software on their smartphone.

Catchpoint Systems also did a study regarding ad blocking and reported that for many ad heavy sites, blocking software slowed page load times for users. However, sites like Southwest saw an improvement resulting in quicker load times.

Few websites, like Forbes, have taken action against ad blockers. Forbes requires a user to turn off their software or log in to their account to enter the site. Other platforms like Pandora provide users with an ad-free option with a subscription.

Just like with the integration of DVR, marketers will have to transform the way they serve ads in order to reach those who intentionally block them. It is likely that in the near future, publishers will adapt a format similar to that of Forbes to ensure that they have revenue coming in from the advertisements.

As with much of the advertising world, this is a growing and evolving subject. We look forward to learning more about how ad blocking will affect the digital medium.

Monday, June 20, 2016

Broadcast or Digital? How About Both

President and CEO of Nexstar, Perry Stock declares, “Traditional TV remains the dominant reach medium with the greatest share of video viewership and superior engagement and influence on consumers’ purchasing and voting decisions. As our business continues to evolve with the changing new media landscape, we are focused on developing new technologies, products, and services that complement our broadcast and digital media platforms.”

Well, that’s exactly what Nexstar has done. Along with its subsidiary, Yashi, Nexstar has created a Digital Mirror platform that links video advertising on television with pre-roll on digital mediums.

Digital Mirror is a new technology that allows advertisers to take over the programmatic pre-roll inventory in a specific DMA during and immediately following a broadcast commercial. For example, you’re watching your favorite prime time show (for me, Blacklist takes the prize) when the show goes to a commercial break. There you see a commercial for the latest and greatest restaurant in your area. Well, commercials aren’t all that exciting so you switch to your smartphone/tablet/laptop. Next thing you know, there’s a pre-roll ad for that same awesome restaurant. Now, after seeing that sizzling steak for a second time, you mouth starts to water. Maybe you are hungry. Blacklist can wait, right? You push pause, strap on your shoes, grab your wallet, and head out the door.

Okay, so every advertising opportunity might not work out as seamlessly as above, but with Digital Mirror, advertisers can take over the pre-roll inventory for three minutes after the conclusion of their video. Advertisers can now reach their customers on multiple devices at nearly the same time. Not only will advertisers reach those who actually saw the television commercial, but they will also reach those not watching television with the pre-roll ad running throughout the DMA.

So far, Digital Mirror is available in three Nexstar markets with the platform expected to roll-out into all other markets within the year. The technology hosts a platform which allows full transparency and real time data so advertisers know where and when multi-screen impressions occur and the analytics that dig deeper. 

Thursday, June 9, 2016

The Unimaginable Becomes Imaginable: Creative Doors That are Waiting to be Opened

We’ve all heard people talk about the future holding the unimaginable. It’s always interesting to me to think about what could happen in the future and then see what actually comes about. Somehow, my mind is still always blown. So far this year, the trend has continued. Technology has gone to new levels, invented new products, and taken consumers to a whole new world, (almost) literally. With these new technologies come many new opportunities for advertisers.

Jayson DeMers discloses seven marketing trends he expects to dominate in 2016, and sure enough, many of these expectant trends, are new entities in themselves.

First, Google will finally jump on board with in-SERP (search engine results page) video advertising. So this one isn’t new, but it’s new to Google. And it’s a new incident that Google isn’t leading the market in new opportunities, instead they’re following competitors Facebook and Bing who already have in-page video ads.

It is likely that mobile-optimized sites will no longer be good enough. Instead apps will take over as a more convenient, intuitive, and accessible alternative.

Digital assistants will surely open doors for advertisers. Never heard of a digital assistant? Well sure you have, just maybe not with that term; think Siri, Cortana, Amazon’s Alexa, or OK Google. These assistants use search engines when necessary which prompts the task for advertisers to become readily accessible so that the next time an iPhone user asks Siri, “show me the best pizza in my area” your mom and pop’s pizzeria will be the first on the list.

Proceeding on to the world of virtual reality: The Oculus Rift is a VR gaming device whereas other VR devices are used for general use. Surely advertisers can find their place through connections to social media channels, gaming, videos, and possibly even direct messaging.

Lastly, wearable technology is on the rise. The Apple Watch is the first of these devices but most definitely not the last. Again, new devices create new possibilities.


With all of these unimaginable technologies becoming imaginable and reality, advertisers can enter into a brand new world. Benefits include reaching people from the get-go. For example, many younger Internet users don’t see the intrusion of ads because that’s what they’ve always known while the older generations can recall a time where there were no ads. If advertisers are able to insert themselves into these opportunities from the start, users will know the product as is instead of remembering the “good ole days” of an ad free experience. However, with the rise in demand, it is likely the price for digital advertising will follow suit. 

Friday, June 3, 2016

Print and Other Traditional Medias Trusted Over Social

Professor of marketing at Melbourne Business School, Mark Ritson, uses Nielsen research to point out the continued trustworthiness of print marketing. As mentioned by Ritson, Nielsen declares that sixty-percent of people still trust print advertising. Fifty-six percent of people trust outdoor billboards and other out-of-home advertisements. However, the percent of trust level drops to forty-six when discussing online and social media ads.

Even millennials, the social media gurus, trust print and television advertising more than online and social. So why is that? Shouldn’t millennials lean towards the new and innovative outlets?

Well, I have no facts for you. No cut and dry numbers to tally. But what I do have is first-hand experience, insight, and opinions from a millennial herself: me. 


Theory 1: We don’t fully trust the internet itself
Millennials are raised being told, “Don’t trust everything you read online”. Well, that carries over directly to advertisements. We’re taught to do our due diligence to verify accuracy or simply take everything we see/read with a grain of salt.

Theory 2: We assume anything with a poor design is a poor product/service
The poor aesthetics of some online ads automatically rule them as a scam, inaccurate, or simply untrustworthy. Again, growing up in the digital world we are taught to be cautious of things we click on and access.

Theory 3: We are bombarded with digital
There are so many online/social ads that they’re an annoyance. With seemingly fewer television and print ads, they make a bigger impact. Expanding on this, growing up we were accustomed to seeing television and print ads. However, since the Internet was relatively new, there were little to no ads online making their entrance into the digital world disruptive.

Theory 4: We still like the attributes of physical print advertising
Direct mail print pieces give us a physical reminder. While digital calendars/coupons/offers are becoming more and more popular, I would still rather get a direct mail piece, disconnect the coupon, put it in my wallet, and make a point to go to the store to take advantage of the special offer.

Theory 5: We think less expensive = cheap quality
Digital ads are cheaper therefore less important. I think the majority of individuals realize that a television ad is more expensive than a display banner ad, therefore since anyone can afford online/social ads; they must not be as quality, prestigious, trustworthy, etc.



Like I said, no facts with sited sources or charts with extensive data, I simply have opinions of a twenty-something millennial living in the media world.