On July 1, 1941, the Brooklyn Dodgers (now the Los Angeles Dodgers) squared off in a televised game against the Philadelphia Phillies. And, as thousands gathered to watch Hal Marnie, Stan Benjamin, and Johnny Rizzo lead the Phillies to a well-deserved victory, something bigger was happening for those watching from their trusty TV sets at home.
Bulova — an American watch company — displayed the first-ever television ad. For $9.00 (or ~$76 today), Bulova aired a simple, 10-second advertisement with a Bulova clock over a WNBC logo — which is the flagship station of NBC today.
Over the course of the next few decades, TV would come to define the advertising genre. Still today, TV has yet to hit its ad spend peak, recording record numbers year-over-year. TV remains the most impactful, memorable, and brandable advertising medium on the planet.
If you were forced to recall 10 ads, there's a good chance that all of them would be from television. From Budweiser's Wassup? to Apple's famous 1984 commercial, TV ads have been a de facto part of our entertainment lives for the past 80 years. But, despite the explosion of digital mediums and the growth of niche ad platforms, television's value hasn't eroded. It's quite the opposite.
In today's hyper-chaotic world filled with clickable spam and skippable, cheaply-made ads, TV reminds us of the scale, impact, and beauty of advertising. And it's a hot market. Brands pay $5.25 million for 30-seconds of airtime during the Super Bowl for a reason: TV ads produce tangible, measurable value.
So, what does TV advertising look like in 2020? From COVID-19 to the rise of bite-sized video platforms, television may seem like it's lost its "touch." But it hasn't. In fact, these statistics should show you one thing — television is here to stay. It may be older than your grandpa, but TV advertising is a proven medium that keeps on giving.
7 Stats that Showcase the Future of Television
Television is an American pastime. And it's aging like a fine wine. This year, television ad spend, viewership, and content library will grow — keeping up a near-century-long trend. These statistics should shine a light on the power of TV in 2020 and beyond.
- TV spend is expected to grow to $75 billion by 2022. (MarketingCharts)
- TV accounts for over 55% of the time spent on leisure activities. (BLS)
- Adults watch over 5 hours of TV per day in the United States. (Nielsen)
- TV consumes 68% of the average person's video diet. (ThinkBox)
- The average UK citizen views 39 TV ads per day. (ThinkBox)
- Almost 80% of people watch TV on any given day. (BLS)
- COVID-19 increased the time spent watching TV in Australia (44%), Spain (42%), Germany (32%), France (14%), Canada (17%), and the United States (7.5%). (Statista)
4 Stats That Prove The Value of TV Ads
For seasoned TV marketers, this shouldn't come as a surprise. Television continues to deliver untold value in today's advertising landscape. But, with the rise of digital mediums, some marketers expect that TV's overall value has dropped. That's not true. In fact, TV is in the strongest position it's ever been in from an advertising perspective. Here are a few statistics to hammer that point home.
- Sixty percent of adults say that TV ads are effective at branding and have convinced them to make purchases. (MarketingCharts)
- TV brand performance is 50% higher than any other medium. (Accenture)
- Television has the largest impact on both branding and sales of any marketing medium. (Accenture)
- TV increases advertising effectiveness by 40%. (ThinkBox)
5 OTT Stats to Guide Your 2021 Campaigns
While linear TV still enjoys growth in viewership, OTT is the new kid on the block. Streaming services have taken the world by a storm, and they aren't slowing down anytime soon. From the recently-created Apple TV+, HBO Max, and Peacock to the tried-and-true Netflix and Hulu streaming services, OTT is on the fast-track to becoming the world's dominant advertising platform. Here are some juicy stats that showcase just how impactful OTT is in today's content-drenched advertising landscape.
- Fifty percent of advertisers plan to increase spending on connected TV. (Amazon)
- Connected TV ads have 95% completion rates. (Extreme Reach)
- Volumes of OTT adverts on TV grew 31% in Q1 2020. (TAM)
- More people have OTT subscriptions (68%) than traditional TV subscriptions (65%). (Deloitte)
- Four-fifths of US consumers have at least one streaming service. (Deloitte)
2 Stats That Showcase the Power of OTT + Traditional TV
Marketers love a good comparison. Should you invest in OTT or Linear? Is TV or streaming better? Is the future CTV, OTT, or a new wave of post-streaming linear content? These are all great questions. But they're the wrong questions to ask. The real question is this: how can you combine OTT and linear to create ROI-driven campaigns? Here are some statistics showcasing the value of marrying linear and OTT advertising.
- By 2021, 72% of the population will engage in multi-screen viewing. (Amazon)
- Combining TV, digital, and OTT provides a 60% higher ROI than using any of them alone. (Advertising Research Foundation)
Television is the Past, Present, and Future of Advertising
As the advertising world fractures across thousands of ad platforms, it can be difficult to find your orientation. But it's not hard to find the right medium. Television continues to deliver tangible returns and unparalleled branding results for marketers across the globe. Not only that, but linear TV now has a partner-in-crime. OTT and linear both require similar creatives, and each of them offers unique value to advertisers.
Are you ready to embrace the raw value of TV advertising? Reach out to a media partner to help you create world-class ads that convince, convert, and engage your audience. The most memorable, thoughtful, and beautiful ads have always been on television, and, as things currently stand, ads will continue to dominate TV screens for the foreseeable future. The proof is in the pudding: TV advertising works.