A Surprising Boost from TV Advertising: A Look at First-Time Advertisers

A Surprising Boost from TV Advertising: A Look at First-Time Advertisers

In the lively city of San Francisco, there’s an exciting buzz in the marketing community thanks to some eye-opening research from the Video Advertising Bureau (VAB). Despite some challenges, it turns out that *television advertising is proving to be a fantastic way for new brands to increase their web traffic*. This is especially crucial for first-time advertisers, as a staggering *$4 billion has been poured into TV ads by 931 newcomers since 2021*.

The Power of TV Advertising

Sean Cunningham, the head honcho at VAB, said it quite simply, “It’s irrefutable hard data that multi-screen TV works like a light switch with respect to building customer traffic.” This *groundbreaking report, titled “Breaking Through: How New Advertisers Are Using TV To Ignite Interest & Turn Consumers Into Customers,”* shed light on the performance of 201 brands diving into the TV advertising scene.

The study evaluated web traffic data from April 2020 to April 2024, focusing on brands’ activities before and after their TV launch. Of those 201 brands, *173 measured their web traffic before jumping into TV ads*, while 28 chose not to do so. It seems the data speaks for itself! Brands that had a handle on their website metrics beforehand saw a whopping *12% increase in traffic during the month they debuted their TV ad* when compared to the previous six months.

Beyond the Launch Month

But wait, there’s more – that initial bump doesn’t just stop there. Those brands also enjoyed an extended boost, with a notable *20% increase in monthly unique visitors in the months following their TV debut*. This supports the idea that once you light that TV fire, people keep coming to check it out!

Investment Matters, but So Does Type

Interestingly, the amount spent on these TV ads plays a role, too. Among the 35 brands that spent $500,000 or less, they enjoyed an *8% increase in unique monthly users during their launch month*. But brands that stepped it up with a budget between *$2 million and $5 million* saw an average increase of *9%*, while the big spenders—those who invested over *$10 million*—saw a jaw-dropping *36% increase* in their launch month traffic!

However, it’s not just about the budget! Company types affected these outcomes as well. Direct-to-consumer (DTC) brands are having a *party of their own*, reporting a *monthly average increase of 622,000 unique users*—that’s nearly double the average increase of 387,000 unique users for all brands combined!

A Trend to Watch

As the excitement builds, so do the dollars spent by first-time TV advertisers. In 2021, these advertisers increased their investments by *70%* in the months following their TV debut, and although the numbers have gradually gone down each year since—54% in 2022 and 37% in 2023—it still shows a growing confidence in the channel.

The Takeaway

So, what’s the most important nugget of wisdom from all of this? As Cunningham stated, *measuring website traffic in connection with TV advertising is vital*. It provides savvy advertisers with solid insights into how effective their campaigns are in stimulating consumer interest and ultimately driving sales. “These are specific customer actions that had to be performed,” he noted, shedding light on the tangible impact of their advertising efforts.

Wrapping It Up

With television continuing to capture the attention of so many, it’s clear that *for first-time advertisers*, dipping their toes into this vibrant avenue can lead to meaningful outcomes. As the marketing landscape evolves, it will be fascinating to see how these trends continue to shape not just advertising strategies but consumer interactions in the digital age.