TV killed the Radio Star, But Will Anything Kill Upfronts?
On Thursday, April 25th, I attended the second of
three ARF Salon Series events. This fireside chat-style discussion series
brings top industry professionals together to talk about topics that are
impacting the adverting and media industries.
This particular session entitled “TV killed the Radio Star,
But Will Anything Kill Upfronts?” discussed the impact of “New Media” on the
traditional way that TV networks attract dollars. With the media landscape
becoming more fragmented, advertisers have more options as to where they spend
their annual media budgets. The lines between TV and digital are less defined
with OTT and streaming services becoming the main vehicle for consumption amongst
the millennial and genZ population.
The discussion opened with a dialogue about the importance of
TV and its impact on the media landscape over the years. TV replaced radio as the
main vehicle for consumption and information delivery. Adding pictures to sound
made it possible for advertisers to showcase their product and this made it a
clear decision maker when switching the spend from radio to TV.
But in today's age, OTT and TV are still vying for the same
advertising dollars because the medium hasn’t changed, just the media. The
panelists for this discussion included top executives from leading companies, like
Hulu, NBCUniversal, Omnicom, Y&R and Warner Media.
The panel highlighted that we live in the height of video
consumption. Both OTT and TV consumption has increased over the last 3 years
and industry professionals are trying to understand how the media vehicles should
WORK together to best impact the consumers and drive revenue for brands.
The need to understand the behavior of the audience is
greater than ever before. In the past advertisers would run the same assets
across OTT that they do on TV. Research has shown that the same content cannot
be displayed across different media vehicles.
“There isn’t just one way to spread the money, and that’s
the most fun part of the game.” - Jennifer Kohl, SVP Executive Director,
Integrated Media, Young & Rubicam
Advertisers need to understand that all of the video
consumption mediums need to work together to reach the audience efficiently and
effectively. Technology and data have made it easier to understand the habits
and trends of the audience so that OTT and traditional TV providers can position themselves at the
right point within the consumer purchase journey. Upfronts and Newfronts make
it possible for media platforms and providers to position themselves as thought
leaders in the media consumption field. Because advertisers are looking for the
right cocktail within their media plans, I believe there is still a role for
these annual events!
