Arbitron Study In Social TV Space

Gail Chiasson, North American Editor

Traditional 30-second TV commercials, when integrated within an interactive, social TV programming environment, often outperform broadcast TV equivalents in brand metrics such as recall, consideration, and purchase intent, according to a new study released by Chicago-based Akoo, the world’s largest social music television network.

What is believed to be the first major Advertising Effectiveness study in the rapidly emerging social TV space was conducted by media research firm Arbitron and included Akoo advertisers in the categories of gaming consoles, quick-service restaurants, consumer electronics retail, movie studios, and mobile broadband service providers.

Many leading industry observers predict that 2010 will be the year that ‘social’ becomes a ubiquitous experience spanning all screens and ultimately transforming the broadcast TV model.

As a result of new technology, commercial avoidance, and the exodus of younger demographics, a McKinsey & Company study concluded that traditional TV advertising in 2010 would be one-third as effective as in 1990.

“The Akoo study validates that a social TV environment delivers younger, more engaged, and higher quality audiences,” says Niko Drakoulis, Akoo CEO. “These factors increase the effectiveness of traditional television advertising dramatically.”

Among numerous highlights from the Advertising Effectiveness study are that…

  • 64% of viewers who recalled QSR’s premium coffee TV spots on Akoo are planning to buy the QSR’s premium coffee. Further, 23% of viewers did not know that the QSR was serving a line of premium coffees prior to seeing the TV spots on Akoo.
  • 76% of viewers were unaware they could text a consumer electronics retailer for gift advice prior to seeing the TV ad on Akoo. However, after seeing the TV ad on Akoo, 27% of viewers were more likely to use the service for gift advice.
  • Unaided recall was measured up to 25%.

According to certified Arbitron audience measurement research, 64.5 million monthly viewers currently watch Akoo programming and advertising in 53 top markets across 30 U.S. states. Akoo’s patented technology allows the company to deliver major label music videos and original programming to a national audience, while enabling viewers in each location to participate in the local programming experience. Viewers can select programming, via SMS text message request or Akoo’s mobile application, and share it on the network, free and on-demand.

About Akoo

Akoo delivers major label music videos and original programming to 89.6 million monthly consumers in premium out-of-home environments across the U.S. Akoo empowers social engagement by uniquely enabling viewers to control programming on its high-definition TV screens with their mobile devices. Viewers can select music videos from Universal Music Group, Sony Music Entertainment, Warner Music Group, and EMI, via text message request or Akoo’s mobile app, and share them on the network, free and on-demand. Akoo’s ability to engage media-elusive demographics, while integrating brand sponsors within the media experience, results in increased advertising effectiveness.

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