This week we have been... digesting 'The TV playbook for online businesses'
The study, conducted by Magic Numbers, provides online businesses with their first-ever guide to using TV and is based on advertisers that have successfully grown their volume of web traffic through TV advertising.
The report contains some fascinating and compelling information on the role TV advertising plays for online businesses and how TV advertising works alongside search advertising.
Guidance begins with 3 signs you’re ready for TV which include;
1) You have a clever or new product
TV is the perfect medium for brands to educate consumers and drive website visits simultaneously - especially if the product is clever, new, or difficult to understand. This subsequently has a positive impact on conversion rate by bringing prospective customers to the site that already understand the proposition.
2) You need to scale fast
The boom of online businesses has seen incredible growth from brands who are battling to reach or stay at the top of their category. These brands are often driving the digital disruption of a category and find that they need to scale quickly so they can dominate against their competitors – a strategy seen in meal kit brands, price comparison websites and more recently selling cars online.
3) You are running out of efficient online buyers
The third sign that you are ready for TV is when your normal marketing mix (typically performance marketing) no longer seems to be working – key signs include a loss of efficiency in offline channels or slow / no growth. Therefore, the usual media mix must be reviewed and replaced with an alternative strategy to continue to unlock growth.
The second part of the report gives evidence from online businesses such as Omaze, Seranata Flowers and Vinted show that the effect of TV on your business include;
An immediate response visible in your dashboards
A big effect at a cost per visit comparable to that of search advertising
Lasting ad effects that grow base sales
One of the most compelling parts of the report looks at how TV can positively impact your current search activity.
Within search advertising, direct, organic and paid brand search visits are highly desired as these are the cheaper and, in some cases, free visits. TV and search have always been strongly linked. Brands can capitalise on these searches as analysis showed that most online journeys prompted by TV involve your brand name early which means lower spend in the search environment. TV lands the brand name better than the other offline channels as it encourages people to search the brand and not the categorypushing consumers one step closer to your website and away from a competitor.
Of the journeys initiated by TV, 66% were direct/URL or organic search visits (which carry zero additional cost), 20% were paid for brand search clicks (which carry a small search cost), and 14% were for paid generic searches (that carry a higher search cost).
The upshot is that it proves that TV drives cost effective web visits because it prompts people to look for your brand not the category. Makes perfect sense doesn’t it?
Finally and on a more practical level if you want to delve into TV, the following guidance is based on the findings from the expert interviews and the approach to TV used by the 10 brands in the study:-
Start with acquisition/response focused TV that allows test and learn
Most online businesses should first establish the business case for TV advertising through an acquisition/response focused campaign:
Target an immediate response (call to action focussed creative, airtime targeting the audience most likely to buy).
Lower priced airtime (no peak on larger rating channels).
The next stage of growth will likely require a move away from an efficiency-based strategy.
Depending on your brands circumstances, there is a right way to shift into brand focussed advertising.
Working with both a media and creative agency will benefit businesses looking for the next stage of growth to ensure you align your message with your media placements to maximise overall impact.
We’ve spent years helping brands grow through TV advertising so if you like the idea of super-charging your online business, get in touch & we’ll happily chat about how we could support you on your journey.