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Marketing Maestros

For Commercial Ratings – Specific is Better than Average

By Bill Duggan, Group EVP, ANA
Posted: Feb 13, 2014 10:30am ET

Both Kantar Media and Rentrak conducted analyses that provide individual ratings of the Super Bowl commercials. Kantar Media’s commercial tuning index (CTI) compares each commercial rating to the game average to produce an index indicating its relative value. Rentrak's Ad Retention Index looks at the second-by-second viewing average for commercials compared to the entire program.

According to both Kantar Media and Rentrak, the most-watched ads each had a 104 index compared to the average ratings of the entire game.  The least watched ads had an index of 91, according to Rentrak and “less than 95” per Kantar.  For the Super Bowl, the commercial rating depends a great part on where in the program it airs. The gap between a 91 and 104 index is indeed big and shows the value of specific commercial ratings versus average commercial ratings.

ANA continues to advocate for increased granularity of commercial ratings, and notably for brand-specific commercial ratings. We’ve conducted surveys (82 percent of members expressed interest – a landslide!), written white papers, and convened industry meetings. Last year, both Kantar Media and Rentrak participated in the ANA Commercial Ratings Summit to discuss solutions that could help facilitate the availability of brand-specific commercial ratings for television.  An output of the summit was the paper, “Brand-Specific Commercial Ratings: Benefits and Solution Providers."

Thanks to Kantar Media and Rentrak for continuing the conversation and showcasing the value of brand-specific commercial ratings.

And thanks to Radio & Television Business Report for initially publishing this blog.

Technologies from CES to Improve TV Audience Measurement

By Bill Duggan, Group EVP, ANA
Posted: Feb 5, 2014 11:00am ET

After this perspective was initially published in Radio & Television Business Report, a senior industry media executive (in fact, a division president), sent me an email that said, “ …while some of that stuff your reference is scary it is all going to happen. if it can be done, it will be done...good stuff.”  Please read on …

I attended CES recently with 150,000+ others including an estimated 10,000 marketing and advertising execs. There were a number of technologies on display at the show that could have applications to improve TV audience measurement.

ANA has been advocating the idea of “brand-specific commercial ratings” for some time now. That is, the ability to measure the ratings of specific commercials. The current industry standard provides ratings for the average of all the commercials within a program. Why settle for “averages” when you can have “specifics?”

Commercial ratings would provide more granular data to better inform the decision-making process.

ANA encourages the TV audience measurement companies to investigate the technologies from CES in order to improve TV audience measurement.

ANA Connection at Super Bowl Gospel Celebration

By Bill Duggan, Group EVP, ANA
Posted: Feb 3, 2014 12:00pm ET
Francisca Brown giving opening welcome.

ANA members American Family Insurance and St. Jude Children’s Research Hospital were both front and center at the recent Super Bowl Gospel Celebration.

American Family Insurance was a supporter of the event for the fourth consecutive year. Francisca Brown, multicultural marketing manager and an active member of the ANA Multicultural Marketing & Diversity Committee, gave the opening welcome.

Seattle Seahawks quarterback Russell Wilson is a spokesperson for American Family.  Myles Romero, advertising director at American Family, was quoted as saying that Wilson, “… really personifies what American Family stands for, in terms of the pursuit and achievement of dreams.” An ad with Russell Wilson, part of American Family’s long-running American Dreams campaign, ran in local markets on Super Bowl Sunday.  At the Super Bowl Gospel Celebration Mr. Romero had the honor of introducing the NFL Players Choir.

Myles Romero introducing the NFL Players Choir.

Super Bowl Gospel Celebration also served as a fundraiser with a portion of the proceeds benefiting national and local charities. St. Jude Children’s Research Hospital was the primary charitable beneficiary this year. ANA helped connect St. Jude and the Super Bowl Gospel Celebration at the 2012 ANA Multicultural Marketing & Diversity Conference.

Congrats to ANA members American Family Insurance and St. Jude.

 

 

 

Farewell to 4A's TV Production Cost Survey

By Bill Duggan, Group EVP, ANA
Posted: Jan 29, 2014 10:00am ET

In a sign of the times, the 4A's just recently announced that they will no longer publish their "Television Production Cost Survey." The survey originated in 1987 and the last published report represented the twenty-fifth year of this continuing project.

For those twenty-five years, the report provided the industry with a method of benchmarking the industry average cost of producing television commercials, providing data including:  

    Average Cost
:30 Commercial
  2011 $354,000
  2010 $324,000
  2009 $323,000
  2008 $342,000
  2007 $361,000
  2006 $335,000
  2005 $381,000
  2004 $385,000
  2003 $372,000
  2002 $358,000
  2001 $358,000

According to the last published report – the 2011 Television Production Cost Survey – the average cost of a 30-second commercial was $354,000.

But today's super-fragmented, content-demanding media environment has made the report obsolete. Who shoots just a 30-second commercial (alone) anymore? And what is a "commercial" anyway?

Content is king and marketers are producing all sorts of video content. For web sites, for online video, for digital place-based advertising, and, of course, television. The traditional 30-second commercial was largely a one-time event for most marketers. But today, many marketers are producing episodic videos, that is, a series, and distributing them on various platforms – paid, owned, and earned. And marketers and their agency partners have gotten smarter over the years and learned to produce video content more efficiently. It's interesting that the average cost of a 30-second commercial in 2011 was actually lower than it was in 2001! See the adjacent chart, from the 4A's reports over the years.

So farewell to the 4A's Television Production Cost Survey. But it's a new era.


Thanks to Radio & Television Business Report for first publishing this blog.

What I Learned in London at the WFA Sourcing Forum

By Bill Duggan, Group EVP, ANA
Posted: Jan 27, 2014 12:00pm ET

I just attended the WFA Sourcing Forum in London with about forty sourcing professionals and learned so much!  Some highlights:

Decoupling Music
Production decoupling has been around for some time now. In this meeting, for the first time, I heard about decoupling the music used in advertising. Most clients cannot answer the question, “How much do you spend per year on the music in your advertising?” And while that’s a bit scary, it also represents an opportunity. According to the consultant who presented at this meeting, big clients can spend tens of millions of pounds (and dollars) per year on music in advertising. Having a consolidated global approach to music can lead to significant cost savings in addition to better quality and greater access to talent. While many companies decouple production, few decouple music. And that is likely to change.

Global Agency Remuneration Trends
The WFA debuted results of their new survey on global agency remuneration trends. Some key insights:

Other Takeaways

At this meeting I had the opportunity to present ANA’s recent work on in-house agencies.

The WFA Sourcing Forum next meets 24 April in Zurich, hosted by Johnson & Johnson.

Attend Super Bowl Gospel Celebration – January 31 in NYC

By Bill Duggan, Group EVP, ANA
Posted: Jan 24, 2014 10:00am ET

The Super Bowl Gospel Celebration (www.superbowlgospel.com) is an event sanctioned by the NFL and will take place Friday, January 31, 2014 at Madison Square Garden in New York. St. Jude Hospital (an ANA member) is the well-deserving beneficiary.

Now in its fifteenth year, the Super Bowl Gospel Celebration is an inspirational music event that traditionally features performances by Grammy Award-winning, multi-platinum selling gospel and contemporary Christian and mainstream artists, marquee NFL players, and the NFL Players Choir.

The event also serves as a fundraiser with a portion of the proceeds benefiting national and local charities. This year the primary charitable beneficiary will be St. Jude Children’s Research Hospital (www.stjude.org). St. Jude is internationally recognized for its pioneering research and treatment of children with cancer and other catastrophic diseases. Ranked one of the best pediatric cancer hospitals in the country, St. Jude is the first and only National Cancer Institute-designated Comprehensive Cancer Center devoted solely to children.

ANA happily feels some responsibility for connecting St. Jude and the Super Bowl Gospel Celebration as the introduction between the two was made at the 2012 ANA Multicultural Marketing & Diversity Conference.

Performers will include: Patti LaBelle, Tamela Mann, Natalie Grant, Mary Mary, Donnie McLurkin, and the NFL Players Choir.

Tix at www.superbowlgospel.com.

CES Highlights

By Bill Duggan, Group EVP, ANA
Posted: Jan 13, 2014 11:00am ET

I attended CES last week and it was their largest show in history. More than 3,200 exhibitors. Attendance of 150,000+, including an estimated 10,000 marketing and advertising execs. Some highlights and points of interest follow.

4K Television
All the major manufacturers displayed 4K televisions – 4K has four times the resolution of current HD TVs. 4K is in its early days as there are business economics and technical delivery issues that need to be solved and a big hurdle will be producing content in a cost effective way. Advertisers need to take notice as 4K could also change the way ads are produced.

Curved TVs and Phones
Curved TVs were popular, promising a “more immersive” and “more cinematic” viewing experience. LG and Samsung even have curved phones. Whether such products have real benefit or are hype remains to be seen.

Wearable Technology
Many of the products with wearable technology have a focus on health and fitness. Others merge fashion with consumer electronics. Some of the more interesting examples:

There were also smart watches, like Samsung’s Galaxy Gear, and wearable cameras.

Connected Homes & Connected Cars
Connected home technology is becoming more common in the household as consumers look for ways to better control and streamline their lives. There was the Cisco Connected Home, the Samsung Smart Home as well as many others. Importantly, the mobile phone has become the remote control for the connected home.

There were many automotive companies at CES with their connected cars that have smart phone technology integrated into them. At the Ford booth a speaker stated, “Technology will differentiate Ford from the competition.”

CES is all about the connected life and is an experience that every marketer should have.

The Connected Home at CES

By Bill Duggan, Group EVP, ANA
Posted: Jan 10, 2014 2:00pm ET

There was lots of buzz at CES about “the connected home” and I was fortunate to moderate a panel at the Scripps Pavilion on the topic. 

What do we mean by connected home? One definition is: individual, smart devices that are useful products on their own merits that can talk with one another for specific uses and are able to be connected with even when the consumer is away from the home.

Connected home technology is becoming more common in the household as consumers look for ways to better control and streamline their lives. Examples of such technology abound in home security and energy automation: smart deadbolt locks, smartphone-controlled LED bulbs, thermostat controls, and video monitoring services for the home.

According to research from Scripps and others, consumers are looking for various benefits in their connected home products: comfort, safety, efficiency, simplicity, and design quality.

Importantly, the mobile phone is the device that controls the connected home. The mobile phone has become the remote control for the connected home.

In walking the floor at CES the connected home was everywhere: LG’s Connected Home, Samsung’s Smart Home, and Cisco’s The Connected Life at Home. I left Las Vegas with a head full of ideas to upgrade and better “connect” my own home!

Being Ready to Be Ready

By Andrew Eitelbach, senior manager of marketing and communications
Posted: Jan 2, 2014 12:00pm ET

If you have ever used the subway in New York City you know it’s not a place for dilly-dalliers. People are in a rush, and if you’re slow or in the way, plenty of riders are happy to let you know. So the other day as I hurried down the steps to a 6 train, I was surprised to find the person next to me only beginning to search his pockets for his subway pass as we reached the turnstiles. As a short line of impatient commuters rapidly queued up behind him, I swiped my pass, boarded a waiting train, and grabbed a seat. The man reached the train just in time to watch it pull away without him. Sitting there, I couldn’t help but wonder, in such a fast-paced environment, why wasn’t he prepared in advance to go through the gates?

Whatever the reason, I was struck by how analogous the story is to today’s marketing environment. With the prevalence of mobile and its convergence with digital and social media and the advent of real-time marketing, our industry has never moved this rapidly. Hasbro’s Victor Lee addressed this very point last month at the 2013 ANA Real-Time Marketing Conference in New York. He, along with speakers from Anheuser-Busch InBevMINI, and others, emphasized how marketing is changing to focus on the right-now and what marketers can do to maintain relevancy in a constantly evolving world. (Meanwhile, conference goers tweeted about the presentations — in real time — using the hashtag #ANARealTime.) 

The key message: If you want to have the next "Oreo moment,” or do what DiGiorno was able to do on Twitter with NBC’s live performance of “The Sound of Music,” be sure your team is ready to be ready. As 2014 ramps up, marketers must be prepared for what they can see coming and be ready to act quickly when presented with chance opportunities, or, in such a fast-paced environment, they’ll miss their train. 

Highlights from Select 2013 ANA Conferences

By Marni Gordon, vice president of committees and conferences, ANA
Posted: Dec 20, 2013 12:00pm ET

The ANA has a large and diverse portfolio of national industry and members-only conferences. Our conferences are unique in the marketing industry, as we showcase the client-side perspective.

ANA’s eight national conferences in 2013 — including five premier multiday events — collectively attracted nearly 5,000 members and nonmembers.  In addition, we held 25 members-only conferences in 2013 in cities across the U.S., including Boston, New York, Atlanta, Detroit, Orlando, Louisville, Chicago, Minneapolis, St. Louis, and San Francisco.

If you didn’t have the time to attend all of our events, I hope you enjoy these highlights from select 2013 ANA Conferences:


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About This Blog

To complement our two leadership blogs and build dialogue on the seismic changes happening in marketing, we launched Marketing Maestros. Our in-house citizen journalists will talk about everything from marketing technology to accountability and everything in between. This blog is written for marketers by ANA's marketers whose insights are drawn from the voices of the client side marketing community.