Internet TV

The Internet has revolutionised our day-to-day lives both in a business and personal capacity. It allows us to keep up with the latest news, carry out research, book a much-needed holiday and treat ourselves to some retail therapy – all without leaving our PCs. The latest developments mean we can also watch TV over the Internet. And like many other facets of the World Wide Web, this opens up a world of possibilities for the B2B marketer.

IPTV (Internet Protocol Television) is an umbrella term to describe the delivery of high-quality video and television content through a broadband connection and displayed on a PC, mobile device or TV set. Video over the Internet or broadcast over IP first emerged in the 1990s. Initially it was limited to very small clips delivered via 56K and 128K dial-up modems and the quality was poor and speed was slow.

However, the combined impact of cheaper broadband, faster Internet connections and increasingly inexpensive technology means that TV content on the Internet has become far more widespread. In 1994, news show World News Now in the US was the first television programme to be broadcast on the Internet and since then many more sites using Internet TV and video content have sprung up. The most famous example is probably YouTube. Founded in February 2005, this site allows users to easily upload, watch and share original videos worldwide. Others include Channel 4’s 4oD, Joost and Friction TV.

IPTV provides new distribution opportunities for content and brand owners as well as for marketers. Gladys Elia, MD business communications & technology at PR firm, Cohn & Wolfe, points out, “Many marketers are now using TV Internet sites, such as YouTube as a way of getting their message to a new generation of opinion formers. It’s an extension of viral marketing, where now there are multiple platforms businesses can use to get their message to consumers – for example, the Conservative party used YouTube to try and influence a younger tech-savvy demographic.”

Precisely targeted advertising


IPTV is also perfect for niche audiences and caters for advertisers wishing to deliver highly targeted marketing communications. The Internet Advertising Bureau’s (IAB) IPTV Report from August 2006, says, “IPTV creates a marriage between the dynamic persuasiveness of broadcast television and the responsiveness of DM. It allows audiences to be targeted with better techniques – a much finer tool than the ‘carpet bombing’ of individuals used in routine media.”

Elia agrees. “With Internet TV, never before have advertisers had the opportunity to target their consumers so precisely,” she says. “With information collected on what the viewer watches, at what time and in what region, advertisers know they are reaching out to the right audience and viewers know they are receiving information which is relevant to them.”

Kieron Matthews, head of marketing, IAB, adds, “The great thing about IPTV is that you can see what you want, when you want – you make the choice. The opportunities for advertising are only limited by your imagination. Its commercial use is very much in its infancy.”

One method of IPTV advertising that B2B marketers are finding useful is via sponsorship of content. Telecom TV, which launched in 2001, provides business intelligence to senior executives in the global telecoms industry. It offers news, analysis and features such as panel discussions and interviews, five days a week, to 30,000 registered viewers. One way for a brand to achieve exposure is via sponsorship of a feature such as coverage of an event, explains Rachel Bailey, the company’s marketing services manager. “We covered the annual 3GSM Awards in Barcelona, reporting live from the congress. The three headline sponsors – HP, Ericsson and Openwave – are displayed prominently on the screen, and each has an advertorial page down the left hand side where you can view the content we shot for them at the event.”

Bailey says that the benefits are that viewers are exposed to the sponsor throughout the programme as opposed to short ad breaks on terrestrial TV.

She adds that there are also opportunities for advertisers to sponsor panel discussions. “Networking solutions company Juniper sponsored one of our discussions, so they had their logo on the screen throughout the programme and the head of business development also participated in the discussion. It means that viewers hear what you have to say and it promotes your company as a leader in the field. It can really raise your company’s value.”

VNU Business Publications is another company taking advantage of opportunities in IPTV. It has recently launched VNU On Air, a portfolio of Internet-delivered audio and video content, for three of its B2B titles: VNU Net, Accountancy Age and Computing. Content is developed via a new production facility in London, enabling both live and on-demand programmes. The editorially-led programming includes news, product and technology reviews, discussion and debate. “We offer a wide variety of opportunities for companies to sponsor,” says Duncan Tickell, publishing director.

“This includes live web seminars, debate forum, product demonstrations and virtual exhibitions. Advertisers will also be able to buy both pre- and post-roll advertising (pre-roll advertising are ads seen before the video and post-roll, the ads that are seen after) as well as banners and HTML ads around the media player. It means we can offer a tailored environment, allowing brands to get complex messages across via editorial features such as seminars. It’s also much more affordable than traditional broadcast media.” He adds that this type of message also fully engages the viewer – “once they see a moving image, they are more likely to understand and remember.”

Advertising on IPTV is also exciting for the viewer because it can provide an interactive experience. Ads can link through to the advertiser’s site or interact with the programming itself. For example, a car ad could give you the chance to look inside the car, see how it drives, request more information, and even book a test drive. This enables data capture, to find out important information about customers and prospects, allowing advertisers to gain a more accurate understanding of who is being exposed to and interacting with the ads. This is valuable to advertisers in evaluating the effectiveness of the campaign and planning future activity.

Own-brand channels


Some companies are launching their own TV channels online, presenting content of interest to their core audience as well as showcasing products. Decisive Media, the media agency arm of Telecom TV which creates bespoke videos, has helped HP create its own channel, producing a programme a month. “It informs its customers and partners of new products and services acting as a source of education,” says Bailey.

Jamie Bransom, director of Med1a, an IPTV consultancy & technology enabler says that this is something the medical industry is starting to utilise. “When a new drug is launched, doctors have to travel to a conference, which can be expensive on both sides. Using Internet TV, they can attend a webinar (a live, online seminar designed to be interactive) to find out about the drug and raise questions about the product, without travelling anywhere and spending any money.”

Companies can also use their channels for internal purposes. Robert Petty, CEO of Roo TV, Internet video specialist, says, “Internet TV is becoming increasingly popular as a platform for training staff, conducting investor relations’ presentations and showcasing new products. The benefit is that one central message can be delivered globally in a highly accessible format. A large pharmaceutical company can use online video to educate its international sales team about new products. It’s also a great tool for training on large products that aren’t available at every business location. For example, a manufacturer of large earth moving equipment might use Internet video to train users on new equipment. Given that it’s expensive to bring users to the machines-and even more expensive to transport machines to the users, Internet video offers an effective alternative.”

New Internet channels are springing up all the time with plenty of opportunities for B2B marketers. Attend TV, which launched in October 2006, visits exhibitions filming exhibitors on their stands with professional presenters interviewing the stand-owner, so they can demonstrate their products in detail. The video is then available for viewing on the site and the company can also put it on their own website. Director Bryan Wilkes, says, “It can be really expensive to exhibit at a show. This way, new products can be seen by a much wider audience – and allows people that weren’t able to visit the show the chance to see your products. It saves them time and money too.”

TNSInsightTvLive, which launched in February is an interactive research platform using video to combine survey capabilities with live interactive research. “It’s an online survey where respondents can see a survey moderator via a realtime video link,” explains director Arno Hummerston. “They can see a vast range of visual material such as new products concepts or trial ads and it offers brands a way to engage with respondents visually.” Again, costs are saved, as no travel is involved, while providing realtime, unique insights into customers’ needs and preferences.

The future of IPTV


It’s early days, but traffic is increasing in the sector. Bailey from Telecom TV says growth is significant with IPTV gaining a higher profile. “We’re all moving towards Web 2.0 and there’s a lot of enthusiasm for its potential,” she says. Petty from Roo TV agrees, saying, “Growth is coming from everywhere. In our experience, every media company worldwide is pursuing Internet video as a way to grow their reach, customer base and, through advertising, their revenue. It looks like the future is in IPTV.”

Related content

Access full article

Propolis logo white

B2B strategies. B2B skills.
B2B growth.

Propolis helps B2B marketers confidently build the right strategies and skills to drive growth and prove their impact.