How do big companies assess whether their TV ads were useful or not?
In: 5390
In addition to other answers, the background behind why they run ads where they do is entirely based on the demographic data of people watching.
If you pay any attention to TV ratings, you’ll often hear that the demo ratings are more important than the total number of viewers, which is absolutely true. A TV network will make far more money selling ads for a show with for example the no.1 ranking among males 25-54 than a show with more overall viewers but not ranking particularly strongly in any specific demography, as they will sell ad spots for that program for a lot of money, as companies with products for males will see that as a very lucrative spot.
Of course, this takes us to a bigger issue, that TV ratings are highly inaccurate and just based off best estimates from a small number of TV ratings boxes in certain homes and then weighting those results.
In the coming decades this will become more accurate, as more networks and TVs adopt the ATSC 3.0 standard (under different names in other countries outside the US), which among other things like 4K capabilities, will allow the network to ‘talk’ to TVs directly and know exactly what people are actually watching.
Latest Answers