Are the TV Currency Wars at a Stalemate?
This issue may drive ad conversations in 2024 - or not
Before I get started, I’m taking a survey:
Do you think there’s a need for a small event focused on social and digital video?
What part of the industry are you in?
Thank you!
One of the defining issues of 2023 (and 2022) was supposed to be The Currency Wars.
I’m starting to wonder if the war is over and I missed it.
To review, many TV networks and media buyers have been dissatisfied with Nielsen for various reasons over the years. More recently, a slew of well-funded measurement upstarts has been touting a better way to track TV viewership. Things really came to aa head when during the pandemic, Nielsen temporarily lost its accreditation from the Media Rating Council - blood was in the water, and the metrics sharks were swarming.
A joint industry committee was even formed to create some standards for the newer measurement firms like iSpot and VideoAmp.
A few things have happened since them:
Univision decided to stick with Nielsen for now
The amount of actual dealmaking built on new currency during last spring’s upfront was reported to be fairly limited.
Behind the scenes, there is lots of grumbling - the agencies are slow, MediaOcean - the TV world’s incumbent billing system - is even slower (some say)
Former NBCU sales. chief and long time Nielsen critic Linda Yaccarino has left to take a new job selling upfront packages centered around Alex Jones
NBCU’s new metrics champion Kelly Abcarian, along with longtime sales innovator Krishan Bhatia, has also left
Paramount is up for sale
Disney may sell its TV assets. Or not.
You can see where it might be tough to keep momentum going. Or I could be wrong?
I was recently at a closed door industry event where one top media buyer said they didn’t particularly care about new metrics, because as streaming comes to dominate TV viewing and advertising - “I just look at my ad server.”
Surely, not everyone will agree with that take - traditional researchers would shudder and scream for panels. However, I recently hosted a webinar put on by the agency Strategus on the future of CTV, where I was reminded that not everybody cares all that much about finding a new version of ‘ratings.’
Especially, as more direct-to-consumer brands come to TV.
“You talk about the DTC model, and that’s such the antithesis of this market, where the advertising model working from the bottom up rather than the top down.,” said Joel Cox, Co-Founder; SVP Strategy & Innovation at Strategus. “We've got a number of clients that operate of in that space and with that mentality and it's all [Return on Ad Spend] driven. There's no concern around day parts there's no concern about you know quality of content. It's all just got a pencil out.
“I think that connect to television certainly offers an immensely greater degree of precision, target ability, and after add exposure measurement.”
We’re likely a way away from the overall TV ad market being driven by DTC brands. But in the meantime, I’m wondering how much even classic TV marketers will care about this stuff as linear TV becomes less of a priority. And what happens when more streamers grab sports rights up, and they have better numbers than the research firms?
Does the war end quietly, and everybody goes home? I could be wrong.