By: Viraj Shah
TV commercials have a much bigger impact on their local market than you might expect. In fact, creating engaging multi-sensory ads is a fantastic way to tell an emotion-based story that can really help build a solid relationship between your brand and TV viewers. As the following six statistics will attest, creating a commercial to air in your local market is one of the best uses of your marketing budget!
1. TV Ads are 2.2x More Memorable
Comcast did a study to compare the difference between TV ads and ads that are watched on a mobile device. They discovered that showing an ad on TV makes it 2.2x more memorable. Additionally, purchase intent is 1.3x higher when someone watches an ad on TV, rather than a tablet.
2. OTT Videos will Reach $316.40 Billion Globally in 2024
Over-the-top (OTT) advertising enables you to take advantage of performance marketing tools. For instance, if you want to target people who live in a specific zip code, OTT makes it simple! This growing form of advertising is expected to reach $316.40 billion globally this year. It is, quite simply, the best way to ensure your TV ads are seen by your local market only, even if you’ve purchased ad space during the Super Bowl.
3. 92% of Households Are Reachable
Between live TV viewers and CTV viewers, your advertising can reach 92% of local households. This means that more than nine out of every 10 local viewers will have the opportunity to see your ad and decide to purchase products or services from your company. This could mean a major increase in your overall sales.
4. Local Ads Can Cost as Low as $20 to Air
Speaking of the Super Bowl, it will typically cost advertisers over $1 million to make sure everyone sees their ad. Other national TV ads often run six figures, which is out of reach for most local companies. Turning to a local ad, however, can be much more affordable. Depending on the time you select, the network, etc., your 30-second local ad will probably cost around $20 for every 1,000 viewers. It’s even possible to run an ad for $5 per 1,000 viewers, but it won’t be in a desirable time slot.
5. You Can Achieve a GRP of Up to 225+
Your gross rating point (GRP) will determine how well your ad does. To understand GRP, your rating point will be 75 if 25% of your targeted audience sees your ad three times a day. Using that, we can extrapolate that a GRP of 225+ will reach at least 75% of your target market. This number is nestled nicely between the 50-90% you’re looking to reach. In fact, if your GRP goes much higher, you risk turning people off.
6. Your TV Ad is 100% Unblockable
A major advantage to airing a live TV ad is that it cannot be blocked! Even if you choose a streaming-based CTV platform, there will be restrictions in place on skipping ads. While this might not make consumers happy, it does have an impact on the positive effect of TV advertising. Even YouTube has introduced unblockable ads, making them a good streaming-based CTV platform.
Published by: Khy Talara
