Video Consumption Shift to Drive Changes in Marketer Advertising Strategies

TV advertising has been a protected class in the traditional media category. Marketers continue to increase spending on the medium as consumers watch hours of TV on a daily basis. But the CEO of mobiletvComcast, Brian Roberts, expects big changes in TV viewing habits over the next 5 years. Along with viewing changes will come advertising shifts.

A recent column by Mitch Barns CEO Nielsen in recode​.net, highlights why TV viewing will change and how marketers will adapt. Barns is quick to point out that video content consumption is not going away.  Most consumers devote an average of 60 hours a week to video consumption. However, folks are not spending as much time in front of a traditional TV set. They are viewing content on the go on their mobile devices.

The TV-​anywhere behavior means that advertisers should have a keen interest in collecting additional psychographic data about viewers. Marketers will want to know the geographic location of a viewer in order to determine which ad to serve up. Advertisers will also want to deliver ads based on what the consumer  is doing at that particular moment.

These new advertiser needs will translate into huge data processing opportunities. Barns points out that marketers and media companies are struggling to deliver accurate real-​time information right now. Some of the data is suspect because bot traffic is falsely inflating numbers. The measurement market is also fragmented. Several companies are trying to develop solutions, some of which are custom. Barns argues that the problem with that strategy is that it leaves no way to make easy comparisons. As the industry matures, and a few operators dominate the conversation, media companies and marketers will likely compromise and agree on a standard that measures effectiveness and ROI.

Do you think Bryan Roberts and Mitch Barns are right? Will marketers and media companies make this transition in the next 5 years?

Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.