Smart TV Red Sea emerges as living room entertainment market becomes hot spot

“China Advertising” magazine interviewed Liu Hao, Deputy Director of AdMaster Solutions, and Song Yuqing, Chief Marketing Officer of Discovery Media, and conducted an in-depth interpretation of the smart TV marketing hotspot from three aspects:

What are the advantages of smart TV PK traditional TV?

How to deliver smart TV ads in the correct position?

What is the future trend of OTT?

The big screen in the living room is an important scene in which the brand and the consumer communicate emotionally. The rapid development of smart TV marketing is a product of the Internet's cross-border entry into the new communications environment. It also indicates that traditional TV and Internet have created an innovative fusion of media resources. Since 2013, the proportion of OTT TV (smart TV) production and sales of all TVs in China has increased by double digits year by year, and has entered the high-speed fast lane of development. At the beginning of 2016, the number of possessions exceeded 100 million units, the activation rate exceeded 83%, and the penetration rate reached 73% (Owe Cloud Network data). The quantity changed to a qualitative change, and OTT TV became yet another media revolution following the PC and mobile terminals. Driven by data technology, it has gradually gained the favor of advertisers, and has a place in the media strategy PK of advertising.

Three advantages of smart TV PK traditional TV

01: Accurate delivery of advertising, CPM unit price has a competitive advantage

The difference between the effects of smart TVs and traditional TVs lies in the technical differences between the two. Liu Xiao, deputy director of AdMaster Solutions, said: "The traditional form of television transmission is through one-way output from the television station, and any device can not achieve real-time and efficient interaction. In this process, ads can not be accurately placed, there is no way Precise monitoring, this is the initial level and the most common problem faced by advertisers.

Smart TVs are based on smart systems to build TVs (internet set-top boxes built-in). In principle, it is very similar to PCs and mobile phones, and it is also an advantage over traditional TVs. ”

At the same time, the cost of OTT TV may be lower than that of traditional TV, but it will be higher for PC and mobile Internet video advertising. There have been advertisers who calculated the unit price of the advertising transaction for OTT TV startup at 50 to 60 yuan/CPM, which is considered to be a relatively high price compared with other digital media quotes. In fact, we see the CPM of the OTT TV is home-to-home, and it has not been restored to humans. If it is average, the price will be lower than PC and mobile. Therefore, simply comparing, including not counting the OTT TV's ultra-high viewing arrival (easily avoiding advertisements with respect to the PC side, the mobile advertisement displaying size is small), does not reflect the ROI of the delivery well.

02: On-demand viewing function accumulates long-term traffic, large screen delivery achieves better reach rate

As the user's viewing mode gradually shifts from live broadcast to freer on-demand, along with changes in the viewing time scene, OTT TV's on-demand viewing function can meet the needs of different groups of people watching movies and solve the problem of viewers and other TV updates. In the past, traditional television had less resources and content, and people gathered on a few high-quality IPs. However, even if it is the best IP, the pressure of live-viewing is also very large. For example, when the industry’s well-known “Good Voice of China” started broadcasting, it signed a ratings gambling agreement with the title sponsor Jia Duobao. . Nowadays, on-demand and back-to-back viewing of smart TVs plays an important role, because if a good IP is encountered, he can accumulate a lot of long tail traffic in the coming week or month, and the continuous value may be much higher than a Traditional live show.

Judging from the large-screen advertising effect, for some special industries such as automotive customers, they have higher requirements for advertising display. Not only do they have better arrival probability through large screens, but also make their advertising high-level creative ideas and images. Quality is fully disseminated. The data monitoring of the car case shows that the customer's placement has been better matched to achieve better advertising results, and the booking rate for 4S stores has also been improved. This is also a big reason for car companies to try to strengthen the launch of OTT TV.

03: Relatively perfect supervision of licenses, centralized channels, and strong stability become advantages

In terms of OTT TV supervision, SARFT has set up a strict content and broadcast control license management system to ensure broadcast security. The broadcast control platform is in the hands of the 7 licensees and the channels are concentrated. This shows that OTT TV has a higher stability. Compared to PCs and mobile devices, "hundred flowers", traditional TV-based video is over 100 channels, and smart TVs can provide more focused user groups.

How to deliver smart TV ads in the correct position?

The natural advantages of smart TVs have caused the new broadcast environment of large-screen living rooms to gradually attract the attention of brand owners.

Advertisers are required to go through the following three steps when delivering smart TV ads:

First, sort out the positioning of various roles in the industry. For example, we will see that some hardware manufacturers are developing new media and involve the acquisition of content; at the same time, the licensees themselves are doing content and hardware; and some content parties are now starting to do advertising marketing. So knowing each company’s business trends, or the stronger field in which area or which area, has a lot of help for your advertising.

Second, choose the appropriate form of advertising. At this stage, the most mainstream advertising resource of smart TV is the boot of TV hardware. The most important one is on-demand video advertising. Others include some hardware screensavers or shutdown advertisements, or on-demand pauses and withdrawals. , as well as some implantable corner signs to choose from. At the same time, there will be some directions for future effects, such as interactive jump advertisements that can be selected on the screen by the remote control, scanning, or buying while watching. This is also an innovative interactive advertising resource that many OTT TV resource parties recommend to advertisers.

Third, choose a proper distribution channel. At this stage, the five major TV manufacturers all provide resources for boot advertising. Which company should we choose to do, and which vendor's superior resources are more appropriate for brand owners? Or, in the traffic that provides a SMD or pauses ads, who should we choose? All questions must be attributed to whether the brand has a good tool for data grooming, pre-judgment, media planning, placement assessment, and impartial monitoring. Now AdMaster's TrackMaster can carry out OTT TV advertisement monitoring and data display. The software can provide standard dimensions. In 2016, AdMaster officially incorporated smart TV into the multi-screen budget distribution system CSRMaster, unifiedly measured the multi-screen media reach effect, and helped The brand optimises the media budget allocation to further enhance the media effect.

Exploring the media CMO Song Yuqing also said that in addition to expecting the OTT TV to maximize the advertising benefits, he also looks forward to a platform that is a content management function, that is, under the big data, each person can carry out accurate portraits and customize them exclusively. Personal in-depth analysis, such as the precise analysis of TA that AdMaster is currently doing. At the same time, he pointed out that the development of OTT TV, a new type of smart TV, has shown many bright spots at this stage. First, it solves the problem of the survival and development of the industry; secondly, with the change of technology and ratings, more and more people are familiar with the operation of the system. In addition to being able to convey information, it has also impacted the working style of marketers in a subtle manner, becoming a tool of media planning that they can rely on. Third, in terms of its industrial chain, current brand owners are paying attention to its advertisements. Functionally, but from the perspective of the development of OTT TV at home and abroad, advertisers and professional 4A channel personnel have begun to subscribe to the software in the early stage of advertising planning and monitoring and evaluation of the later stage. This is a welcome phenomenon. It also shows that Smart TVs will exert more energy to influence the entire distribution. Therefore, OTT TV is a gold mine worth exploring, and it is a sunrise industry in its infancy. OTT TV is waiting to greet all its peers with brilliant growth!