When consulting company Accenture dug into $12 billion of marketing spend over a 3 year period for client ABC Disney, it uncovered valuable lessons for all advertisers. ABC was spending a fortune on ads and looking for a way to get more for its money. After crunching several ledgers full of numbers, Accenture learned that multiplatform TV was the secret ingredient for results. “Multiplatform TV” is the combination of traditional linear TV and premium long-form online video, while “digital” is the combination of search, display, and short-form video. Basically, multiplatform TV does for advertising what MSG does to flavor.
“There was this concept that we looked at which was how the media channels worked together. We called in the halo effect. One thing we found was that digital is largely saturated,” explained Craig Macdonald, managing director of the communications and media vertical for Accenture, in an interview with Beet.tv. “There’s lots more inventory that advertisers can go buy when it comes to buying other digital ads, but their ability to actually drive more sales is largely gated right now. We found within the study that the only way that an advertiser right now can really get more yield out of Google, out of Facebook, out of some of these big platforms is by combining investments in those channels with investment in multiplatform TV. Multiplatform TV popped out of this study as being by far the most powerful way to create a lot more top-of-the-funnel demand that would ultimately then trickle down and make digital media more effective.”
The secret is out: Multiplatform TV drives results when used in combination with other forms of advertising. Sure, it works, a buyer might protest, but it’s also far more expensive. Accenture looked into that, too.
“There’s an impression in the market that multiplatform TV is more expensive—and it is if you look at its cost for a GRP, for 1,000 impressions, versus digital it’s more expensive—but then when we compared that to its ability to drive sales, it looks relatively cheap to the tune of almost 35, 40 percent,” Macdonald said. “Its average price for 1,000 impressions is almost twice on a per unit basis, but it’s delivering almost 3 times the sales efficacy.”
For more data, read Accenture’s full results in “Cross-Channel Advertising Attribution: New Insights into Multiplatform TV.” The full report is online for free and doesn’t require registration. Also, scroll down to the see the full Beet.tv interview with Macdonald (used with permission).