What: Raconteur reviews the evolution of advertising on TV and ponders if it is still an valid option for brands.

Why it is important: Department stores use TV as a part of their marketing mix. But are they using it in the right way?

The advertising landscape in broadcast television is undergoing a significant shift. High costs for prime time slots on major networks are leading marketers to question the return on investment, especially with the rise of streaming services and declining traditional TV viewership in the UK.

Pendragon, and automotive retailer, emphasizes the continued relevance of TV advertising as part of a diverse marketing mix. The CMO argues for a strategic use of TV ads, necessitating a clear understanding of sales baselines and the synergies of adding targeted TV to the mix. She highlights the undeniable impact of targeted TV advertising, especially during live events, and suggests using a combination of Video on Demand (VOD) and live streaming for more strategic and affordable targeting. She notes that an omnichannel approach, leveraging dual-screen behavior of consumers, can enhance the effectiveness of TV campaigns, as demonstrated by CarStore's campaign leading to a significant uplift in online enquiries.

Magnite, and ad platfom, points to the evolving TV viewing habits, with a shift towards streaming TV and free ad-supported TV (FASTs). The CMO argues that the digital nature of streaming TV offers more relevant, efficient, and personalized advertising opportunities. The flexibility and control provided by programmatic execution in streaming campaigns are seen as advantageous, suggesting that while TV advertising is not endangered, it is certainly evolving beyond traditional formats.

Both perspectives highlight the need for advertisers to adapt their strategies to align with changing consumer behaviors and the opportunities presented by streaming and digital platforms, while still recognizing the value of traditional TV advertising when used creatively and strategically.

Is TV advertising still worth the cost?