MyersBizNet Chairman Jack Myers says marketers will return to legacy media in the future and that, specifically, TV advertising will see a 4.2% spending increase in 2016. This, of course, flies in
the face of practically every other prognosticator, many of whom have placed all eggs in the online basket.
But Myers has put fourth four reasons why he feels TV ad spend will see an
- Digital advertising budgets are being more narrowly focused on specific companies. "Marketers are consolidating their digital budgets into fewer platforms where they can
have a major presence – with their primary focus Facebook and Google."
- Broadcast TV networks are now generating good revenue from on-demand platforms. "Legacy media, especially
broadcast network television, have done an excellent job of implementing advertising opportunities within their on-demand platforms and capturing a growing share of digital video budgets. This
includes Hulu and the full episode players."
- Businesses have seen a decrease in the amount of revenue generated from ad campaigns recently, so they are returning to older forms of
advertising. "There is a growing body of evidence ... that the target audience, reach, and awareness of ad campaigns has declined over the past decade, and that this decline has impacted on the
ROI [return on investment] value of advertising. Their analyses point to the best solution being a reinvestment in television first, followed by out-of-home, radio and to a lesser extent print."
- Old media companies are getting more innovative with their ad products. "Legacy media are investing in marketing solutions, research, branded content, and technology innovation that
provides marketers and agencies with their requisite 'shiny new objects.'"
All plausible reasons but I'd add another; ad blockers. The use of ad blocking technology has become
increasingly prevalent in recent years and all signs point towards a continuous increase in the usage of ad blockers.
Sure, you can skip ads on TV with a DVR or flat out ignore them by
walking into a different room or just watch everything on demand but that's far less absolute than an ad blocker which eradicates all ads on a web page from ever appearing in the first
TV is still very popular and, data aside, its clear couch potato nation isn't going anywhere anytime soon. Smart marketers may come to realize that, even with significant waste,
TV can still play an important role in a brand's marketing mix.
To quote Mark Twain, "The rumors of my death have been greatly exaggerated"