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The commercialisation of football has lead to the Ukraine v England match being shown on the internet rather than on TV as would normally be the case. All football associations are able to sell the rights of their home games to the highest bidder (in this instance it may have been the only bidder) and as the purchaser is looking to make a return they will broadcast it in a manner which they believe will maximise it for them.
The business model of Setanta was obviously flawed as they went into administration and this was partly because they used a high cost route to market, the internet on the other hand is low cost and as a result it is only going to be a short period of time before even more matches are broadcast this way, no doubt with advertising being embedded in the pop out window that viewers are watching – probably rotating much like that around the pitch perimeter.
Sky have already started to address this option with their Sky Player which allows subscribers to watch programmes including live football on their PC and this will in effect increase their advertising opportunities so you can expect to see an increase in the advertising associated with high profile matches and also more subliminal real time advertising rather than just in commercial breaks.
The red button on your TV currently acts as a virtual stream allowing viewers to watch different games on the same channel and also request replays and different camera angles, again these can be easily sponsored and no doubt this will happen over time, if not on Sky certainly on other non subscription channels.
So don’t despair the TV will soon be just the same as our computer, revenues will ensure games are streamed at the correct resolution to show on a 50″ plasma, choice of replays and delayed broadcasting allowing you to make the tea or order pints at the bar will ensure users buy into the technology and the footballers will increase their salaries, the value of the big clubs will rise, and we will all keep paying more and more. Or will we?
Written on Wednesday, September 30th, 2009 by David and stored in advertising, digital/online
A recent report has indicated that spending on online advertising has overtaken that of television advertising for the first time.
Online spend grew by 4.6% in the first half of 2009 reaching £1.752 billion whilst in the same period TV spend shrank by 16.1% to £1.639bn.
Advertising generally has fallen by 16% during the period according to a study by Internet Advertising Bureau and PricewaterhouseCoopers.
Whilst there is still much debate about this and challenges to the figures and the way comparisons have been drawn there is no doubt that online advertising is growing and that as a result the way brands advertise in the future will change as well. Influencing customer behaviour is now key in ensuring that market penetration and market share are increased and the online revolution needs to be an integral part of all strategies. See my earlier blog on technology and marketing.
To read more on the research and hear opinions from others within the advertising industry go to the article on the BBC web site which has more in depth coverage.
Many of you will recognise the Cadbury gorilla shown above and lots of you will have seen it on the Television where it first appeared but since then it has appeared on You Tube and whilst not necessarily intended by Cadbury’s and their agency it has been viewed and talked about more because of it’s online presence rather than it’s showing on television. On the internet it is available on demand which is the shift that brands will need to understand if they are to derive the most benefit possible from their advertising going forward. We have lived in a world where advertisers have been pushing offers at us but going forward in this digital age consumers will be able to be more selective and the strongest and most effect advertisements will be those that engage with us to the extent that we are looking to view them. Online advertising may have exceeded television advertising for the first time but much of this has is still based on the principle of putting offers in front of readers, the real power however is to harness the pull factor.
Written on Tuesday, September 1st, 2009 by David and stored in advertising
TV executives have seen 2009 rapidly become the worst year in recent memory. They are now trying to redefine their output not as television but as video but this does not hide the fact that they face what newspaper executives witnessed a decade ago, a big cash cow businesses in inexorable decline.
As advertising spend declines, the threatened incumbents at the top of broadcast TV must redefine their businesses if they are to find growth and even stability once again. An article today in the Financial Times adds further on this subject and is worth reading.
Many organisations are now using the internet as a way of advertising and as TV becomes less of a scheduled and more of an on demand media we will see further reductions in the normal spend on advertising through this channel as consumers will be more able to skip advertising and in fact the advertising break will eventually disappear except during live events.
The use of brand positioning and program sponsorship will become increasingly important along with the development of online advertising either through YouTube, Google or social networks. Times are changing and you need to make sure that your business changes with them as well.
Today’s buzz is that YouTube has decided to increase the amount of advertising revenue they are willing to share with those who put up videos that are heavily frequented. The site already shares advertising revenue with members of their partnership program and many have earned thousands of dollars as a result. (more…)
Written on Sunday, August 16th, 2009 by Marcus and stored in advertising
I was told a great story/analogy last night by a friend who works as an sound engineer at a radio station in Bristol. It came about following a disagreement on wit within press advertising which then migrated into humour in radio ads and whether the message gets lost at the expense of humour (or attempted humour)… (more…)
Written on Thursday, August 13th, 2009 by Steve and stored in advertising
There was a time when advertising (the off line variety) was a ‘must do’ activity for most marketers and their budgets. There were various reasons for this – Business chiefs insisted on it because it was the done thing and high profile, it gained visibility for some brands (more…)
Written on Thursday, August 13th, 2009 by Steve and stored in Steve
I read an article in Marketing Week recently
Advertising perceived as low on ROI
According to the latest Marketing Trends survey amongst 1,223 marketers, by The Chartered Institute of Marketing (CIM), advertising, excluding online, produces the worst return on investment for marketers. (more…)
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