More B2B brands are choosing to add television to their marketing mix, but what appeal does the traditionally B2C channel hold? Maxine-Laurie Marshall investigates
Television used to be a space where many B2B marketers feared to tread. However, in the last few months several B2B brands – DHL, Viking and Citrix, for example – have taken to the small screen to spread their messages.
Television marketing used to be considered too expensive and consumer orientated, so what’s changed? Why are B2B brands now turning to TV and are they utilising its advancing technology i.e. Internet-connected TV?
Current activity
The lines between home and work life are becoming increasingly blurred and the raft of B2B TV campaigns entering your living room of an evening are adding to this. Two of the brands turning to TV are Citrix and Viking. Technology company Citrix has just finished its latest TV campaign designed to raise awareness of its new ‘HDFaces’ functionality. When asked why TV was the medium of choice, Andrew Millard, senior director marketing at Citrix, says, “TV advertising has proven to be successful for us as it provides a way of illustrating how simple and easy our products are to use.”
As well as product demonstrations, TV campaigns are used to build brands. Viking ran a TV campaign, from May to July, then again in September, to support its rebrand. Speaking about the adverts, Sophie Christopher, head of services, events and external marketing communications for Office Depot – Viking’s parent brand, says, “Television advertising allows people to develop an emotional attachment to a brand in a way that successfully engages potential new customers.” Not denying that cost is an issue for many brands when thinking about TV advertising, Christopher says, “As always, cost is the most significant barrier for many businesses that seek to advertise in this way.”
Insisting this shouldn’t act as a permanent barrier, she continues, “In light of the wide range of television advertising packages available, businesses should ensure they’ve fully investigated these before ruling the option out.”
Money box
Many industry voices are in agreement with Christopher. Neil Fox, partner and head of strategy at TDA, says, “As TV becomes ever more fragmented, the cost of airtime is cheaper.” While Leila Gould, head of TV at media planning and buying agency, Total Media, highlights, “TV fragmentation means there are now more than 500 channels. This has brought the cost of TV advertising down but also enables highly targeted niche campaigns.” But just because it’s cheap(er) doesn’t mean it’s worthy. Think of the January sales and you’ll get the point.
Paul Thompson, group marketing manager at Pailton Engineering, says the ‘one-to-many’ nature of TV advertising doesn’t add up financially for him or other B2B brands with a limited or niche customer base. “The number of potential decision makers or influencers that can be reached for our products – being by their nature few in number – would mean running TV campaigns in many countries. The costs of producing this number of regional adverts and regional campaigns would be prohibitive.”
Further questioning television’s relevance for B2B marketers, Patricia Harriss, business development director at DirectionGroup, says, “TV advertising is very useful to create awareness and consideration, but other factors in B2B muddy the waters – longer sales cycles and the time lag between TV advertising and a sale taking place, the purchase decision-making unit is just that – a number of people, not just one. Brands that can afford it, however, should not necessarily dismiss the use of TV advertising.”
Despite the mixed feelings towards TV for B2B marketers, recent research suggests TV campaigns have seen an increase in ROI. According to a survey commissioned by the marketing body for commercial TV in the UK, Thinkbox, ROI from television campaigns is 22 per cent higher now than five years ago. The survey also revealed TV advertising created the most profit with an average return of £1.70 for every £1 spent.
Further advocating TV as an accountable medium, Mark Jarvis, buying director at media agency The7stars, says, “Television is highly measurable. In fact, only online marketing is more so. BARB (Broadcaster’s Audience Research Board) has been around for years and its findings on TV audiences are well regarded in every sector.” If television is the second most accountable marketing medium and online is the first, imagine the capabilities if the two are combined. With the advent of Internet-connected TVs, that time is practically upon us.
TV gets techy
It has been reported that business information provider, Informa predicts TV manufacturers will sell 52 million Internet-connected TVs over 2011. Gould believes adding Internet to television will see the medium’s success increase greatly. “With Internet-enabled TVs, you can seamlessly link TV commercials with online content. This extends a customer’s engagement with your brand and creates a direct path to conversion and purchase. As a combination, TV and the Internet will allow companies to follow the customer journey from awareness to purchase.”
As well as customers now being a click away from your products, Jarvis believes it allows for even better targeting. “The advantage is that it allows for highly targeted measurement, perhaps even by location and demographic, and has immense value as a CRM tool.”
Most are in agreement that Internet-connected TVs have significant benefits for marketers. The IAB and video agency, Adjust Your Set surveyed over 200 IAB members and 85 per cent say they are interested in the opportunities afforded to them. But only 12 per cent have a strategy in place.
The survey also revealed 68 per cent of respondents felt that customers would only ‘plug in’ their connected TVs once the trend becomes more widespread.
B2B marketers would be wise to make sure they’re monitoring their target audience and are prepared to take full advantage of this seemingly lucrative partnership between television and the online world.
B2B does TV: The campaigns
Most B2B TV campaigns work well when targeted at SMEs, details of a few such campaigns are below.
Viking: The European arm of office supplier Office Depot ran its adverts in the spring then again in the autumn. It saw increased searches and sales among the SME sector.
1&1: The web hosting company ran a primetime campaign aimed at start-ups, tradesmen and professionals. Its UK campaign activity totalled eight million and integrated TV with print.
Citrix: Its month-long campaign, designed to raise awareness of its new high definition group video function, ran from October to November and was integrated with radio advertising.
DHL: October saw the logistics company launch its largest global campaign for a decade with its ‘Speed of yellow’ adverts. They will be screened on 280 television stations and translated into 25 languages.
IronmongeryDirect: Wanting to ‘test the viability of a TV and radio campaign’ it launched its TV campaign, targeted at tradesmen, in November, and ads are being aired during evening and weekend slots.
