Ad buying, particularly in TV and premium streaming, is not exactly a paragon of data-driven decision-making.
Sure, we have plenty of self-described “data nerds,” but using data
points to validate heuristically driven actions should not be confused with the thoughtful application of the scientific method to media selection.
To be clear, this is not the fault of
agencies, media planners or buyers. No, it is almost entirely the fault of clients who backseat-drive the process and insert their personal biases, beliefs or desires into genre, show and network
selections.
Unfortunately, the result of so many of these directions is paying too much for spots, audiences, and campaigns that dramatically underperform on their potential.
Here are
some examples.
Preferring shows you (or your spouse, boss or kids) know and like. Since everyone in the business watches TV, they all assume they are experts on it.
It’s
like food: We may know well what we like to eat, and many of us can cook, but very, very few of us have the ability to be a great chef. Great chefs are great chemists. Same for media buyers. They are
great researchers, mathematicians and traders. They aren’t herd followers.
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Spending the majority of the TV budget on streaming, certain that no one who matters anymore is watching
linear TV. Yes, The Gauge from Nielsen tells us that about one-half of all content viewing time on televisions in the U.S. is now streamed. But since so much of that streamed content is
ad-free or ad-light, only about 15% of all ad-viewing time is now streamed.
What happens when 50+% of TV ad budgets chase 15% of the available TV ad inventory? Super-high prices for streamed
audiences, lots of digital ad fraud chasing that dumb money, and untapped ad bargains all across linear TV.
When you do buy linear TV ads, only buy live sports, live events and news. Of
course advertisers like crown-jewel properties. It gives them bragging rights with colleagues, peers and rivals. But iis it always best to make the chief financial officer and investors happy? Usually
not.
This list could go on for pages and pages, and extends way beyond TV and premium video buying.
For all of the money our industry has invested in data, science and technology,
it’s incredible how little has changed in how so many make decisions.
What do you think?