Digital Marketing & Sales

Advertising: what investing on the Internet means (Today). And then there is Television

The internet collects 30% of advertising investments in Italy. For some years now measuring has become an online investment mantra, together with everything that rotates around it: indicators, KPIs, viewability, etc. The use of user data that more or less legally is collected by investors and advertising supply chain players, has enabled to fine tune online advertising campaign targets, raising the attention on spending only where there is the possibility of conversion.

Investors’ need to ensure that their campaign actually reached only specific population groups gave way to the development of companies to monitor post-campaign results in regard to reached sample coverage. This is what investing in advertising on the internet means today: great operations and big expenses to achieve control at every level of the process, longer supply chains, very low prices (and therefore margins) for publishers and countless indicators and/or KPIs that in a “continuous measuring” perspective, show which is the best road to follow.

Historically television has collected about half (50%) advertising investments in Italy. No investor demands viewability, reliable, timely audience rating data, direct indicators of investments. But “television sells”, that’s the word and it is indicator enough. Grand econometric studies try to figure out what population groups and profiles have or haven’t been reached by a television campaign and alternative communication channels (often digital) are activated only in unreached areas. Costs are still quite high despite the sharp drop of recent years.

How much longer can this split last? If, on one hand television is still able to keep up its share of investments, on the other the world of Internet keeps growing (even if mostly restricted to a small number of players – not that television is much more pluralistic) and enforcing its continuous measurement model. This model will very likely soon become the standard also for television, as soon as it can be considered truly connected also in Italy. Then, we will be able to evaluate investments in Television, with the same level of detail dictated today by digital channels, and understand any additional strengths, but also some weaknesses that nobody has been able to detect because impossible (or almost) to measure

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