Commenting on ITV’s new marketing body, Thinkbox, in today’s Media Guardian, Jim Hytner, the former marketing boss of ITV and five (and now group brand and UK marketing director of Barclays) is positive, understanding and ready to listen – but ultimately uncertain that the initiative will make a significant difference. He also doubts that the TV hierarchy realise this.
“Only when you leave the sector do you realise that, unless you are a platform owner, the commercial TV model is still too one-dimensional. Audience equals revenue. An increase in audience means an increase in revenue; a loss in audience means a loss in revenue. This is why, in such a competitive and ever-fragmenting marketplace, the sales director’s role has become more critical than ever. This is why they have come together to try and form a “TV Bureau”, to sell the generic merits of television, as opposed to its component parts.”
Thinkbox will be pivotal to Television’s latest attempt to “woo advertisers and agencies,” says Hytner. “The sales chiefs know how difficult this will be, but I am not sure that their leaders (aside from ex-client Andy Duncan) understand all the obstacles.”
Whilst – not surprisingly, given his background – acknowledging the power of TV, Hytner cites two key reasons why Thinkbox may not have the impact some will be hoping for.
TV advertising only “forms a tiny part of our budget and therefore our days. The Barclays marketing budget is very significant and our TV spend reflects its size, but it still remains a small percentage of the total pot.”
Any significant advertiser needs specialist advice on how to best use its budget, adds Hytner, and that comes from an “array of great brains” at agencies. “The fact we can surround ourselves with great specialists is one of the factors that means it is now much harder for the commercial channels to influence budgets.”
The marketing body, launched today, has a budget of £1.5 million, with the stated aim to help advertisers “get the best out of television”. Jointly composed of commercial television companies Channel 4, Five, GMTV, IDS, ITV Sky Media, Turner Broadcasting and Viacom Brand Solutions, Thinkbox aims to work with the UK’s marketing community to promote small screen advertising as an essential communication tool.
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