In our fifth episode of our Ask the Experts series titled “Agile Decision Making”, Claudia Sestini, Global CMO of Gain Theory, discusses best practices and advice for being agile in the face of changing priorities with a full panel of industry experts.
With regards to how TV advertising is changing for more agile decision-making, Claudia Sestini asks:
“Globally, people have watched a tremendous amount of television this year. For marketers, consumer demand has been constantly changing, which requires a flexible media plan. The perception is that TV doesn’t allow for that level of agility…or does it? “
- During global lockdown and stay at home orders, with more time spent at home and fewer daily commutes, people chose to watch more linear television and on-demand programming.
- Several larger brands have been making the most of advertising during this period where demand (and cost) for television advertising has been low, while viewership has been high.
- However, because Covid diminished marketers’ guarantee of securing television advertisements with the right quality, timing, and programming, broadcasters removed the penalties for the late-booking deadline to afford marketers more agility.
- Marketers have appreciated this nimble structure, desiring to continue the reduced booking period beyond the pandemic. With shorter booking windows, more marketers can utilize television advertisements instead of using their funding across other typically agile platforms, like Facebook or Google.
- The drawback to this ‘new’ booking deadline structure, is that TV advertising is finite with a limited number of spots and programming. Broadcasters are not allowed to increase or decrease the minutes of advertisements; it is regulated by the government in the UK. Due to these limitations, the risk with more agile options is that the preferred programs and spots may ultimately not be available when marketers are ready to book.
“How has the TV industry pivoted to accommodate these new agile decision-making needs? How are TV networks dealing with unpredictable programming, where some shows may not be greenlit for production to continue filming and making new episodes?”
- TV production was hit hard due to Covid, limiting some options for programming. However, some shows were able to create production ‘bubbles’, with cast and crew leaving their friends and family for a few months to film safely. This was a step beyond what most broadcasters were willing to take.
- For broadcasters, the loss of revenue due to drop of demand for advertising in certain sectors leveled out because there were not as many shows or programs to spend on this season. Broadcasters were able to save up and reallocate those budgets for new programming in 2021.
- Broadcasters have been forced to be as agile as marketers, coming up with new formats and new programs to keep their schedules as strong as possible in lieu of new show content. There may ultimately be new formats that spring out of this time of ingenuity and creativity due to Covid.
Other topics addressed in the “Agile Decision Making” Ask the Experts Session:
- Media allocation decisions across brands
- How to pivot marketing strategy, at the right pace and place
- How to measure marketing efficacy, at speed
To stream the full video click here.