How new KPIs are turning the industry upside down
How we consume TV continues to fragment while the notion of TV has become more about the type and quality of content, rather than the stationary flat screen mounted in the living room. Think back to the last time you watched an entire television series, week after week, at its regularly scheduled time. It’s likely been awhile. The proliferation of new TV formats and mobile viewing have created an exciting new world of engagement opportunities for advertisers, as well as more sophisticated measurement solutions to calculate ROI.
Brands need to reconsider the metrics they use now to ensure they are understanding the effectiveness of digital TV advertising and it’s driving consumer action. Take, for example, the traditional metric for measuring how effectively a TV ad is delivering a brand’s message, gross ratings point (GRP). While the GRP certainly has a place in TV measurement, it does not address all the demands of this new media ecosystem. For one thing, it’s only modeled to measure ad exposure, not consumers’ behavior in response to an ad. GRP also does not take advantage of new, more sophisticated measurement techniques to understand how effective an ad was at driving people to a website or – even more important for brands with a retail presence – a store. […]