Tuesday, 22 September 2009

Internet and TV Equally Effective for Video-Spots

Online video-ads are booming and also more and more tourist boards spread their image videos through YouTube or other community platforms (see also my 1st post). Nevertheless, thousands of Euros are still spent for paid commercials on TV with the intention to reach a bigger audience and increase brand awareness.

However, there might be an attitude change in the heads of marketers soon, because a survey has now found out that online video ads are equally effective as TV ads in terms of brand awareness, brand affinity and brand recall. The German research community "Zukunft Digital" analysed whether a video-ad shown on TV is as effective as a pre-roll to an online video-clip viewed by a user. Ads of the following brands were used in the experiment: Bahlsen, BMW, MediaMarkt, Tchibo, Wüstenrot. In the experiment, the test users watched a TV-show and surfed on the Internet Portal web.de. The video-clips were shown as single-spots during commercial breaks on TV and as pre-roll-ads on web.de.

Both channels are equally effective in terms of aided brand recall (both 80%). However, the Internet outperformed TV with respect to unaided brand awareness (online: 62%, TV: 61%) and unaided brand recall (online: 46%, TV: 43%). TV scores slightly better regarding both the aided brand awareness (online: 92%, TV: 93%) as well as the brand affinity (online: 72%, TV: 74%).

It is also interesting that the probands perceived the adverts equally independent on which channel they were shown. Moreover, 41% of the probands said they appreciate commercials on TV and 42% said so for online-ads.

Bearing in mind the various advantages of online advertising compared to TV advertising, such as efficient targeting, cost savings, viral marketing potential, then it is likely we will see a shift of marketing budgets towards online advertising. The Internet usage has increased significantly since 2000 whereas the traditional media had to suffer severe losses (see illustration below).

Online advertising in Austria currently has a market share of only 4% but saw an increase of 46% in July 2009 compared to July 2008 (Source: http://www.at.focusmr.com/). However, in terms of online marketing spends Austria lags far behind USA (19% market share), UK (15%) and Germany (12%). It seems that Austrian marketers are sworn "traditionalists".


3 comments:

  1. Very interesting article…is this research also including demographic data who saw video and TV advertising , target public? Any results in call for action effect? Or do you video advertising (you tube) in more suitable for rising branding...?
    br, aleksandra

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  2. Hi Aleksandra,
    I am glad that you find the article interesting. The sample for the survey consisted of 270 people (aged between 14 and 19 years) from Hamburg, Köln and Nürnberg, who use the Internet at least once per week, view at least occasionally videos online and also use at least occasionally web.de. Further details to the survey can be found on: http://www.facit-digital.de/unternehmen/aktuelles/details/article/werbespots-wirken-im-internet-gleich-gut-wie-im-tv.html?tx_ttnews%5BbackPid%5D=1&cHash=ee7a2fbcd9 and the key results of the experiment are summarised on: http://www.facit-digital.de/fileadmin/facit_digital_files/PDFs/ZukunftDigital_Wirkungsvergleich-Online-TV_Praesentation.pdf

    The survey results demonstrate that online channels are a real alternative to TV ads which are very expensive. With respect to rising brand awareness it seems there is no difference between the 2 channels. Hence, DMOs might reduce the budget for TV ads and use it for eMarketing activities instead. Of course, the goals and metrics for the campaigns in either channel need to be defined clearly and monitored closely.

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  3. Experts have talked about this before. How many times have you read about the importance of ‘adding value’ for your audience? How many times have you read about ‘building trust’ with your readers/prospects?
    Many, many times. You know it well. Every marketing guru has spoken about this topic. I’m sick of hearing it. But it STILL bears repeating.

    www.onlineuniversalwork.com

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