Broadcast television advertising revenue is expected to grow to $81 billion dollars this year alone, buoyed by the Olympics, the World Cup, and the political advertising blitz that accompanies every election year. That’s a modest gain over the $76 billion raked in last year. But do these numbers tell the whole story? Not if you’re looking at the future of television like the folks at FreeCast Inc, a company which has grown dramatically this year without seeing a dime of that $81 billion.
As it turns out, national broadcast television is underperforming the rest of the industry, which is led by local TV stations and cable providers. But there’s a massive television advertising market that isn’t even being captured by the figures above. Just as more and more content is being created and delivered on the web, advertisers are spending more and more of their marketing budgets online than ever before. As the customers they’re trying to reach continue to dump cable television for cheaper alternatives, advertising trends are bound to follow them away from traditional media.
It turns out that advertisers have just as many reasons to cut the cord as consumers do. While cable channels draw in wide audiences, they can be hit or miss for companies who are trying to hone in on those most likely to purchase their products. With online video-on-demand, streaming, and pay-per-view services delivered via the Internet, advertisers know that they have their customers’ attention, as well as an idea of their interests. Chances are that they selected what they wanted to watch specifically, rather than landing there by happenstance while flipping through channels, unable to find a program that they actually wanted to watch. This ability to target ads to specific audiences makes those ads more valuable to marketers.
In addition to millions of hours of home-grown content available on the Internet, more and more studios are bringing their own libraries directly to customers via the web. The latest shows, blockbuster movies, and classic television can all be seen online now, without a cable company playing middle-man. FreeCast Inc, which operates the world’s most powerful online media guide, branded as Rabbit TV, takes a different approach, allowing content-creators to keep 100% of their ad revenues while giving them access to an audience of millions of subscribers. The FreeCast guide is a powerful tool for advertisers as well, as it breaks down a massive library of online content into highly specific categories based on interests for users to watch. Those same specific categories are how advertisers know that they’re getting exactly the right audience that they want to see their product. Not only is the next generation of television incredibly consumer-friendly, at a fraction of the cost of cable, it’s also full of advantages for content creators and marketers as well. Everyone gets what they want.