FT Digital Media & Broadcasting Conference: Advertisers need to tap into new digital formats

Social media and catch-up TV services offer “exciting” new advertising opportunities but marketers need to get up to speed to make the most of them, according to the ‘Future of Online’ panel at yesterday’s FT Digital Media & Broadcasting Conference 2010.

“In this industry, its a lack of speed that kills,” Rishad Tobaccowala, a member of the management board at VivaKi said.  He believes its about constantly looking to the future  and innovating to find the best way to do things, something which advertisers have been slow to pick up on.

When it comes to social media in particular, traditional ads are not effective, according to Facebook’s UK commercial director Stephen Haines.  For him, advertisers need to stop placing display ads and start focusing on engagement.

Haines used Walkers as an example of a successful brand awareness campaign on the social networking site, which used a poll to decide on a new flavour.  “It is about making sure the user is at the forefront,” he said.

The Facebook director claims that users are talking about brands anyway, so if marketers can pick up on that and start engaging in a way that works for the user, social media will become “the most effective form of advertising”.

“Users are savvy, as are marketers but they need to think differently and move away from click and display ads,” he said.  “It’s challenging but hugely exciting, moving to a new model.  Marketers just need to be clear of their objectives.”

ITV’s director of online Ben McOwen Wilson agrees that online offers a way of re-shaping relationships with viewers.  During the last X Factor series, for example, 25% of viewers were catching up via the broadcaster’s on-demand service ITV Player, according to McOwen Wilson.

ITV used this opportunity to create an X Factor presence online, working with Facebook to develop stronger relationships between the viewers and the brand.  The broadcaster set up a Facebook group, which not only had all the latest info and let users vote on who they’d like to see win the competition, but also featured pictures of Dannii and Cheryl to let fans discuss what they were wearing, alongside fashion brand ads.

“It’s about delivering the right message to the right person at the right time,” Jonathan Nelson, CEO of Omnicom Digital said.  The panel were in agreement that relevance is the key when it comes to online advertising.

However, as well as developing new ad formats to engage audiences, advertisers also need to overcome the challenges around privacy, according to the panel.  Tobaccowala said “people still care about privacy” and advertisers cannot ignore that.

“Larger players are being too flippant at the moment,” McOwen Wilson added.  For him, brands need to work on creating campaigns that are “useful to users”, something which will make their online experience richer and get away from intrusive ads, which interrupt people’s online experience.