AS SEEN ON TV Expenditures Explode in 2020

How about some good news for a change? 

2020 has been an historic year for the AS SEEN ON TV industry.

Despite the challenges of COVID-19, the industry has already set a new record for TV media expenditures and the year is far from over!  The following chart shows short form product expenditures for the previous 5 years compared to 2020 YTD data.

Short Form Product expenditures are already $594 million for the year.  I think we can all agree, 2020 is going to be one of the biggest years ever for the AS SEEN ON TV category which is good news considering that 2019 was a significant down year for the category.

In special recognition, DRMetrix has created a new study, “ASONTV Explodes in 2020” that we are sharing with all of our industry friends.  Click here to download a copy now.

All of this additional media going to drive retail sales to new heights for the foreseeable future!

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Covid-19 Impacts on Top DTC Television Advertisers

San Diego. May 21, 2020. DRMetrix, the direct-to-consumer television industry’s leading research company, has released a new research paper showing the impact that Covid-19 has had on last year’s top 50 DTC TV advertisers. “Over the past five years, online and mobile-based companies have increased their TV expenditures an average of 26% each year exceeding 7 billion on national networks in 2019. During the national quarantine, however, the top 50 prior year DTC advertisers have collectively reduced their TV expenditures by 33.8% over the prior year period”, says Joseph Gray, CEO of DRMetrix. DRMetrix’s research shows that not all DTC advertisers have pulled back. In fact, some have taken full advantage of higher TV viewership levels, buying more ads than ever before!

For some, it makes sense to buy during a time when rates are significantly discounted while viewership levels are at record heights. They are not alone, other direct-to-consumer sectors have dramatically increased TV buys. For example, AS SEEN ON TV product campaigns have increased their ad frequency by as much as 135% since the start of the quarantine period. This is especially impressive considering AS SEEN ON TV ad expenditures were down over 26% in 2019.

DRMetrix’s new research paper provides insights into why some advertisers are measuring success and increasing their buys while others are pulling back. A full list of the top 50 DTC advertisers for 2019 is provided along with advertising expenditures for pre-quarantine and quarantine periods compared to the prior year. The full research paper can be downloaded by clicking here or visiting www.drmetrix.com.

About DRMetrix
DRMetrix was founded by industry veteran Joseph Gray who has been in the direct-to-consumer television industry for 30+ years. DRMetrix monitors over 130 national TV networks 24/7/365 using state-of-the-art automated content recognition software. Direct-to-consumer ads for all creative lengths are tracked including spot, 5-min, and long-form which include web addresses, mobile app response, SMS, or toll free numbers. DRMetrix works with leading agencies such as Horizon Next, Havas Edge, Group M, ID Media, Ocean Media, as well as leading television networks such as A&E, AMC, GSN, INSP, and Hallmark Channels. For more information, please visit www.drmetrix.com and be sure and download our latest direct-to-consumer industry study.

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Real Time Competitive Dashboards

Coming soon!

Easy to build, real time competitive dashboards are coming!  Creating these dashboards will be free to all existing AdSphere clients.  They will be configurable within DRMetrix’s AVS system and each dashboard can be customized for specific groups of brands & creatives.   Bundled with AdSphere, AVS access includes monitoring for unlimited creatives for up to 20 brands a year.  Any of these creatives or brands can be utilized with any number of easy to create dashboards!

Please click on the image below to launch our Youtube Video overview of the types of data visualizations that will be included in the first generation of these configurable competitive dashboards!

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AdSphere’s Newest D2C Television Study

DRMetrix released its newest 5 x 5 industry study today as a revision to its prior study released at the end of Q3 ’19.  The new study includes the complete data set for 2019 and well as an updated section regarding television attribution challenges & solutions.

5 x 5 Industry Study

DRMetrix has also been tracking the recent impacts of Covid-19 on the direct-to-consumer television industry by providing a daily/week interactive tracking page on its website.

On behalf of everyone at DRMetrix, we wish safety and health to all of our industry friends during these trying times.  We will get through this together and, for those of us spending quality time at home, we hope this ‘light’ reading material will help the time pass quickly.

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Tracking the Daily Impact of Coronavirus on Television Advertising

TV viewing should be on the rise due to the coronavirus pandemic leaving millions of Americans housebound.  For direct-to-consumer television campaigns, who are able to measure consumer response and campaign performance in real time, will greater television viewership levels help to sustain the industry or will there be a pull back?  The U.S. economy relies heavily on consumer spending so how consumers respond to this type of advertising in coming days will determine the impact to this 17.8 billion dollar industry sector.  If traditional brand advertisers pull back, will we see more direct-to-consumer advertising filling the gap and, if so, what types?

To help answer these questions, DRMetrix has published a new interactive chart on its website that shows the daily airing count (ad units) for different classifications of direct-to-consumer advertising across 130 national networks monitored by its AdSphere research system.  The chart shows ad units by day beginning March 1 and will update daily.  One can see a recurring decrease in ad units on weekends which is normal.  It may take a week or two before the chart begins to paint a picture of what’s happening.

CLICK PICTURE ABOVE TO SEE LIVE CHART

DRMetrix’s chart shows the ad units for different classifications of the direct-to-consumer television industry as follows:

Traditional Direct Response (“DR”) Campaigns 

(Campaigns using differing phone, web, or SMS codes in order to better track consumer results back to specific networks, dayparts, and TV creatives).

Short Form Products – Traditional call-to-order $19.95 types of campaigns.
Lead Generation – Campaigns that don’t advertise the full price of the product or service (ie: call for free information)
28.5 Minute Infomercials – Those late night program length advertisements

Brand/Direct Campaigns

(Campaigns using a single vanity phone or URL which makes it more challenging to measure the immediate impact of television)

Vanity 800 – Campaigns using a vanity 800 call to action
Web/Mobile/SMS – Campaigns that use a vanity web, mobile app, or SMS call to action

To learn more about these classifications, and historical trends over the past 5 years, please download DRMetrix’s latest industry study.

DRMetrix wishes to extend our thoughts and prayers for everyone’s safety and health during these trying times.  As an industry, we will get through this together.  Due to the cancellation of PDMI East, we will be celebrating our industry’s accomplishments, and honoring the top advertisers of 2019, at PDMI West in September.

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3/25/2020 Update – New “Cause of Change” section has been added to the report today.  For each brand classification, the top 10 daily brands are listed with the number of (+) plus or (-) minus ad units compared to the prior day.  Each brand listed includes a clickable play link.  Enjoy!

4/14/20 Update – Added toggle at top of graph to switch between daily or weekly data views.  Access historic cause of change results for any prior day or week by “clicking on” data points in top graph.  

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4th Annual AdSphere™ Award Winners Announced

4th Annual AdSphere™ Awards Recognizing Top Direct-to-Consumer Advertisers in 2019

AbbVie, Progressive, Nutrisystem, E. Mishan & Sons, Guthy-Renker, Lifelock, Luminess Direct, Proactiv+, among those taking top honors.

SAN DIEGO- (March 10, 2020) – Direct-to-consumer television advertisers spent over 17.8 billion on national cable and broadcast networks in 2019.  To celebrate the industry’s accomplishments, DRMetrix’s 4th Annual AdSphere Awards is honoring the industry’s top advertisers and brands.

The awards presentation will take place at PDMI EAST 2020, where the leaders in Performance-Driven Marketing will come together in Miami, Florida from April 19 – 21, 2020Due to Coronavirus this year’s award program will be rescheduled to PDMI WEST in San Diego, September 14-16.  All of us at DRMetrix wish to extend our thoughts and prayers for everyone’s safety and health during these trying times.

AdSphere Awards is the first awards program to be inclusive of the entire direct-to-consumer industry with advertisers such as Facebook, Credit Karma, Peloton Cycle, Legal Zoom, Chewy.com, Carvana.com, Booking.com, and many others being honored.

“The AdSphere awards recognize best-of-class advertisers and brands across four industry classifications including short-form products, lead generation, brand/direct, and 28.5-minute infomercials,” said Joseph Gray, AdSphere Awards founder and CEO of DRMetrix.  “Direct-to-consumer campaigns achieving this level of scale demonstrate consumer popularity and best-in-class creative and media execution.  The AdSphere Awards are the most inclusive award program for the entire direct-to-consumer industry recognizing nearly 70 honorees including all of our best-of-category award recipients.”

AdSphere monitors a universe of 130+ national networks on a 24/7/365 basis.  In just over five years, AdSphere has identified over 11,000 direct-to-consumer brands.  In addition to detecting over 495,000 infomercial (28.5 minute) airings, AdSphere has detected over 55 million spots of varying creative lengths up to five minutes in duration.  The awards recognize top brands across a wide range of industry categories representing all facets of the industry.  AdSphere segments campaigns across over 190 major categories and sub-categories. The complete list of AdSphere Award winners is online at www.drmetrix.com/adsphere-awards.html.

In addition to the “Best of Category” awards, the following top nine advertisers will receive the coveted AdSphere Award.

2020 AdSphere™ Award Winners – Top Nine Categories

1.           2019 – Advertiser of the Year
              Classification -Brand/Direct
              AbbVie
2.           2019 – Brand of the Year
              Classification  Brand/Direct
              Progressive
3.           2019 – Advertiser & Brand of the Year
              Classification – Lead Generation
              Nutrisystem
4.           2019 – Advertiser of the Year
              Classification – Short Form Products
              E. Mishan & Sons
5.           2019 – Brand of the Year
              Classification – Short Form Products
              Proactiv+
6.           2019 – Advertiser of the Year
              Classification – Long Form
              Guthy | Renker
7.           2019 – Brand of the Year
              Classification – Long Form
              LifeLock
8.           2019 – Brand of the Year
              Classification – Long Form Retail Products
              Luminess Silk Infinite Beauty Collection
9.           2019 – Brand of the Year
              Classification – Short Form Retail Products
              GraniteStone / GraniteRock

About DRMetrix

DRMetrix, the industry’s leading television research company, monitors over 130 national TV networks 24/7/365, tracking direct-to-consumer ads using all creative lengths including spot, 5-min, and long-form which include web addresses, mobile app response, SMS, or toll free numbers.  For more information, please visit www.drmetrix.com and be sure and download our latest direct-to-consumer industry study!

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Happy Holidays!

 

 

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The Rise of Longer Ad Formats in Television

A new study shows surprising growth in longer television ad formats.  Conducted by Southern California-based research firm, DRMetrix, the study finds 2018 year-over-year growth in the number of 45 second spots grew by 583.86%, 75 second spots grew by 184.62%, and 180 second spots grew by 487.03%.  This is some of the interesting data that has surfaced in DRMetrix’s new AdSphere 5 x 5 industry study that is being released next week to attendees of the PDMI-West event.  The study trends data across 5 years (2015 – 2019) and across 5 different segments of direct-response-television and brand-direct advertising.

For its analysis, DRMetrix’s AdSphere system was used to monitor 130 national networks using state-of-the-art automated content recognition (ACR) and included in its study any ad that provided a phone number, web address, mobile SMS code or app store logo from Apple or Google.  “What’s unique about this group of advertisers is that they have the ability to immediately measure consumer response to their commercials allowing them to quantify differences in overall response to different ad formats.” said Joseph Gray, CEO of DRMetrix.   “These types of advertisers have discovered what direct-response-television advertisers have known for decades – that longer ad formats are more effective.”

In explaining his latter point, Gray invoked David Ogilvy, the man whom many consider the father of modern advertising. In a famous speech called “We sell or else” from the 1960s, Ogilvy lauded the value of direct-response advertising and predicted the worlds of direct response and general advertising were on a collision course.

“Ogilvy recognized that longer ad formats on television were more effective than shorter formats and that direct response advertisers were unique in their ability to determine which aspects of their television buys were actually working,” Gray said. “He famously remarked, ‘You know to a dollar’ what you are spending.”

Ogilvy also predicted the practitioners of general advertising would one day learn from the experience of the direct-response industry and stated it would be within the power of direct-response practitioners to rescue the advertising business from its “manifold lunacies.”

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