“On TV And Video” is a column exploring alternatives and challenges in superior TV and video.
Roku has a message for TV consumers: conventional linear’s decline continues, with a 39% loss in scores and a median age creeping over 60.
Certain, costs for conventional TV promoting haven’t dipped. Nevertheless it’s truthful to argue that old style programmers are browsing on shortage and the truth that advertisers are snug with tried-and-true TV shopping for strategies.
In Roku’s view, that’s not a recipe for long-term success.
However over the past 12 months, conventional linear networks have mobilized in opposition to this pattern, with NBCUniversal, Disney, ViacomCBS and WarnerMedia every popping out with powerhouse streaming choices.
So, will Roku’s messaging nonetheless resonate?
Julian Mintz, Roku’s nationwide model gross sales lead, claims that Roku views these new choices as companions moderately than opponents.
“We’re invested in serving to these channels develop their audiences and giving them the toolset that they should actually construct audiences,” Mintz stated. “We imagine that every one TV is ultimately going to be streamed and all TV promoting goes to be streamed inside our personal ecosystem. We’re invested in serving to all of our associate channels develop their audiences.”
Going into upfront season this 12 months, a few of Roku’s themes will probably be acquainted, however every could have a barely totally different twist.
As an example, when Roku talked about scale final 12 months, it was principally to do with serving to manufacturers drive incremental attain alongside their present TV promoting.
This 12 months, it’s extra about scale, interval.
Roku has 51.2 million households as of the tip of 2020. (That determine will probably be up to date in the course of the firm’s earnings name on Thurs., Might 6).
Roku can also be making an attempt to color an image to exhibit how streaming attain is rising whereas linear attain is falling. Mintz famous that in the course of the March Insanity NCAA basketball event, linear attain dipped 24%, whereas streaming attain rose 85%.
Final 12 months, Roku’s measurement targeted on holistic attain and frequency. This 12 months, although, it’s about proving Roku can drive enterprise outcomes, like gross sales.
“We’re seeing a collapsing of the advertising funnel and TV actually being a full funnel alternative for advertisers,” Mintz stated.
Right here’s a real-world instance. Roku in contrast knowledge units with Kroger to show whether or not its adverts drove gross sales for pretzel model Snyder’s of Hanover. (Spoiler alert: There was a 250% return on funding). This capability is in step with the remainder of the TV trade because it strikes to streaming, with gamers like NBCU additionally proclaiming their capability to show enterprise outcomes.
Roku’s OneView platform additionally continues to play a giant position by way of measurement. “It provides you a holistic view of your total media,” Mintz stated. “With that, we’re in a position to assist join the higher a part of the funnel from branding, all the best way all the way down to conversion-related actions on-line.”
And since OneView originated because the demand-side platform dataxu, it additionally should buy stock from different provide siders.
Even so, Roku continues to be aggressively pushing its OneView shopping for platform, and Mintz considers it to be the easiest way to purchase Roku stock.
“It’s the one advert shopping for platform that has Roku knowledge, and we’re releasing Nielsen Viewers Ensures completely into OneView,” he stated. “And the entire measurement merchandise, as a part of our current acquisition of Nielsen’s superior video promoting division, are going to be in OneView as effectively.”
In contrast to throughout final 12 months’s upfront, Roku will push its capabilities round constructing distinctive experiences, akin to a hub for March Insanity followers to seek out video games and content material or a Snapchat AR lens that may learn a QR code and whisk customers to a microsite to play a cell recreation.
Mintz pointed to the Model Studio Roku launched in late March, which builds these activations. One of the simplest ways to consider it’s because the equal of a artistic company to help Roku’s promoting providing.
It’s nonetheless not clear, although, whether or not the brand new advert experiences Roku is providing will allow activations throughout channels or assist advertisers reimagine and even change the standard 30-second spot.
However Mintz insists that the standard 30-second advert shouldn’t be useless.
“We did a examine with IPG Media Lab that confirmed while you mixed conventional 30-second video adverts with one among these extra immersive advert experiences, it drives four instances higher elevate and buy intent than operating only a video spot alone,” Mintz stated.
Feels like distinctive artistic in streaming is much less about reimagining the pod – and extra about creating artistic property to help and increase the great previous, acquainted 30-second spot.