Writer’s Strike, Opportunity for New Video Formats?

Emily Riley | December 10, 2007, 09:15 PM

With the TV writer’s strike likely to last into the new year, it has been noted that advertisers will be left with open ended budgets to re-allocate, not only for the rest of this season, but potentially into next season. The Jack Meyers report estimated $600 million at stake this season, most of which they predict will go into other TV forms including cable. Additionally, Mediaweek reported that NBC and others are starting to give refunds to advertisers in the case of low ratings, some checks reaching $500k or more. For networks with decent-sized web properties interested in keeping their money, it would seem that now would be a good time to push their Internet play to a new level. To be sure, many of them are trying, but there are still major obstacles to getting a one-season $500k advertiser budget to work on a single online web property, let alone multiple budgets of that size or more.
That advertisers have more money than they can spend is a good problem for publishers to have. While there isn’t nearly as much consumer video watching online as on TV, formats are small and content is light, there certainly is enough consumer activity online to warrant an attempt at filling the gap. I think publishers need to reassess the true value of their web properties in a time where TV is rapidly losing value.
The web needs a better case for offering impact, reach and frequency. Can the industry come up with ad formats that give more advertisers more inventory or more bang for their buck? I know Adify is trying that one. Is the full screen commercial taboo unless the user is watching Joost format video? Ultramercial has been quiet lately. And why is high frequency always a negative online? Anyone watching Sunday night football will know that “more is more” when it comes to frequency on TV lately. Maybe we have what we need after all.