The Shift from Traditional GRPs to Advanced Currencies
For decades, the Gross Rating Point (GRP) has been the cornerstone of TV advertising measurement. However, as viewing habits fragment across linear TV, connected TV (CTV), and digital platforms, GRPs alone no longer provide a comprehensive view of ad performance.Enter advanced currencies – new measurement approaches that go beyond basic demographic data to include factors such as:
- Audience behavior and engagement
- Cross-platform reach and frequency
- Attention metrics
- Business outcomes
The Rise of Cross-Platform Measurement Solutions
As the industry transitions to advanced currencies, several cross-platform measurement solutions have emerged:
- Nielsen ONE: Aims to provide a unified view of audiences across linear and digital platforms.
- Comscore Campaign Ratings: Offers deduplicated reach and frequency measurement across TV, CTV, desktop, and mobile.
- VideoAmp: Provides planning, measurement, and optimization tools across linear TV and digital.
- iSpot.tv: Focuses on real-time ad measurement and attribution across linear and streaming.
These solutions are striving to create a "common currency" that can be used across all advertising platforms, enabling more effective planning, buying, and measurement of campaigns.
Challenges in Implementing New Currencies and Measurement Approaches
While the promise of advanced currencies is compelling, the transition is not without its challenges:
- Data Integration: Combining data from multiple sources and platforms can be complex and time-consuming.
- Industry Alignment: Achieving consensus on new measurement standards across the industry is an ongoing process.
- Legacy Systems: Many organizations are still reliant on outdated technology that may not support new measurement approaches.
- Privacy Concerns: As measurement becomes more granular, ensuring compliance with data privacy regulations becomes increasingly important.
How Converged Ad Operations Platforms Are Adapting
To support the transition to next-gen currencies, converged ad operations platforms are evolving in several key ways:
- Flexible Data Ingestion: Developing capabilities to ingest and process data from multiple measurement providers.
- Advanced Analytics: Incorporating AI and machine learning to derive actionable insights from complex datasets.
- Cross-Platform Campaign Management: Enabling unified planning, execution, and measurement across all channels.
- Real-Time Optimization: Providing tools for in-flight campaign adjustments based on performance data.
Case Study: Major Broadcaster Embraces Advanced Currencies
A leading U.S. broadcaster recently partnered with Audience Platform to transition to advanced currencies. By implementing a converged ad operations solution that supported multiple measurement providers, they were able to:
- Offer advertisers more precise targeting capabilities
- Increase ad revenue by 15% through more effective inventory monetization
- Reduce operational costs by 25% through streamlined workflows
- Improve advertiser satisfaction scores by providing more comprehensive campaign insights
Best Practices for Adopting Advanced Currencies
For media companies looking to make the transition, consider the following best practices:
- Start with a pilot program to test new measurement approaches
- Invest in staff training to ensure teams can effectively use new tools and interpret new metrics
- Collaborate with advertisers to align on measurement goals and methodologies
- Choose technology partners that offer flexibility and support for multiple currencies
- Regularly review and update processes to adapt to the evolving measurement landscape
The Role of AI and Machine Learning
Artificial intelligence and machine learning are playing an increasingly crucial role in optimizing cross-platform campaigns. These technologies enable:
- Predictive analytics for more accurate forecasting
- Automated audience segmentation and targeting
- Real-time campaign optimization based on performance data
- Anomaly detection to quickly identify and address issues
Looking Ahead: The Future of Ad Currencies and Measurement
As we look to the future, several trends are likely to shape the evolution of ad currencies and measurement:
- Increased Granularity: Measurement will become even more precise, potentially down to the individual viewer level.
- Outcome-Based Currencies: Currencies tied directly to business outcomes (e.g., sales lift, foot traffic) will gain prominence.
- Attention Metrics: Measures of viewer engagement and attention will become key components of ad currencies.
- Privacy-First Approaches: As privacy regulations evolve, new methodologies that balance measurement accuracy with user privacy will emerge.
Conclusion
The transition to next-gen currencies and cross-platform measurement represents both a challenge and an opportunity for the media industry. By embracing these changes and investing in converged ad operations solutions, media companies can position themselves for success in an increasingly complex advertising ecosystem.As the industry continues to evolve, staying informed and adaptable will be key. The future of converged ad operations is here – are you ready to embrace it?For more information on how Audience Platform can help you navigate the transition to advanced currencies and cross-platform measurement, contact us today.
