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By MediaStreet Staff Writers

Instagram continues its surge in generating advertiser interest while Facebook remains the dominant social platform. This is according to a first quarter survey of advertising agencies conducted by Strata.

The survey also found a continued multi-quarter decline in YouTube’s lead over Instagram, bringing the two within one point of each other in advertiser interest. 54% of agencies report plans to use YouTube against 53% for Instagram. Facebook remains entrenched in first place as 95% of agencies are interested in the platform. Twitter, which historically held third place in agency interest until the second quarter of 2016, continues its slide with interest from 37% of agencies, finding itself just 10% above fifth-placed LinkedIn.

The interest in these social platforms is reflected in agency spending, as well. 93% percent of agencies are currently spending money on Facebook, with 53% planning to spend on YouTube, and 49% planning on Instagram. The current spend lagging behind agency interest could indicate increased spend in the coming quarters.

More than half of agencies now plan to spend more than 5% of their overall advertising budgets on social media, with 22% allocating between 11-25% of their budgets on social, compared to 18% in 4Q16. The increase in budget for paid social coincides with the proliferation of live streaming tools, such as Facebook Live and Snapchat Live as 42% of agencies report that clients were interested in these innovations for their campaigns.

“Though Facebook has remained the dominant player in the social media space, the gradual shifts in focus to other platforms has been interesting to watch. There’s always been a premium on live, so it’s not surprising that agencies have an interest in exploring Facebook Live, Snapchat’s Spectacles, and Instagram’s Stories,” said Judd Rubin, senior vice president at Strata.

When agencies were asked which form of media they prioritised the most, 24% reported that digital video was their primary focus. Although that leaves digital video in second, behind local TV and cable at 36%, the interest in digital video has seen a 351% increase over the past year.

The rise in interest in digital video may be surprising in light of the fact that agencies appear split on the effectiveness of digital video. Twenty-five percent feel that it can be as effective as traditional TV, but 33% feel it isn’t, and 42% are unsure. When asked more broadly about perceived ROI from digital video, over 50% felt fairly confident that they were getting good value for their money. Forty-one percent noted they were unsure, and only 9% of agencies felt they were not getting a strong ROI.

 

By Emily Tan.

If the advertising industry doesn’t find a way to measure performance accurately and consistently, Proctor & Gamble’s threat to pull spend from digital advertising will be just the tip of the iceberg, warns Kantar Media.

According to a new international study by Kantar Media examining consumer and industry attitudes to advertising, there is a lack of consistent, comparable measures to understand the audience and gauge the effectiveness of advertising.

This is a “significant concern” for those working in the industry, said the report. “Unless consistent metrics across traditional and digital channels are developed, industry growth will be put at risk.”

The report, Dimension, was based on interviews with 5,213 adults, with access to the internet, across the UK (1,035), the US (1,014), China (1,067), France (1,000) and Brazil (1,097)

The study claims to have found that brands are still unable to consistently measure the impact and effectiveness of advertising from channel to channel, and from market to market.

This risks alienating consumers are 71% of respondents said they saw the ads over and over again, finding them too repetitive. “Over-targeting on digital platforms threatens to undermine brand marketing efforts,” said the report.

 

Digital ad industry can't grow without proper measurement

According to a new international study by Kantar Media examining consumer and industry attitudes to advertising, there is a lack of consistent, comparable measures to understand the audience and gauge the effectiveness of advertising.

This is a “significant concern” for those working in the industry, said the report. “Unless consistent metrics across traditional and digital channels are developed, industry growth will be put at risk.”

The report, Dimension, was based on interviews with 5,213 adults, with access to the internet, across the UK (1,035), the US (1,014), China (1,067), France (1,000) and Brazil (1,097)

The study claims to have found that brands are still unable to consistently measure the impact and effectiveness of advertising from channel to channel, and from market to market.

This risks alienating consumers are 71% of respondents said they saw the ads over and over again, finding them too repetitive. “Over-targeting on digital platforms threatens to undermine brand marketing efforts,” said the report.

The US feels the most over-targeted, with 76% of consumers saying they see the same ads repeatedly, followed by the UK with 74%. That figure is only 58% in China.

Both the UK (49%) and the US (48%) also feel more strongly than China (33%) that they frequently see online ads that are not relevant to them.

It also found that consumers prefer advertising on TV and print than they do about online formats. In the UK, about a third of respondents actively dislike online ads, versus only 13% on newspapers. The US shows similar figures and while China is less strong in its dislike of online ads (averaging around 20%), only 9% dislike newspaper ads.

“It’s a collective challenge for our industry: unless we work together to solve this problem, the growth of the sector will be hindered,” Andy Brown, chief executive and chairman of Kantar Media said. “So long as standards differ between markets and across media forms no one wins. Brands can’t track spend, agencies can’t deliver the best solutions for their clients, and consumers’ openness to marketing will diminish if the channels used to reach them are not used intelligently.”

Despite the negative headlines though, 68% of respondents either like or tolerate advertising, while 73% of consumers think advertisers are doing a better job of reaching them now than in the past.

However, these high numbers are swayed by strong results from China where 87% of consumers feel current advertising is outperforming that of the past. In the UK and US that figure is only 59% respectively.

By Emily Tan.

Sourced from campaign

By Robert Elder.

Facebook and YouTube are unquestionably two of the world’s most popular digital platforms. And with such large audiences up for grabs, it’s no wonder that advertisers are pouring funds into both businesses: Facebook generated close to $27 billion in advertising revenue in 2016, and though Google doesn’t break out YouTube sales, it credits the video platform as a crucial driver of its advertising revenue, which topped $79 billion last year.

Unfortunately for brands, Facebook and YouTube serve up the most annoying ads, according to BI Intelligence’s 2017 Digital Trust survey. In a virtual tie, ads on Facebook and YouTube were deemed the most irksome by 45% and 43% of the survey’s 1,740 respondents, respectively. Twitter garnered just 6% of the vote, followed by Instagram and Snapchat at 3%, and LinkedIn at 1%.

bii most annoying ads facebook and youtubeBI Intelligence

It’s not surprising that these two platforms are reputed to have the most annoying ads. Of the platforms included in the survey, Facebook and YouTube are the top two destinations of digital time spent in the US, according to comScore. People may be more sensitive to ads on Facebook and YouTube simply because they spend more time, and therefore see more ads, on these sites. And because Facebook and YouTube are relatively mature social platforms, they likely serve ads with greater and more noticeable frequency.

Millennials and baby boomers are divided on which platform serves the worst ads. Their preferences are inversely related by age group: Older survey respondents like YouTube ads more than Facebook ads, and vice versa for younger respondents. The familiarity that older people have with traditional TV may explain their tolerance for YouTube ads, which consist of pre- and mid-roll ads that resemble ad interruptions in linear programming.

bii most annoying ads ad preferences are inversely related by ageBI Intelligence

These results point to a pressing need to improve advertising on both Facebook and YouTube. For its part, Facebook has said it’s curbing growth in its ad load — or the ratio of ads to organic posts. YouTube was similarly mindful when it scrapped its unskippable 30-second ad format in February. However, the onus to improve the ad experience shouldn’t be entirely on platforms. Brand advertisers also need to create quality ads that provide pleasurable viewing experiences. The reality is, the campaigns they’re running on the most popular platforms — in which they’re investing the most money, to reach the widest audiences — aren’t resonating.

BI Intelligence’s Digital Trust survey examines consumers’ perception of major social platforms. It rates Facebook, YouTube, Instagram, Twitter, Snapchat, and LinkedIn on security, community, user experience, and content authenticity and shareability to help brands and marketers make informed decisions about what platforms to spend their marketing and branding dollars on. The full report will be available through BI Intelligence in May.

By Robert Elder

Sourced from Business Insider UK

A new study published in the journal Communication Research shows that specific communication tactics used in advertorials are very persuasive. But why they are more effective than traditional advertisements?

The investigation, which looked specifically at health advertorials, showed that advertorials, or “native advertisements” are actually far more persuasive than even ad agencies thought they were.

Advertorials, or advertisements camouflaged as credible news, succeed in misleading people, in part, by damping down skepticism and expectations for truth in advertising. The study was undertaken at Dartmouth College-Stanford University.

The fact that advertorials are so successful has led to complaints, and then a crackdown. Over in the U.S., the Federal Trade Commission last December issued guidelines on native advertising intended to prevent customers from being deceived. The guidelines suggest using a clear label of “advertisement” and placing disclosures in front of or above the headline. So, while the Americans are having a meltdown, the rest of the world is wondering whether their own governments will meddle with advertising rules.

Advertorials are not new. Infomercials and other “blurring practices” between editorials and advertising first appeared as early as the late 1940s in television and print media, and the volume and revenue of blurring practices of advertising are increasing. But until now it was it not clear how advertorials create favourable marketing environments for advertisers, and how readers process advertorials.

The Dartmouth-Stanford study found that advertorials were less likely to trigger consumer awareness of persuasive intent, especially when the “advertisement” label was not present.

“Unlabelled advertorials, compared to labelled advertorials and regular advertisements, were less likely to trigger consumer awareness of persuasive intent, and increased favourable attitudes toward advertising messages and purchase intention,” says lead author Sunny Jung Kim. “Because of their design and structure, advertorials tend to sway readers into believing that they are viewing credible information in the form of an editorial or news source.”

Participants in their experiments exhibited more positive attitudes toward advertorials than they did toward traditional advertisements due to advertorials’ unique structure, which, in turn, increased their willingness to purchase advertised products.

“This form of advertising appears to be on the rise as advertisers try to embed their ads in the stories we read and the photos we see in almost every platform of social media,” said co-author Jeff Hancock, a professor of communication at Stanford University. “Understanding how these advertorials operate cognitively can improve guidelines for the prevention of misleading or confusing consumers.”

Kim adds: “Until now, there has been no empirical evidence that has tested the core elements of persuasion tactics in advertorials, namely their unique structure and labelling and its impact on information processing. These advertising tactics are pervasive across various forms of media, from newspapers and magazines to social media. Our findings have broad implications for health researchers, advertisers and consumers.”

For those of us that think that advertorial is a perfectly viable way for advertisers to reach their target markets? Rock on, while we can. At least we know it works.

By Stuart Heritage.

The baked bean maker has had to can its ad after the ASA said kids could be harmed by drumming on beans tins. Where was the watchdog when the Hofmeister bear was on a boozy rampage?

The Advertising Standards Authority has banned the new Heinz Beanz advert – in which a succession of people tap out an Ed Sheeran-ish tune on empty cans – on the basis that children might mimic the commercial and cut off their fingers on a jagged scrap of metal. However, it is by no means the only “dangerous” ad. Here are some well-known ads that would no longer make it past health and safety.

John Lewis, 2016

A dog bounces on a trampoline, as happy as can be. However, several animal welfare campaigners have condemned the ad, pointing out the range of injuries and stress that trampolines can cause animals.

Proposed change: Advert now ends with the dog splayed out on the trampoline, howling in pain, while the father gingerly attempts to remove him with a shovel.

Muller Püd Corner, 2015

Nicole Scherzinger becomes so lost in the reverie of her delicious yoghurt that she topples backwards off a chair, laughing adorably. However, the NHS last year treated 13,000 people who suffered chair-related injuries.

Proposed change: Advert now ends with Scherzinger semi-conscious and bleeding, while a man in a bowler hat screams to camera: “Chair safety is not a joke!”

Cadbury’s Dairy Milk, 2007

A lone gorilla sits behind a set of drums, preparing to play along to In the Air Tonight by Phil Collins. However, fast-forwarding to 2016, the shooting of Harambe in Cincinnati zoo highlights the dangers posed to humanity by gorillas.

Proposed change: One second before the gorilla’s big fill, he is riddled with bullets. New slogan reads: “Dairy Milk – We just saved you from being mauled to death by this atrocity of nature.”

Hofmeister, 1981

A bear in a hat has a lovely time drinking beer in a pub. However, alcohol consumption in animals can lead to vomiting, weakness, hypotension, coma, hypothermia and death.

Proposed change: Advert now ends with a doctor informing a female bear and two cubs that the Hofmeister bear isn’t going to make it, and everyone sinking to their knees in horrified despair.

Apple, 2007

Paul McCartney walks down the middle of a road, playing a mandolin and singing Dance Tonight, which made it to No 26 in the UK charts. However, on average, one pedestrian dies on British roads every day.

Proposed change: After a line and a half of the song, McCartney is hit by a distracted driver. As he dies in the road, the ghost of Steve Jobs appears before him and barks: “Heaven isn’t real!”

R White’s Lemonade, 1973

A man sneaks downstairs in the dark at night to get a glass of his favourite carbonated beverage. However, this week, Cancer Research UK underlined the dangers of consuming too many sugar-packed fizzy drinks.

Proposed change: Advert is altered to show a man sneaking downstairs at night to prepare a fresh kale salad for himself. When confronted by his wife, he yells: “It’s kale! I’m going to live for ever!” Then he turns to camera and shouts: “EAT CLEAN!”

By

Sourced from The Guardian

By Jose Vilches.

Messaging can be a very effective tool for generating leads and turning them into sales as more and more people choose this method to communicate with brands. Not one to miss on a trend, Google is rolling out a new click-to-message option in AdWords search ads.

The new feature works through an ad extension that advertisers can enable within their AdSense accounts and relies solely on SMS — as opposed to popular platforms like WhatsApp, Facebook Messenger or Google’s own Allo. Tapping on the texting option in an ad launches a user’s SMS app with a pre-written message tailored to the product or service they’re interested in. For example, if you’re a travel advertiser and someone messages you after searching for New York City hotels, they can send or edit your pre-written message text, “I’m interested in a reservation. Please text me back with more information.”

Google says 65% of consumers would consider using messaging to connect with a business to get information about a product or service.

Facebook is also ramping up its own Messenger client as a customer service platform and is known to be working on a similar click-to-message ad product. Meanwhile, WhatsApp, which is also owned by Facebook and has over a billion monthly active users, has confirmed it will begin to integrate businesses services into its app before the end of this year.

The new option gives advertisers a faster way to connect with consumers on mobile and increase conversion rates. It’s also good for who’d rather avoid being put on hold, listening to a list of menu options and waiting to get transferred to a human being.

By

Sourced from TECHSPOT