Rovi study: Connected TV advertising drives higher brand favourability and awareness

Rovi Corporation has released the latest findings from its UK connected TV advertising study to reveal that consumers exposed to ads that use the full capabilities of a connected TV platform are significantly more affected than those that are not.

Showcasing results from a recent American Airlines ad campaign, the report, produced in partnership with Decipher Media Research, demonstrates how consumers expressed higher rates of brand favourability, awareness of key brand statements and purchase intent, as compared to a non-exposed group.

‘The New American’ campaign, which appeared on a range of connected TVs and Blu-ray Disc players, involved interactive banners strategically placed within the connected TV interface – including key positions in entertainment search areas. The interactive banners led consumers to a dedicated American Airlines branded destination where they could view video content.

As a result of this, American Airlines achieved an increase in brand favourability of 254% and saw a 308% lift in association with key brand statements.

The results also found that exposed consumers were four times more likely to book a flight on American Airlines, compared to non-exposed consumers.

“Triple digit lifts certainly make you sit up and take notice,” said Richard Johnston, Head of TV for Universal McCann Manchester, the company that created the advert.

“We’re delighted by the results of the campaign for American Airlines and, more broadly, the opportunities that advanced advertising on connected devices can afford our clients.

“Rovi Advertising streamlined the on-boarding process and provided us the key placements as well as the functionality needed to creatively engage consumers at a point of high receptivity.”

Steve Davis, American Airlines Marketing Director EMEA added: “Consumer entertainment viewing habits are clearly evolving and moving to more platforms and devices.”

As well as giving additional insights into connected TV advertising, the study also provided updated metrics on owner demographics and device usage for the first quarter 2013, signalling the rapid maturity of the Connected TV market.

For the first time since Rovi and Decipher began polling the market in 2011, females represent the largest portion of owners at 55%, with an overall decrease in 25-34 year olds and an increase in older viewers.

Respondents also indicated that the connected platform is used on a more frequent basis and accessed by more household members.

Representing a 10% increase over the previous quarter, 49% of respondents said they use the connected platform once a week or more, and 84% indicated that connected functions are accessed by more than one user in the home – an increase of 23%.

Awareness of advertising on connected TV platforms has continued to increase, with 55% of respondents in Q1 2013 claiming that they noticed advertising – an increase of 14% from Q4 2012.

In addition, one in ten claim to have also clicked on the advertising, up 8% quarter on quarter. 19% said that they went on to purchase an advertised product.

The results also found that video on demand is becoming an integral part of connected TVs, with almost one in two claiming that they purchased their connected TV to get access to VOD on the bigger screen.

Households are becoming multi-device environments and online usage has now caught up with TV viewing as connected households spent 3.6 hours online at home as well as watching TV.

Despite a recent report that found that 35% of Smart TV owners never connect to the internet via their device, Rovi and Decipher’s study found that the ‘smart’ functions of connected TVs are having a positive effect on consumers’ entertainment experiences, with 62% indicating they are more satisfied with their TV because of the advanced features.

93% of those that own a connected TV also own a tablet and said they use it as a second screen while watching TV.

Jeff Siegel, senior vice president, sales and marketing at Rovi said: “The results of the latest study are clear. Not only are connected TVs quickly moving into the mainstream, but advanced advertising on the platform has arrived and is delivering meaningful results for premium household brands.”