High-Rated TV Shows Still Deliver Top ROIs

by Wayne Friedman , January 8, 2018

Although TV marketers continue to look for return on their media investment with non-traditional TV data, a new study from Disney-ABC Television suggests that ROI still has a lot to do with highly rated TV shows.

The study revealed that programs with a 1.0 rating or greater deliver twice the ROI of programs that come in below a 0.4 rating. This means these media deals outweigh “the higher costs of premium programming.”

Disney-ABC says the study, which was commissioned from Accenture Strategy, is among the first to "quantify ROI."

Research shows that higher-rated programs drive sales per impression, which are 92% higher than the cost per impression for advertising included in that content.

Social content related to highly viewed programs contributes to ROI results. Programs with “medium-to-high social commentary,” measured by Nielsen Social, drive 1.6 to 2.0 times the ROI of programs that have low to no social commentary.

The study also says that when a consumer gives a show a higher quality evaluation -- even without critical acclaim or genre -- it delivers 1.7 times the return of a less-favorable show.

media measurement, roi, tv

4 comments about "High-Rated TV Shows Still Deliver Top ROIs".

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Ed Papazian from Media Dynamics Inc, January 9, 2018 at 8:15 a.m.
One has to ask exactly how such a finding was arrived at and whether the methodology and assumptions pass the credibility test. When an advertiser buys a TV schedule the ads run in shows of all kinds with varying rating levels to say nothing of viewer engagement differences. Is this study implying that just because you use a somewhat higher proportion of "high rated" shows that you can expect much better results ---even if you sacrifice total GRP weight due to the higher costs per viewer that are involved? And how much more reach did the high rated schedules actually attain compared to those using mostly low rated programs or channels? One final question concerns the definition of "hiigh rated". Have we come to the point where we actually believe that a show attaining a 1% per telecast reach---or average commercial minute rating-----is "high rated"? And was this a set usage rating or a viewer rating? Questions, questions......
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John Harpur from Yellow Submarine replied, January 9, 2018 at 11:39 a.m.

Well said, Ed.

Peter Rosenwald from Consult Partners, January 9, 2018 at 4:43 p.m.

I share Ed Papazian's concerns...in spades.

How can those of us really concerned with ROI metrics get a copy of the study to give is some 'peer review'?

John Grono from GAP Research, January 9, 2018 at 5:09 p.m.

Abd OF COURSE they would have conducted the analysis in what we call 'clear air' when there was no other advertising on other media, no competitve advertising, no price promotion by the brand or competitors etc. etc.

No, I didn't think so either.