Adam Cozier, the CEO at ITV has just announced a 3% drop in annual advertising revenue. The now trembling fingers down at ITV are desperately pointing towards the rocky events that last year brought, whilst spouting that advertiser interest in TV is still toptop – we beg to differ. Whatever the reason for the “temporary” drop (we’re not buying one bit of that), TV is now frantically trying to reassure its advertisers that it is still worth investing in. And this is especially true for the guys down at ITV as this particular cock up marks the first drop in their full year advertising revenues since 2009, ouch! After claiming that TV remains cost-effective it seems as though Cozier is fully embracing the post-truth time we find ourselves in. I’m sure you don’t need reminding, but TV is not cost-effective – we can only presume Cozier cherry picked this data straight out of his arse.
ITV aren’t likely to be the only ones suffering from declining revenue figures as the glorious, ever-growing digital world continues to expand and rake in the advertising revenue. And as the rightfully smug digital marketers grow more and more powerful, interest in television advertising is beginning to visibly shrink. This all boils down to the major shift in where people are consuming their media. Think of YouTube, going from a site purely for users to share their home videos to a multi billion pound video sharing platform in just 12 years. And as we know, advertisers go where the people go, making YouTube’s recent titanic milepost of 1 billion of hours of videos watched daily an absolute haven for them. And if you want to hear something even better, YouTube have just invaded the cable landscape with YouTube TV, meaning digital really is becoming King and the peasants who occupy TV will be kneeling before them very, very soon!
Although it’s not all happy days over at the digital camp who have come under heavy fire in the past year. The rise in popularity of ad blockers are a heavy weight on the industry and ‘opt outs’ from ads are becoming more common. Even YouTube is experimenting with a paid, ad free subscription service called YouTube Red. The view is that people don’t want to look at content that isn’t relevant to them, as we’ve all witnessed countless times when taking our daily YouTube fix. Then you have views on Facebook being counted after just 3 seconds which is clearly an inaccurate measure of interest. So, to sum up, powerful Tyson style blows are reigning down on the advertising world left right and centre at the moment. And Cozier and Co. seem to getting the brunt of it.
Fortunately for us, we come off as the good guys here. The advertising saviours of the digital world, if we don’t say so ourselves (although that may be going a bit far). Instead of mindlessly buying our audiences with huge media spend, we produce content that people actually want to watch and that generates organic engagement as a result. We might be tooting a tiny trumpet here but Drum didn’t label us one of their top agencies of 2016 for sitting round drinking tea all day. We reach our audiences through our mission of creating thought-provoking work that people will watch and share and that will linger with them for days, weeks, months, hell even years after! Work that changes the world for the better and that people want to spread, not ad block. So whilst most digital advertisers wake up cursing the YouTube Reds of the world and go to bed screaming at the ad blockers, we sit there and have a good ol’ laugh.