The second annual State of Video report produced by WPP’s media investment group says linear TV has continued to sustain advertising demand, but questions as to how long this will continue to remain the case for.
“The solace for those selling linear television lies with sustained advertiser demand even as audience supply has fallen; inflating unit costs are the silver lining of audience scarcity. However, there is a difference between lack of new life and impending death.”
GroupM also says it’s important for the industry to come up with a measurement solution that enables a better understanding of viewing patterns across all screens and channels. The report points to BARB’s Project Dovetail that is expected to combine current TV panel and census data with data from mobile devices.
Among the digital challengers Amazon, Facebook, Netflix and YouTube remain with the latter holding a “staggering” number of non-traditional premium content producers. Group M says while the success of the newly launched Facebook Watch is unclear, Facebook’s future in video should not be underestimated.