Quibi, the Newest Disruptor: Advertiser Q&A

Quibi, the Newest Disruptor: Advertiser Q&A

Advertising Video

Just when you thought you had a handle on content streaming (Netflix: check, Disney+: check), a new player has emerged with the potential to shake things up all over again. Backed by a boatload of cash and the imprimatur of Hollywood royalty like Steven Spielberg, Quibi is poised to carve a unique niche in a crowded field. Read on to learn more.

What Is Quibi?

 

Quibi is a new premium streaming service that imposes a cap on programming time: the name Quibi, in fact, is shorthand for “quick bites” of video. Quibi aims to showcase stories of 10 minutes or less; content is meant to be viewed specifically on one’s mobile phone. The platform, founded by chairman Jeffrey Katzenberg, has installed tech vet Meg Whitman as the CEO, and investors include studios like Walt Disney Co. and WarnerMedia.

What Kind of Content Will Be on Quibi?

Given the unique mobile phone focus, Quibi will be generating all new content. As Whitman tells Marketplace, “We will be the first streaming service that launches without a library.” As Whitman sees it, starting from ground zero means an opportunity to create something truly fresh: “We have . . . invested significantly in content. This is all about finding the great stories, attaching the great actors and actresses to it and getting them excited about doing something entirely new.”

Quibi expects to deliver 175 shows and 8,500 episodes in its first year. The content promises to be a diverse mix, from long-form narratives to reality programming, documentaries, food shows, and daily news programs. Given Quibi’s format, the long-form narratives will be delivered in bite-sized chunks, serial fashion (think Dickens and the serial way he delivered novels like Pickwick Papers). Whitman is quick to stress that short format doesn’t mean inferior quality. “Nothing’s lesser about the movies [we’re developing] other than the chapterized way we deliver them,” Whitman says.

Content can be downloaded, so users won’t need an active Internet connection to view programming. And quality of the viewing experience is a prime mandate. As Whitman told Marketplace, “[P]eople are watching a lot of videos on their mobile phone today, but it’s an uneven experience. Sometimes, if you’re holding the phone in portrait, it’s a little postage-stamp size, then you turn it horizontally, it’s got big black lines. Some content is only available in portrait, some is only available in landscape . . . we have to be able to have seamless portrait-to-landscape rotation with full-screen video.” To that end, the company is employing what Whitman calls “compression technology,” and reportedly working with Google to ensure flawless video streams. Whitman also notes, “[W]e shot, obviously, to the aspect ratio of the phone.”

How Is Quibi Different from YouTube and Other Platforms?

As noted, story lengths on Quibi are capped at 10 minutes. And Quibi content has specifically been created for viewing on a mobile phone.

There is a distinction between what Quibi promises and the content made for mobile phones on free platforms like, say, TikTok. Services like TikTok offer user-generated content. By contrast, filmmakers like Steven Spielberg and Catherine Hardwicke are collaborating with Quibi to create programs designed specifically for viewing via Quibi, sometimes even at certain times: “Spielberg’s After Dark” series will only appear on the service at night, for example. An untitled show devoted to zombies is reportedly being discussed with Guillermo del Toro. User experience will also be informed by how customers hold their phones: changing from vertical to horizon orientation will change what the viewer sees.

Who Is the Target Audience for Quibi?

The target audience is Millennials—ages 18 to 44. The idea is that the platform will especially appeal to consumers on the go: someone waiting in line at the bank, say, or taking a quick bus ride during which 10 minutes of content might be the perfect diversion.

When Does Quibi Launch?

The platform is due to launch in the United States on April 6, 2020, but as Whitman notes, “you don’t have to wait till then to get involved.” On Quibi.com, you can learn about new shows, the technology, and any milestones before launch date. Whitman adds, “We’ll let you know on April 6 when you can download the app from either the Apple App Store or Google Play Store.”

What Advertising Opportunities Exist on Quibi?

There will indeed be opportunities for advertisers, as users will be invited to choose between Quibi with or without ads. The service will launch, for viewers in the United States, at $4.99 a month with ads, $7.99 a month without. Whitman shares with Marketplace, “We think that most [consumers] will pick the ad-supported version because it’s a very light ad load. It’s only 2.5 minutes per hour of watching, which is much less than prime time TV, which is 17.5 minutes of advertising for every hour that you watch.” Ads will appear before a Quibi show begins and last six, 10, or 15 seconds. They will be unskippable. Advertisers already onboard include Discover, General Mills, Taco Bell, Walmart, and PepsiCo.

Quibi programming will also come with ratings to help advertisers determine whether a show is geared to mature audiences. At the WSJ Tech Live conference in October 2019, Whitman said, “[Marketers] can feel safe that their brand shows up next to content that they’re OK with.”

And because Quibi programming is structured around serialized chapters, the platform is looking into an alternative where advertisers could serialize their ads, too.

What Kind of Reception Has Quibi Received?

It’s a mixed one. Naysayers insist the endeavor is a gamble, and that the subscription fee will discourage consumers used to video content that can be viewed for free on platforms like YouTube. Katzenberg, however, is confident. “I think we are doing something that is now such a well established consumer habit,” he told NewsDio. “There are 2.5 billion people walking with these televisions in their pocket. They are already watching a billion hours of content every day. I just know that it will work.”

Quibi has tried to get out in front of its critics by building visibility through some (presumably expensive) ads during the 2020 Super Bowls and Oscars.

Not all watchers have been impressed, as this Verge article discusses.

There’s no denying Quibi has attracted some heavyweights to create content. Will consumers be willing to pay for that content? Only time will tell.

Contact True Interactive

Curious about Quibi and the opportunities this new platform affords? Contact us.

What Comes After the Super Bowl LIV Ads?

What Comes After the Super Bowl LIV Ads?

Advertising

Are you ready for some Super Bowl ads? At this point, Super Bowl advertising has become something like Black Friday: not a single day of activity like it used to be, but a phenomenon that stretches over a period of days. As of this writing, we’re seeing a number of high-profile brands rely on digital to extend the Super Bowl ad experience days and weeks prior to the big game. For example:

  • Porsche has returned to the Super Bowl ad derby for the first time since 1997 with a spot that introduces its new Taycan electric car. Through a 2-minute+ movie, “The Heist,” Porsche depicts the Taycan in an exciting chase shot in Germany, with Porsches flying through Heidelberg and the Black Forest in scenes worthy of James Bond.

  • Budweiser goes for a purpose-driven approach, with an emotional vignette of Americans performing acts of kindness. The spot, “Typical American,” urges, “America, look beyond the labels. You might be surprised by what you find.” Here we see another brand going for a powerful narrative, but without overtly promoting the product in this case.

  • Little Caesars uses storytelling to show that you can do a direct-response Super Bowl ad. Little Caesars’s First-Ever Super Bowl ad promotes delivery with savings of $5 or more versus the competition. But this being the Super Bowl, Little Caesars goes high profile by featuring actor Rainn Wilson in a spot available now.

 

You can see many more Super Bowl ads exploding across the digital world here.

Now here’s the most important question: what comes next after these brands actually run their Super Bowl ads?

Creative Parity

Super Bowl advertisers face the challenge of achieving creative parity, or ensuring that your branding is consistent across all the touch points where consumers encounter an ad.

As I wrote in a Super Bowl related blog post in 2019, what happens after you buy digital or offline media is just as important as buying that space itself — sometimes more important. A 30-second TV ad for Super Bowl LIV costs $5.6 million. That’s why businesses want to maximize the value of Super Bowl ads by sharing them, often through inventive storytelling, well beyond the big game. So, advertisers complement TV ads with video ads, display/remarketing banners, emails, social media pushes, and paid search support (to name a few).

Creative parity is harder to achieve as a brand distributes creative assets online and offline. But it’s essential to embrace creative parity or else all the hard work you put into a Super Bowl ad will be wasted when your audience sees a confusing and completely different message in the content you share on your website or social media.

Creative parity is also about customizing advertising assets across the entire purchase funnel, from top, to middle, to low. For instance, at the top of the funnel, a brand might launch a high-concept Super Bowl ad that raises awareness for a campaign or new product. At the middle of the funnel, a business may share, via retargeting, shorter bursts of content with clear calls to action in order to encourage consumers to take an action such as clicking on a banner ad. At the bottom of the funnel, promotions and call-to-actions really begin to be applied in earnest. In some cases the banners themselves disappear, as in branded paid search, but we are able to use similar language mixed in with specific promos based on the search term a user enters.

You can read a lot more about creative parity in my post, “Why You Should Strive for Creative Parity with Advertising.”

What’s Next for Super Bowl Advertisers?

So, how will Super Bowl LIV advertisers achieve creative parity? Right now, the Super Bowl derby is at the awareness stage, largely through earned, paid, and social media. (Let’s face it: journalists are always looking for content to discuss leading up to the big game. These ads meet that need nicely.) The notable exceptions are Little Caesars, which is using digital to not only raise awareness but also consideration and purchase as it seeks to take a bite out of pizza delivery sales on a huge day for pizza delivery; and Budweiser, which also banks on awareness pre-game to increase sales of its product as people shop for snacks and beverages to enjoy during the game.

In addition, the consumer packaged goods and alcohol brands generally have the strongest opportunities to lead consumers down the purchase funnel after the game, which is why so many flock to the big game with ads. Beverage SodaStream will debut its first Super Bowl ad under its PepsiCo ownership, also creating a hopeful cause-effect. Meanwhile, Planters faces an unexpected disruption of its own Super Bowl plans. The company unveiled a wildly popular “Death of Mr. Peanut” ad days ago, a humorous depiction of the iconic mascot sacrificing his life to save the lives of actors Wesley Snipes and Matt Walsh. Planters had choreographed a narrative about Mr. Peanut that would include a funeral held during the big game itself. But the tragic death of basketball legend Kobe Bryant, his daughter, and seven others in a January 26 helicopter crash compelled Planters to put the ad on pause. Whether Planters decides to re-instate the campaign remains to be seen.

I’ll be watching the days and weeks following Super Bowl LIV to see how well some of these notable brands achieve creative parity.

Contact True Interactive

To achieve creative parity with your online advertising, contact True Interactive. We’re an independent agency that optimizes branded interactions to drive traffic and increase sales.

 

 

Why Yahoo! Scores An Advertising Touchdown with NFL Live

Why Yahoo! Scores An Advertising Touchdown with NFL Live

Advertising

As more cord-cutters embrace connected TV, advertisers don’t reach as many people as they used to. We blogged recently about the fact that even blockbuster TV shows like Game of Thrones attract a fraction of the audiences that used to gather in linear television’s heyday. The change has created an environment in which content creators and advertisers are invited to find new ways to make money from digital audiences. The shift isn’t limited to shows or series, of course. It also includes live sports, with platforms and publishers such as Facebook, Twitter, Yahoo!, and YouTube landing rights to broadcast games from the likes of Major League Baseball, the NFL, and the NHL. Yahoo!, for example, has adapted to the connected TV era by providing the NFL Live experience, which, in turn, creates an opportunity for advertisers: a less expensive, more targeted way for brands to reach NFL fans.

What Is NFL Live?

NFL Live is currently the only free mobile site for watching live NFL games. Yahoo! makes free NFL viewing a reality by empowering businesses to advertise on NFL Live. Some of the advantages to advertisers are straightforward: brands get their name in front of six million+ people who have downloaded the app, for example. But it’s not just the volume that matters—it’s the ability to target viewers. Instead of buying advertising spots for certain times during a game (the third quarter of a Bears/Packers game, say), advertisers on NFL Live can reach out to particular audiences. By targeting a group as specific as women ages 25-34 making $100,000+ annually, an advertiser may not reach the largest audience — but they can reach a market they determine is uniquely suited to their brand. It’s a trade-off that can be lucrative, bringing to mind the maxim “quality versus quantity.”

Another perk: it’s less expensive to advertise on NFL Live. A typical network ad during an NFL game costs about $300,000. By contrast, there is no minimum spend for advertising on NFL Live. Advertisers can spend as much or as little as they want.

How Is Yahoo! Expanding NFL Live to Yahoo!’s Fantasy Football App?

Yahoo! has done something else. The company is ramping up its NFL Live offering by also streaming NFL games on Yahoo!’s popular Fantasy Football app. As Yahoo! Fantasy analyst Liza Loza recently said, “NFL fans all over the country can root for their favourite teams and watch all local and primetime games free and unauthenticated in the Yahoo! Fantasy Football app, the Yahoo! Sports app and other Verizon and NFL media properties on phones and tablets.” Multiple streaming locations mean a larger audience. They also hold the promise of attracting new fans. Yahoo! Sports general manager Geoff Reiss said that the digital platforms have brought in a “concentration of younger fans watching the NFL . . . Half of our fans were under the age of 40. I think one of the reasons the league was interested in working with us is we would be a means for them to reach younger audiences.”

Contact True Interactive

Yahoo! is a prime example of a business that’s adapting with the times. It’s important that advertisers remain nimble and aware of what companies like Yahoo! are doing, and capitalize on the opportunities that the changing market affords. Accept the fact that you won’t be reaching as big of an audience. Embrace the reality that you can in fact reach a much more targeted audience: one that’s smaller but more measurable. Call True Interactive for more insight into how to do that.

Are Google’s Automated Bidding Tools a Good Fit for You?

Are Google’s Automated Bidding Tools a Good Fit for You?

Google

Google continues to develop new automated bidding products that make it tempting for businesses to hand over their online advertising to Google. The latest tool is a new automated bidding option for app marketers running Google App campaign, target return on ad spend (tROAS). With tROAS, an algorithm adjusts bids higher to serve ads to people who are likely to spend more after they install an advertiser’s app. As Google announced May 8:

To grow profitably, it’s also important to also consider how much revenue you generate relative to the cost of driving those installs and actions. That’s why, you’ll soon be able to bid on a target return on ad spend (tROAS) so you can automatically pay more for users likely to spend more, and pay less for users likely to spend less. If you’re looking for users who will spend twice as much as they cost to acquire, you can set that multiplier for your tROAS bid, and it will find you the right users accordingly. tROAS will be available next month for Google App campaigns on iOS and Android globally.

I’m not surprised that Google is adding to its arsenal of bid tools. Automated bidding is important to Google. It’s a source of revenue for a business whose growth is fueled by online advertising. And based on Google’s disappointing quarterly financial results announced weeks ago, the company is feeling the pressure to improve ad revenues – which might help explain why we’re hearing more and more about automated bid tools.

Making It Easy with Automated Bid Tools

When a business lets Google handle its online advertising, Google does all the heavy lifting. You tell Google how much you are willing to bid for a keyword, and Google manages the bidding including any modification, a process illustrated here. Ideally, advertisers connect with their most relevant audiences at an optimal price. And Google rakes in revenue.

Google will tell you that automated bidding is a more efficient way to manage your campaign, and indeed Google offers many tools such as machine learning to change bids constantly.

Proceed Carefully with Automated Bid Tools

If you lack the resources and time to manage your online advertising and you want to do it all in-house, then automated bidding can be very tempting. But it’s also important that you keep in mind a few big caveats:

  • When you let Google do the driving for you, you lose control of the ability to modify a bid as your needs change, and you lose control of any targeting adjustments you might want to make.
  • You have to be comfortable that Google is representing you on its own media platform. It’s like telling a TV network to pick the shows to run your ad on and set the price for the ad for you (would you ever do that?) And yet this is the kind of conflict inherent in having Google manage ads on Google. You lose control over the ability to negotiate and set a price while Google represents your interests on its platform – and the outcome may not always be in your best interest.

You can expect Google to roll out more automated bidding tools powered by artificial intelligence, which promise to manage bid modifications more effectively.

Test the Waters

If you’re thinking of testing the waters, I suggest that you test automated bidding on a few campaigns. Don’t give Google control over your advertising right off the bat. During your test, carefully check metrics such as costs per click and costs per action. Are they improving to your satisfaction? If so, test some more campaigns with variable bids. If you decide to move forward with automated bids, then commit to staying on top of these tools so that you can learn about developments that could have an impact on your bidding strategy. Automated bidding sounds easy, but you do need to stay invested in learning as with any technology.

True Interactive has deep experience managing online advertising for clients such as these. We understand the nuances of manual and automated bidding and are happy to help you. Contact us to learn more.

How Snapfish Capitalizes on the Power of Mobile Ads

How Snapfish Capitalizes on the Power of Mobile Ads

Advertising

How do you get a 756-percent return on ad spend? Our new case study about the work we performed for Snapfish will show you. We worked with Snapfish to create ads geared toward mobile over a one-year period. Goals included increasing:

  • Awareness and downloads of the Snapfish app.
  • Purchases via the app.

The campaign reaped major results, such as a 343 increase in revenue from mobile app installs and a 756-percent return on ad spend. Our case study provides even more details.

Mobile Ads Are on the Rise

This work is significant because mobile ads are on the rise. According to a recent Forrester report, between 2017 and 2022 mobile will drive 86 percent of growth in U.S. digital ad spending. In other words, mobile is really drawing the lion’s share of all online advertising.

Mobile Is Its Own Beast

But because of the way people engage with mobile ads, you need to understand how to do mobile right. As Mobile Marketing Association (MMA) research points out, the human brain takes less than half a second to connect with a mobile ad on an emotional level. In MMA’s Cognition Neuroscience Research project, approximately 900 individuals participated in a study in which eye-tracking and EEG monitoring were used to measure what consumers saw—and how they reacted. It took 400 milliseconds on average for consumers to see and react either positively or negatively to 67 percent of the mobile ads they saw. That’s a much faster response than that to ads shown on a desktop.

Mobile ads need to be designed in a format that captures the attention of consumers within 400 milliseconds! It’s imperative for marketers to understand the impact of mobile ads in the first second. We know how to do it right, as our new case study shows. Contact us.

The Super Bowl Is Over — But the Ads Endure

The Super Bowl Is Over — But the Ads Endure

Advertising

The Super Bowl was a super bust.

Super Bowl LIII achieved its lowest ratings since 2008. The game attracted 98.2 million viewers, down from 103 million viewers in 2018 and 111 million in 2017. And the NFL cannot blame a decline in general viewership from the regular season: ratings were up for the 2018-19 NFL season overall. On a positive note, digital viewership of the Super Bowl increased to a record of 2.6 million.

So what happened? Analysts blamed the appearance of two teams that failed to stir strong interest and a defensive struggle that bored viewers (the game was tied 3-3 going into the fourth quarter).

The decline in ratings has caused some to wonder whether it’s worth it for advertisers to spend $5 million on a 30-second Super Bowl ad. Well, I think that’s the wrong question. The real question is how can businesses maximize the lifespan of a Super Bowl ad beyond the big game itself?

If you’ve followed the Super Bowl year after year, you’re probably aware that businesses preview their Super Bowl ads by dropping teaser videos online weeks before the game, thus creating buzz, just like movie trailers do before a movie release. For example, in January Pringles distributed three teaser videos extolling the virtues of stacking different Pringles flavors while watching TV. These videos were accompanied by a PR blitz that resulted in coverage in publications such as Adweek.

And then after the game, companies enjoy a lift from the post-game analysis of Super Bowl ads. Even ads that get panned by critics create attention for their brands. It’s not like viewers are going to read a post-game ad critique in Advertising Age and boycott a 30-seond spot because it got panned. The criticism might pique their interest. Beyond the post-game analysis come opportunities for brands to distribute ads across multiple venues and optimize them for search. And Burger King is using already its socials to maintain public interest in its well-received spot featuring Andy Warhol eating a Whopper.

In a blog post I published February 1, I share how advertisers use digital media to extend the life of Super Bowl spots after the big game. I discuss the importance of brands exercising creative parity, or ensuring consistent messaging across digital and offline channels. As noted above, viewership of the Super Bowl online increased. Does your digital content match what people see on linear TV? Check out my post for more insight. And contact True Interactive to ensure that your digital ads maximize their value.

Welcome to True Interactive!

Welcome to True Interactive!

Marketing

By Kurt Anagnostopoulos and Mark Smith

Welcome to a new era!

Today we officially changed the KeywordFirst name to True Interactive.

True Interactive reflects how we have evolved to become a trusted digital marketing partner that improves the performance of our clients. The KeywordFirst name served us well for many years and reflects our search roots. At the same time, over the past few years, we’ve been helping clients solve problems that extend beyond search, such as:

  • Managing digital advertising campaigns, including mobile.
  • Developing paid social strategies.
  • Managing analytics programs.

Analysts such as Clutch have noticed our evolution. In 2017, Clutch named KeywordFirst a leader in both pay-per-click advertising and all-around digital marketing — and then in 2018 as a leader for Chicago-based internet marketing services agencies. We received especially high marks from clients for the quality of our work and partnering style, as noted here.

Search is as strong as ever and remains one of our core skills. In fact, our broader experience with digital marketing has made us better at search. And now the True Interactive name reflects our present and future.

Our people and our culture remain the same. We’re as dedicated as ever to delivering results with complete transparency. True Interactive will continue to build our brand through the strength of our talent, client relationships,  and ideas for shaping the future of performance-based digital marketing.

We are excited for what the future holds!

— Kurt and Mark