Take a minute to think about exactly how many balls you need to juggle every day, knowing the success of your business means dropping even one may have negative results. But you can’t survive just maintaining, you need to grow. Does the thought of adding a few more balls to juggle sound like a solid foundation for the future success?
It is estimated that the average person now sees between 6,000 and 10,000 ads every day and it’s only going to increase. Projections show a potential increase of $184 billion dollars in global ad spends over the next four years, a 32% increase over 2020!
How is it possible to reach your consumers against these daunting odds? It only takes a few steps, not simple steps, but a few… careful deliberation, detailed planning, utilizing the best options, negotiating the best deal possible, executing flawless contracts, circulating creative, and verifying you received what you’re paying for.
Consider the options:
- The largest age group for TV consumption is 65+
- Since 2013 an astonishing 20 MM US households have dropped their paid TV services.
- By 2023 it is estimated that an additional 10MM US household will terminate their paid TV subscriptions.
- In addition to cord cutters, “Cord Nevers”, millennials that simply cannot afford to subscribe to paid TV services as they enter the workforce, will only add to those traditional TV cannot reach.
- Radio still reaches 98% of all US adults 18+ but there are more than 15,000 radio stations in the US.
- OOH (Out of Home, a/k/a Outdoor) advertising remains a viable option under the right circumstances.
- Social and digital media stats:
- “Google and Facebook still hold the largest share of total U.S. digital ad spending, with 37.2% and 19.6% respectively.”
- “70-80% of users ignore sponsored search results.”
- “While 80% of businesses that have an online presence believe they deliver great customer service via their social media channels, only 8% of their customers agree.”
- “In 2019, more than two-thirds of the total U.S. digital advertising budget was dedicated to mobile devices.”
The list above is a condensed overview of the choices available to reach your consumers, but this is only one of the factors.
- How many mediums will it take to garner the results expected and needed.
- How will you determine what the best “mix” will be?
- How much will it cost?
- How long will it take to wrap?
- Is this the most productive use of your time and money?
- You constantly strive to negotiate the best possible deals for your business…
- Media negotiations are more likely not quite the same as your daily negotiations. Can you allocate the time needed to an already overloaded schedule? If you can, add a little more to make sure the contract reads EXACTLY as you have already agreed to. Don’t be too surprised if it doesn’t and needs a revision or two.
- Next comes creative, not just the message and production but every nuance involved for each form of media and every media outlet chosen.
- Now you can stop and catch your breath briefly, after all the thought, planning, verifying availability, negotiations, and contracts, you’re still not finished. You get to add all this to your receivables, payables and most importantly……. Verifying that you received what you paid for.
Perhaps you would be better served to let us do the lifting with your media placement. Think of A3 Media as a tugboat that helps get your ship where you need to go. It doesn’t matter if you’re piloting a fishing boat, a luxury cruise ship or the world’s largest most advanced cargo ship ever produced – you chart the course and stay in control, we help fight the currents so you can stay on course to the next destination.Reading Time: 3 minutes
We at A3 Media never stop looking for better ways to place and monitor media for our clients. We make it part of our daily routine because when you find a truly innovative partner with real accountability, the benefits for our clients can be the difference between failure and success, theirs and ours. And, while we haven’t heard them all we’ve heard hundreds of pitches claiming they have, “the most advanced system on the market for your needs.” In reality, newer and more advanced isn’t always better.
United States advertisers are projected to spend more than 289 billion dollars in 2022. Roughly 54% of those ad dollars will be allocated to digital advertising. More than 11 billion of all the digital dollars is projected to be wasted due to the widespread fraud in the digital space. This is out-and-out fraud, money spent that will never actually reach a single human. But it doesn’t stop there.
Digital media has always had its own standards. A “try to keep up with tech, as you go model,” in my opinion. There are many facets to placing a successful digital buy: the budget, the creative styles available, the creative quality, available inventory, and the list goes on. One facet – acceptable viewability standards – is the most baffling to me.
Nearly seven years ago, the Interactive Advertising Bureau (IAB) and Media Rating Council (MRC) created a standard definition of ad viewability – at least 50% of an ad must be in view for a minimum of one second for display ads and two seconds for video ads.
Compounding the IAB/MRC guidelines is the acceptable industry standard of 70% viewability! Seven of every 10 ads placed need to be at least 50% in view for ONE second, or TWO seconds for digital video. How much of an ad’s message can be gleamed by reading 50% of a digital ad in one second or watching 50% of a digital video for two seconds? Is producing an entire video that can deliver the brand’s message in two seconds possible? Does the agency ever explain this to their clients?
Does 70% viewability mean that a campaign can’t be successful? No! Does 100% viewability guarantee a campaign’s success? No, but it certainly increases your odds by 30%! However, what possible chance of success can be derived from the 30% of your digital ad dollars never being seen? That’s really easy – NONE! Yet publishers and agencies alike always boast about measuring their success against the industry standard. We often hear from vendors that they will “try” to optimize to 70% viewability. Our response is a resounding, “thanks but no thanks.”
If this is the model used for your media buying, the only potential loser is you – the client. Your agency is billing on a CPM (cost per thousand) impressions ordered, viewable or not. The DSP (demand side platform) your agency uses to place your buys charges on a CPM model – they get paid for every impression. The publishers and suppliers, SSP (supply side platforms) get paid for every impression they sell, viewable or not.
You can stay the course and hope your message reaches your potential consumers or, if this doesn’t sound like the most efficient use of your advertising dollars consider a few options:
- Add 30% to your media budget to compensate for the nonviewable impressions and hope the additional spend gets the results you need.
- Lower your bid rate by 30% so that you can increase your number of impressions. Although, this greatly reduces your chances of running and finding quality placements.
- Ask your agency to look in to vCPM rates. Yes, the digital supply chain has gone so far as to offer a vCPM rate (viewable cost per thousand). The question that comes to mind first is where is the nvCPM rate, non-viewable cost per thousand?
Perhaps it may make more sense to work with an agency that refuses to jump on the bandwagon and work with superior providers. Choices do exist, non-skippable audio and video and above the fold (ATF), static digital ads, verified in demo, and geotargeted placements offer you a much higher chance of success than the current standards.
If your agency and publishers aren’t willing to guarantee nearly 100% vCPM, then ask them if it’s alright for you to deduct 30% of their costs and commissions. After all, fair is fair!