adtechcollectiveCOVID-19 and its impact on media and advertising so far...
Updated: Jul 24, 2020
What are consumers watching these days?
As the pandemic continues to rise, and we continue to shelter in place, media consumption has increased by 60%, according to Nielsen. Consumers are turning to local news outlets for information and streaming services to ease their minds and keep their kids entertained.
With an increase in TV viewing, there's a potential opportunity for advertisers to reach a bigger captive audience with brand messages. On the other hand, Nielsen noted, consumers "may not risk leaving their homes to spend," and so may not be as receptive to call-to-action advertising.
Pivoting as a result of COVID-19 and increase in viewership
As a result of the shift in consumer behavior and people spending more time at home, advertisers are switching their strategy. eMarketer lowered its 2020 global ad spend forecast in March, revising estimates down from $712 billion to $691.7 billion due to the coronavirus pandemic's effect on media and commerce.
The $20 billion global decline is an optimistic forecast, and the ad industry should expect more losses and another downward revision when eMarketer releases its next ad spend update at the end of Q3 this year.
Above are examples of how agencies are shifting budgets across media due to the overall shift in media consumption.
How brands shifting their advertising strategy
Right now, brands need to be supportive and useful to the communities they serve in the most practical way possible.
A survey of more than 35,000 consumers globally by Kantar found that just 8% thought brands should stop advertising. However, there is a clear expectation that companies should keep and the
community and people in mind. With 78% of consumers believing brands should help them in their daily lives, 75% saying brands should inform people of what they're doing and 74% thinking companies should not exploit the situation.
Below are some examples of brands that have taken steps to show their commitment to their people during this time:
The Estée Lauder Companies Announces It's Joining the Hand-Sanitizer Production Efforts
Billboards spoiling Netflix series to make you stay at home go viral
Zoom lifts its meeting time limit on free accounts for schools
This pandemic is one of a kind and has truly put the whole world at a standstill. Workforces in some states are being reduced by 50%, mandatory work from home and some people unfortunately even laid off. But with all of that, there is still a silver lining when it comes to networking, and here are some tips to help you beef up your game while we continue to navigate our new normal.