The uncertainties, challenges and opportunities in unmeasured media

29 Jan

It’s striking how much we don’t know when it comes to advertising spending. With huge increases in unmeasured media (now 40 percent of all ad spending), what advertisers used to know and news organizations used to expect is no longer valid. It’s no secret that the print industry has been struggling with the loss of advertising dollars for years, and many expect television to see similar declines in the not-too-far-off future. What I hadn’t pondered before is how this affects advertising agencies.

It’s easy to see why the rapid increases in these unmeasured categories are problematic to news organizations, advertisers and agencies. Because ads on social media sites, promoted Google searches and paid placement on media sites like Hulu and Pandora are unmeasured, it’s hard to get an overall picture of how they are performing. Some advertisers are probably skeptical to pay for media that doesn’t have significant research behind it. Agencies are searching for what new digital media fees will replace the high dollar commissions reaped from television ads. News organizations have to be willing and technically ready to incorporate new paid content on their various platforms.

It seems like every week there is a new study released about these unmeasured mediums, i.e. how mobile ads are performing or new insights on clickthrough rates for social ads. This makes sense, because there is no central organization like Nielsen that tracks these things, nor could they. As was mentioned in class, the only way to obtain this information would be for Google or Facebook to release their advertiser lists.

The challenge ahead for advertisers, agencies and news organizations is not to rebuild the old profit margins that once existed, but rather to come up with new, better ways for advertisers to talk to audiences. Hopefully, these new ways have a price tag attached to them that allow agencies and news organizations to continue to create quality content.

-Laura Davison


One Response to “The uncertainties, challenges and opportunities in unmeasured media”

  1. Patrick McFadden January 29, 2013 at 1:15 pm #

    It’s not shocking, just think about? Why would a large company buy an big ad? Well, if they bought an ad where there’s something measurable, they or he/she then have to then go tell the boss, “they bought an ad that didn’t work!” No one wants to tell their boss the ad didn’t work so they just buy the unmeasurable one, the one that they can say hey we bought the ad, like you said.

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