June 15, 2020
The effects of COVID-19 continue to wreak havoc on the economy and consumer confidence, even as many states continue their attempts at returning to life as it once was. The medical data, unfortunately, is proving COVID-19 to be as pesky as the professionals have always stated. In states that opened more liberally (if you can actually use that word since the most aggressive ones were largely red states), new spikes in cases are returning while those who took a more medically sound approach are moving downwards.
For those brands who continue to make their necessary adjustments to a more digital approach to match the behaviors of the consumer, last week was a big week both in terms of product announcements and research results.
RESONATE RELEASES THIRD-WAVE REPORT OF CONSUMER SENTIMENTS DURING COVID-19 (DOWNLOAD)
Our partners at Resonate have put their money where their mouths are during the pandemic to provide us with “up to the moment” surveys from their massive audience pool. This wave three report shows that people continue to have extensive and deep worries about their health and their finances. This report covers consumer sentiment on a variety of topics, from media consumption to their behaviors towards retail, entertainment, travel, and politics. This report and the others before it are critical information to any marketing leader making well informed maneuvers.
With regard to media consumption, the consumer seems to have made the shift towards streaming TV. As we predicted back in 2019, any upset in the economy was going to move people towards a single access platform (the internet) to get all of their media services. Advertising platforms like the Trade Desk have followed suit by adding more and more streaming TV inventory to their offerings (more on that in a moment).
THE TRADE DESK FINALLY CONNECTS LINEAR TELEVISION TO CONNECTED TV!
This is big news. For those of us on the front lines of the transition of media to digital, one of the last frontiers was to connect or correlate linear television (old timey TV) and digital television (connected/OTT/addressable…on and on). Our partners at The Trade Desk have just launched a solid beta to which they’ve invited Ciceron that, according to both Ashley Evenson, director of emerging media, and Jake Coldren, director of media investment, “is the first time Ciceron has been able to provide cohesive programmatic strategies based off of linear tv data (such as TV spot remarketing, frequency insights, and conquesting).”
In essence, here are the highlights:
FINALLY, WHAT’S THE IMPACT OF ALL OF THIS ON PRICING? PRICES DROPPED, ACCORDING TO THE IAB. (DOWNLOAD)
Old and new readers alike will notice that our trends-of-urgency continue as prices for all media continue to experience deflation. Since the very first of these briefings back in March, we anticipated a steep drop in prices and that for those brands who have the resources or will to invest, this was going to provide buying opportunities.
The IAB released its updated report on pricing across media, and lo and behold, prices remain low.
OUR IMPATIENCE WITH THE PANDEMIC WILL KEEP PRICES LOW.
The media economy is now based upon a collective understanding of what “safe” is. Unfortunately, too many people believe they’re scientists and think they have some special scientific experience the actual scientists don’t. Depending upon the real data within the science of the pandemic and how much people are willing to adhere to the guidelines of the CDC, we won’t see any long-term pricing stability. Expect this to go for the long-haul, in my opinion. If we don’t adhere to the guidelines, media prices will continue to be low as the economy shuts into neutral again and people remain in their home offices and entertainment centers. Think about that. Our impatience will keep prices low. It’s a strange sort of dynamic that no one wishes for on a human level, but for brands who have the resources to grow, the economic environment is for the taking.
I don’t know if that’s a real silver lining.