Monthly Archives: December 2015

December 8, 2015 · 11:22 am

Another Nail

Those of us who were fortunate to work in TV used to have a pretty good business, way back when.  You’d find a peach basket, open the window, and watch the basket fill up with money.  OK, it was a little harder than that, but TV has always been a business that grows exponentially in good times and shrinks only a little in bad times.  Growth was as reliable as the US Dollar.  So when I read the piece I’m about to show you, a quote from “The In-Laws” (one of my all-time favorite movies) jumps to mind: 

What do you think will happen when they run off this dough… and there’s trillions of extra dollars, francs, and marks floating around? You’ve got a collapse of confidence in the currency. People are gonna panic. There’s gonna be gold riots, atonal music… political chaos, mass suicide. Right? It’s Germany before Hitler. You can see that. Jesus, I don’t know what people are gonna do… when a six-pack of Budweisers costs $1,200. That’ll be awful.

In other words, when the basic currency of a business has changed substantially, chaos ensues.  It’s my belief that we’ve reached that point in media, as this report states:

For the first time outside of a recession, linear TV ad spend has stopped growing, according to global ad revenue updates by MAGNA Global and ZenithOptimedia, both released Monday. While national TV ad sales grew .3% to $42 billion in 2015, MAGNA predicted it will decrease by .3% in 2016. ZenithOptimedia’s Advertising Expenditures Forecast also found TV’s share of global ad spend will decrease from 38% in 2015 to 34.8% in 2018.

The basic currency – the TV CPM which is tied to the TV rating point – has lost its stability.  There are trillions (OK, billions, anyway) of extra GRPs available.  Pricing pressure has always been downward, but now there are options available that seem to be making that stick. I think we’re in a brief period where live events will hold pricing stable, but when only about a quarter of viewers are watching TV “live”, how long can that last?

This was the most ominous sentence in the piece: A shift in viewer attention and changing advertiser investments may therefore contribute to a decrease in both supply and demand for linear TV impressions.  The shift has happened.  The pretty good business is rethinking itself.  There will be political money and Olympics revenue in 2016 to serve as a band-aid as it does so.  But by 2017, the times could be, in the words of the Chinese curse, interesting.

Thoughts?

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December 4, 2015 · 11:29 am

Warning Labels

Another Friday, some more Foodie Friday Fun! This week our topic comes from right here in NYC, where the Board Of Health has stirred up the restaurants again. What they did was to pass a new rule requiring major restaurant chains to label foods that are particularly high in sodium. The National Restaurant Association is suing them in response, claiming that the Board “overstepped its authority with an arbitrary and capricious mandate” in a statement to Eater.

Warning label on a cigarette box, which booste...

 (Photo credit: Wikipedia)

This got me to thinking about warning labels. Obviously, this example is only one of many products that contain warnings – cigarettes being the most obvious. There are the less obvious warning labels – “past investment results are not an indicator of future returns.” for example.

There are also a number of products which, in my opinion, should also contain warning labels – things high in sugar, for example. But there is a broader point that I’d like us to think about.

Food products list ingredients – they have to. They also list what percentage of one’s daily intake of sugar, carbs, fat, salt – whatever – the product supplies. But there is no context. Nothing says if you consistently exceed the recommended sugar intake you are at risk for diabetes, and obviously there is an epidemic of it in this country. Is the ingredient list a warning label?

Less obvious are products the don’t warrant warnings on the surface but probably ought to have one. “This product is badly made and will fall apart after 5 uses.” “This fabric will shrink 3 sizes after the first wash.” Or how about “this garment was made using slave labor in unsafe working conditions” for an eye opener?

I guess the point I’m trying to make is that maybe we should ask ourselves if our product ought to have a warning label even if it’s the less obvious kind.  If it probably should, are we not doing the customer a disservice by foregoing its use?  I’m not talking about legal liability; I’m talking about doing what’s right.  Moreover, shouldn’t we be thinking about changing the product in such a way to make it “safer” as best we can so the label isn’t required?

Food for thought!

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December 3, 2015 · 12:55 pm

Hurry Up!

I know you all want to hear another rant on ad blocking about as much as you’d like to hear an endless loop of Tiny Tim singing Tiptoe Thru The Tulips.  I’ll keep it brief, therefore.  A company called Soasta did some research with the Harris folks about what website users were looking for as they surf around.  Not surprisingly, they found the following (as reported by eMarketer):Most Important Attributes of Website Performance According to US Internet Users, Sep 2015 (% of respondents)

When it comes to website performance, internet users say personalized content is less important than a website’s ease of navigation and speed, according to a September 2015 survey. More than three-quarters of US internet users said that a leading attribute of website performance was that it was easy to navigate. Another top attribute was speed; 73% of respondents indicated so.

Here is a truism (at least one I’ve found) about digital interactions: people hate impediments.  It doesn’t matter if it’s a landing page from an ad that doesn’t go directly to the reason someone clicked on the ad or if it’s just a plain old web page.  People are pressed for time.  Any impediment we put in their way has a high likelihood of derailing the interaction.  Web pages that are slow to load because of external calls get closed.  For you non-technical people, that means when the page calls out for an ad (especially if it needs to fill the ad via a programmatic auction), or some behavioral tracker, or anything else like analytics.  Popups are an impediment as well – it’s something in between the user and what they are trying to do. The research bears this out.  Personalization, on the other hand, can help speed up the interaction since it’s based on the user’s likes and preferences.

Ad blockers generally speed up page loads.  That is one of the main reasons people use them besides avoiding tracking.  If we help people hurry up, maybe they will, in return, be more responsive to the marketing information we present instead of doing all they can to avoid it.

Make sense?  What are your thoughts?

 

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