BrainTrust Query: What will TiVo's new audience ad-skipping research mean to the effort to reach consumers?
By Laura Davis-Taylor, Founder and Principal, Retail Media Consulting
(www.retailmediaconsulting.com)
Last Wednesday, USA Today broke the story that TiVo is making a move to help Madison Avenue measure the damage of its ad skipping capability. Its new Audience Research and Measurement (ARM) division will offer advertisers and agencies "second-by-second data and analysis on DVR viewing of advertising content," according to a company release. In so doing, TiVo is taking on Nielson, TV's longstanding measurement gurus. Not only will they track what ads people skip, but they will also track exactly when they jump off.
For traditional ad agencies and marketers, this news points to a potentially scary ride. For the first time, TV commercials could be held to accountability standards currently seen only with direct and online initiatives. Although only about 15 percent of homes have Tivo, these viewers provide random sampling that can likely point to the "make or break" of a brand's pricey broadcast efforts.
The core of the issue goes right to the of media as we know it, in essence, how to reach today's consumer. But is this news of measured TV media surprising? It shouldn't be, as technology is connecting channels, people and marketing ROI capability as never before. Many have seen this as a critical move, as consumers have already shown us with other media that they are overwhelmed and tired of all of the "noise."
However, consumers have simultaneously shown us that they welcome messages that are meaningful, valuable, and/or entertaining. If this is true, Tivo's new offering should be seen as a positive. If your target is skipping your ad, why not know about it so that you can find out why and take proactive steps?
Another angle to explore here is the current media valuation of reach and frequency. Currently, TV is the premier media vehicle to reach the most people as frequently as possible. As the disruptive technologies such as retail digital signage, mobile marketing and some of the next generation store devices appear, camps are already debating if this valuation model is the right one to gauge success.
Indeed, traditional agencies plan and buy according to this model. However, relevancy is now as important as R+F - if not more. Who cares if you reach a person numerous times with a message if it was simply screened out as communications clutter?
Discussion Questions: What will be the impact of TiVo's new measurement capability? Should we find more highly evolved standards for valuating communications effectiveness across all channels in today's fragmented media world? Is reach and frequency enough?
Like it or not, media as we know it is changing. We can't duck our heads and make it go away...consumers have found their voice and they're using it.
Based on this, marketing and media camps need to find a way to more effectively reach the consumer - in any channel - with a message that will resonate. Technology should not be seen as hindrance, as it's actually a powerful enabler to do this effectively as well as understand what's not working. The only people that should fear this are those who were not basing strategy and creative around the target audience in the first place!
Regarding media valuation, reach and frequency is certainly critical. However, relevancy needs to be equally positioned in importance. Especially with place-based efforts such as retail digital signage, we ignore the power of product adjacency and ability to stimulate purchase if we measure only eyeballs.