Search Engine Optimisation Web Log (BLOG)
Editor: Matt Paines

| This News Blog is dedicated to bringing news, information and innovations targeting the Search Engine Optimisation industry.

Online advertising hits TV as cuts announced at ITV

Independent UK TV company, ITV, has announced it is having to cut up to 600 jobs across its various businesses. The move comes following a steady decline in advertising revenues, culminating in a sudden drop in recent times with the current financial situation.

Advertising revenues for traditional media such as print, radio and TV have been in decline. Not only is advertising in this manor non specific to needs, but tracking the impact and making minor changes during a campaign can be difficult. Online advertising has been weathering the storm a great deal better. This is because ads can be tailored to specific needs, are more easily measured and poor performing ads can be changed quickly.

There is still a place for traditional media, for instance brand and product awareness but even this is under threat with social media sites. Brand advertising on social media is set to explode in the near future. A recent campaign we ran supplied a Million Impressions in one day, for next to no cost. How much would a million circulation from TV or radio cost?

This said however, in my view, ITV's intension to sell Scoot and Friends Re-United could be an error. Friends Re-United was in the position to do what FaceBook and MySpace have achieved, but they could have done it 2 or 3 years earlier. Friends Re-United had the wrong model, make it useful, make it free - earn later from impression and click ads. Google demonstrated that 8 years ago when they released Adwords onto a site that at the time had no monitorisation - but was just useful and free.

The same goes for how people use pirate online TV and film services. Whilst ITV, Sky and the BBC now put their programmes online, all systems are flawed with restrictive practices. Online is about openness, and whilst online is uncharted territory, if the big TV producers had a central depository making all television available on demand in one place, for free, they might just be able to combat the threat of pirate TV and would find themselves in control of their advertising revenues again.

Hell I should be on consultancy rates, time to embrace the technology guys!

Comment:

Become a Fan on Facebook

Follow Matt on Twitter