I read recently that the average person spends nine hours a day using social media. Obviously that has impacted Direct Response Television and television viewing in general.
The major networks are drowning in red ink as media fragmentation has hit them head on and networks that are more nimble and have less overhead are taking market share through both reality TV and new production with series like The Killing, Suits and Franklin and Bash.
Human beings are simply handling more media than ever before so how do you compete in Direct Response Television? It's actually more difficult than ever before with short form spots advertising $10 products, and media time still costing a ridiculous amount of money but there is hope albeit with conditions.
If you look at continuity businesses they seem to still be airing but the question is why? Quite simply the offers we see are gauging the lifetime value of each new customer and those producers airing those offers are savvy willing to buy customers up front knowing that they are acquiring customers for a business model not a deal.
If you are making a one time sale without continuity you better be at a 5:1 or above margin with a product that appeals to everyone and be at retail.
Things are different and the amount of offers that can work are few and between but you can't change the course of the world. Social media has shot TV in the head and no one can patch it up. Social media isn't a fad it's part of how the world communicates.
Tread carefully if you are using Direct Response TV you can lose your shirt if you aren't prepared to patiently grow a continuity business or sell a mass market product that will work at retail.
written by Brad Richdale copyright 2011 all rights reserved
copyright 2011 all rights reserved
blog founded by Bradford Richdale
