Advanced Television

Research: TV helps legitimise younger brands

November 20, 2020

Effectv, the advertising sales division of Comcast Cable, in partnership with industry body VAB, has released a new report, The Halo Effect: TV as a Growth Engine, which analyses TV’s influence on businesses’ ability to drive financial outcomes and growth by life stage. The analysis found that both direct-to-consumer (DTC) and non-DTC brands across all life stages see measurable results from TV advertising across the board.

For DTC brands, the study analysed 140 brands in over 25 industry verticals, categorising them based on how soon the brand introduced TV advertising after launch. The study found that brands who advertised on TV saw immediate results, regardless of life stage. In fact, the average brand within each life stage saw an immediate double-digit increase in unique visitors to their digital platforms during their TV launch month compared to the three-month average prior to campaign.

For non-DTC brands, the paper analysed 50 companies over 15 industry categories divided among two life stage segmentations (older or younger than 20 years). Similar to the direct-to-consumer segment, the average non-DTC brand within each life stage saw an immediate double-digit increase in unique visitors to their digital platforms during their TV launch month.

“This study establishes that TV is a critical growth engine for brands at any life stage,” asserted James Rothwell, Vice President, Global Agency, Brand & Industry Relations, Comcast Advertising. “This is especially important today, as economic uncertainty makes it even more important that brands build a media mix that will reach new audiences and drive measurable growth. And for newer brands, who are still establishing their story and identity in market, TV presents an opportunity to ‘legitimise’ their products, bringing credibility and scale in ways no other advertising medium can.”

In addition to the VAB analysis of hundreds of brands, the paper also features case studies from Effectv and Forecast Labs, part of Comcast Ventures. These case studies delve into how different types of companies have approached TV and the associated outcomes.

A key takeaway from the report is that sustained presence on TV is key. Again, this is truer for young brands, which saw the greatest lift from a sustained TV presence: the analysis found that average unique website visitors for the young brands during months with TV advertising were 50 per cent higher than their pre-launch website visitor norms. This equates to millions of potential new online customers each month they were on TV. In comparison, brands at an older life stage saw a 21 per cent increase in website visitors, illustrating that TV still drives significant uplift for mature brands but they can also rely on a greater level of awareness due to time in market.

“Over the last few years, savvy data-driven marketers have accelerated the advertising journey by introducing TV earlier in their brand life cycle,” noted Jason Wiese, SVP, Director of Strategic Insights, VAB. “These younger brands spend aggressively and advertise more consistently than their competitors resulting in higher engagement and better digital outcomes. Our findings confirm the most effective way for brands to challenge incumbents and establish themselves within a category is through TV advertising.”


Categories: Advertising, Articles, Broadcast, Consumer Behaviour, Markets, Research

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