Television has dominated advertising for ages now. Mainstream advertising teams have ruled the budgets more than Print, Radio, PR, Digital and Social. TV ad spends, still forms the biggest part of brands advertising budget in India. TV still enjoys the maximum viewership, in any form of media. But is the Golden Era of television advertising, is finally over ?
Jio has changed the game in India. Monthly active internet users have increased by 24%, in 2020 , reaching 50% of population. 200 million households have TV, as compared to 574 million internet users in India. With 25% Year on year growth rate, Soon everyone will move to smart tv. Which means TV will run with Internet and not with set top boxes.
O T T platforms like Netflix & Amazon Prime has taken over traditional TV channels and their content. TV channels like zee, sony, colors, Star have come up with their own O T T platforms like ZEE5, Sony Live , VOOT and Hotstar. Consumer can now watch their favorite content on multiple devices instead of single TV system in households. They can watch on TV, Mobile and computer. Allowing each family member to watch content of their own choice. Flexibility of timing, as you now you can watch your favorite content anytime instead of fixed scheduled telecast.
Services like JioTV gives customer option to watch content from different O T T platforms with their wifi services. Instead of spending separately for internet services and setup boxes you can pay for one and enjoy both. Airtel also planning to move in the same direction means Each TV will now be a smart tv and content will be played through internet.
As a result this will change the entire tv advertising system and instead of buying tv ads brand will be buying digital ads. Think of the possibilities of creative advertising, ad engagement possibilities on a smart device than a regular tv ad. Think about the possibilities of customization that brands will be able to do in their smart tv ads as compared to traditional tv ads.
With increase of OTT consumption where there are no ads and OTT becoming a new normal for TV brands will be forced to do more content driven advertising instead of traditional form of tv advertising. More products will find their ways into shows.
Marketing Data analytics will become even more important as internet driven data will open up greater opportunities to track TV ad performance as compared to current tracking of TV ad performance just like we get for our digital and social media ads.
ROIs for TV ads will now be more trackable. In US digital spends have already overtaken TV ads and India will follow the same sooner than you anticipate. The end of TV advertising is coming soon. Its going to the ashes and will reborn like a Phoenix