Why television has an edge over digital advertising platforms during festive season

Mains Paper: 3 | Science and Technology 
Prelims level: Digital advertising platforms
Mains level: While there is growth in the digital medium, the power of TV is in the high level of granularity of viewership data.

Introduction 

• Homes are gearing up for the festive season and so are brands, which are optimistic about their sales uplift. 
• It have been witnessing an advertising blitzkrieg by brands across all platforms TV, digital, print, radio and out-of-home or OOH advertising. 
• However, television, with a daily tune-in of 613 million individuals, offers the biggest platform to advertisers to get maximum reach. 
• And, if you ask me, while the key to better sales is in promotion, it needs to be on the right platform, and one which can be accurately measured. 
• It comes as no surprise that 42% of annual ad-spend in India ends up on TV.

Analysing the fact 

• Holidays and special programming during festivals, such as Dussehra and Diwali, lead to increased viewership on TV.
• It making it the right time for these advertisers to catch the attention of their target audience. 
• Some recent reports on brand push during festive season got me digging into our three years of advertising data during the festive period.
• Data shows that Dussehra and Diwali weeks see 17% more ads on TV, compared to the weekly average through the year. 
• Not just this, categories, such as TV sets, camera and non-stick cookware, air 60%, 87% and 53%, respectively, of their total ad spots during this season. 
• Other categories such as housing loans, paints and real estate, too, concentrate on this season for better brand push. 
• The appetite for TV in India continues to be on the rise and this has led to new channel launches over the years.
• What this has done is provided advertisers with an opportunity to be available on channels which cater to specific preferences of the audience, thus increasing their opportunity to see.

Why these are happen? 

• Many in the industry have been talking about growth of digital and attractiveness of the medium for advertising. 
• The growth in the medium is that the power of TV in the high level of granularity of viewership data. 
• Advertisers can get to know exactly how many people their campaigns reached, as well as demography, geography and socio-economic profile of the audience they reached. 
• This is gold-dust for planners and marketers.
• Its effective and granular measurement, helps brands plan well towards gaining a better ROI on their ad-spends.
• So what are the categories that up their presence on TV during this festive season? For the past two years, it has been cell phones, two-wheelers, online shopping sites and chocolates.

Data shows the rise of advertisement 

• In 2015, during Dussehra and Diwali, online shopping players upped their advertising by 49%, in 2016 it grew by 86%, and, in 2018.
• The growth of 40%. Two-wheeler advertising, meanwhile, increased by 113% in 2015 and 107% in 2016. 
• In 2017, cell phones upped advertising by 107%, while retail jewellers too hopped on to the TV bandwagon, increasing their advertising by 83% during festive season. 
• Viewers in North and South India behave differently during festivals such as Dussehra and Diwali.
• This reflects in advertising on channels catering to these markets. In the north, for instance, many homes buy a new vehicle. 
• So, we see a rise in advertising of two-wheelers on Hindi language channels. The category pumped in 138% and 229% more advertising on TV in 2015 and 2016, respectively. 
• On channels catering to the five southern states, retail jewellery and ready-made garment sectors see double-digit growth in advertising.
• In 2015, ad spots on TV, in the period post-Diwali, dropped by 13%. In 2016 and 2017 it dropped by 22% and 7% respectively.

Way forward 

• Over the years though, we are seeing that many brands, especially e-commerce and cell phone players, among others, have been effectively using granular insights provided by TV viewership data, and are coming up with focused advertising throughout the year and not just during festive season.
• Looking at the data that tells the economy has moved ahead from the policy impacts of last year. 
• Confidence in the economy and consumer seems to be on a high and advertising on TV looks set to scale another high. 

Online Coaching for UPSC PRE Exam

General Studies Pre. Cum Mains Study Materials

UPSC Prelims Questions: 

Q.1) With reference to the mission eKranti, consider the following statements:
1. It has been envisaged by Department of Telecommunications.
2. It aims to delivering Government services electronically to the citizens through integrated and interoperable systems.
3. It is one of the component of digital India mission.
Which of the statements given above is/are correct?
(a) 1 only
(b) 1 and 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
Answer: C

UPSC Mains Questions:
Q.1) What are the reasons behind in holidays and special programming during festivals lead to increased viewership on TV?