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Advertising Week New York took over the newly named “Penn District” last week. This year, conversations focused on retail media, AI, and data. In addition to a packed schedule of panels and presentations, attendees could experience the latest Netflix shows with a claw game and record shop, check out Google’s Formula 1 race car, or enjoy a full slate of special programming in Female Quotient’s Equality Lounge. While many sessions discussed the obstacles advertisers face in an uncertain market, others spoke optimistically about the future of the industry and what innovations are on the horizon.
In case you missed it, here are the three key takeaways from Advertising Week.
TV advertising has evolved from a channel best suited for upper funnel awareness to a lower funnel marketing tactic able to generate measurable sales lift. By measuring campaigns against strategic business outcomes, advertisers can now understand how their CTV efforts are driving sales and other KPIs.
“If you think about CTV pre-pandemic, [advertisers] were not applying a lot of data to their buys, either due to scale issues or the increased cost of data CPM on the media CPM, so from a data standpoint, it was still early days of data for CTV. Now we see a spike where it’s a very rich data media tactic to use,” said Conor Burgess, VP, Business Development at Acxiom.
The combination of better audience inputs and reporting outputs has made CTV an exceedingly valuable channel for marketers.
More data is available to advertisers than ever before, but it’s not just a matter of having data – you must be able to activate your data across channels.
Diana Haussling, SVP – GM, Consumer Experience & Growth at Colgate-Palmolive, explained, “You need a well-rounded data set to allow you to know if what you’re doing is working or not… you really have to play around with the mix itself of your different media levers.”
Maureen Bosetti, Chief Investment Officer at Initiative, echoed this sentiment saying, “If we don’t get better data to help inform, ‘what is that right level of optimization we’re doing across TV, OTT, CTV, social video, digital video?’ We can’t look at CTV in isolation from all these other touchpoints.” She elaborated saying, “We need the right data feeds […] to make informed decisions in terms of how much we should be investing in those channels.”
Maureen emphasized the importance of getting your data strategy right ‘upstream’ in the planning process, you cannot successfully execute cross-screen campaigns.
Effective omnichannel marketing will rely on implementing a holistic data strategy.
Macroeconomic challenges persist, pushing C-suite brand executives to expect quantifiable accountability on all their media investments.
“All media should perform, hard stop. It shouldn’t be brand versus performance. It’s a matter of selecting the right KPIs in those moments,” said Vinny Rinaldi, US Head of Media at The Hershey Company.
Adam Davis, Senior Marketing Manager at Magnolia Bakery described how CTV has become a performance tactic, rather than just an awareness play for the brand.
“A lot of people in the industry have these thoughts that a certain tactic is tied to a certain objective and only that objective. Two and half years ago if you had asked me, I would have said video – upper funnel, rich media – mid-funnel, Facebook ads, and Google ads – low funnel. That’s full-funnel advertising. Excellence in CTV now hits across all three of those stages in the story,” Adam explained. So, with the right solutions in place, Magnolia is able to track performance down to the order level, directly connecting an order to a CTV exposure.
Yet while measurement has become a necessity, several measurement challenges remain in our deeply fragmented industry. First and foremost, the debate over currency. “If you do not have alignment on currency, it becomes difficult to measure anything,” shared Chris Martinez, OTT, Director of Sales at Hearst Television.
As demand for improved measurement increases, it is up to technology vendors and data providers to work together to develop innovative solutions.
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