Dear ROGER,

Welcome to the August 2023 issue of Key Notes - Marketing Keys' monthly newsletter! We hope everyone is finding the time to enjoy this beautiful summer while being productive! Key Notes is an informative, quick-read newsletter to get you caught up on all things media and marketing. Our goal is for you to be informed and entertained with the latest media and marketing happenings quickly and efficiently. 

You may be in the middle of planning for the upcoming year. Media planning is like putting a puzzle together, with multiple pieces needed to create the whole picture. However, many brands skip some pieces or do not use some pieces at all, making it hard for them to see the picture.

Many brands plan their media strategies from the bottom of the funnel first, meaning when a consumer converts. Since they are so heavily focused on this end goal, they can miss important steps to get there. They may also think a certain type of media won't help them meet this goal, leaving it out of their plan altogether. When brands do this, they are limiting how far their business can go. It is important for brands to test out different types of media and reach consumers at multiple points to help them go through their customer journey.

Many brands also stick to one or two platforms that they know are succeeding. However, it is important for brands to test out different platforms to help maximize their audience reach and visibility. It's important for brands to think about where their consumers spend their time so they are getting the best return possible.

It's also important to note not to put all your eggs in one basket. For example, many advertisers prefer online marketing now since it is trackable. They can see from the reporting how many people viewed their ad, how many clicked on the ad and how many eventually converted and bought the product. However, if you focus 100% of your resources on digital, you lose out on the tremendous branding capabilities that traditional media brings to the table. A billboard campaign, a radio campaign, a print campaign, a TV campaign can help a company brand itself in the marketplace. That is invaluable. We strongly encourage advertisers to blend the right mix of offline and online media.

Many brands put their ideas out in the advertising world without thinking about their audience. Now that it is being more difficult to reach consumers, it is super vital that brands know where to put their advertisements and how to engage their audience.

If you are a brand looking to complete the puzzle, make sure to take a step back and adopt a more comprehensive perspective. If you need assistance, we are here to help!

Recently, I was engaged in a conversation at a client's place with millenials. They were asking me when their feature will be shown on TV. I had given them a 30 minute window of when the feature would run. Finally, I said, 'It may be easier to just DVR it and then you can go back and watch the feature.' Well, after saying that, I showed my age and they proceeded to laugh at me. Their response? 'Nobody has a DVR anymore!'

As people cut the cord and eliminate having a DVR in their household, many households are converting to 100% streaming. Are you one of 6.6 million people subscribed to YouTube TV? With many people switching over to streaming, YouTube TV has been gaining subscribers. It is only 5th in U.S. pay TV providers!

YouTube TV also has a NFL "Sunday Ticket" package starting next month, which will only help increase its subscribers. YouTube TV also continues to be on the rise as other pay TV providers are slowing down, such as Dish and Hulu+Live TV.

The YouTube video-on-demand website also leads viewing share of the streaming TV marketplace, even over Netflix! A reason many consumers are starting to use YouTube TV more is the familiarity with the brand. Consumers may believe YouTube TV will have an ease of access and will be easy to cancel as well.

With YouTube TV on the rise, this may be a great time for brands to start thinking of ways to advertise on the platform, if they haven't done so already.

If you are a sports fan, chances are you have watched NBC Sports Chicago to catch the Bulls, Blackhawks and/or Sox. In the past, you may have seen the Cubs on NBC Sports Chicago too before they started their own Marquee network. Unfortunately, due to the cord cutting (see story above), Regional Sports Networks, such as NBC Sports Chicago, are on the decline. Many sports fan use RSNs to watch live games, but this is becoming more difficult with the cord-cutting plague. Regional Sports Networks make their money from a specific $ amount from each cable subscriber. For example, NBC Sports Chicago may receive $15/month from each Comcast subscriber in the Chicagoland area. However, if the number of Comcast subscribers in a certain market like Chicago declines, then the monthly revenue that NBC Sports Chicago or another RSN receives also is greatly impacted.

Many RSNs have felt this effect already with Warner Bros. Discovery making its exit in the RSN business. Diamond Sports has also been under scrutiny as they have missed multiple payments to MLB teams and filing for Chapter 11 bankruptcy. So what does the future of RSNs look like?

Professional teams have started to make new broadcast deals that combines local broadcast TV with direct-to-consumer streaming services. However, these deals aren't paying as much as RSNs could. A direct-to-consumer option is a great alternative for cord-cutters, but subscriptions can rise and fall due to a team's success.

Many RSNs are experimenting with the direct-to-consumer offering, with YES Network debuting a "YES Rewards" system that allows users to earn prizes for watching games. Monumental Sports Network is also experimenting with producing alternate announcer feeds for games. However, the biggest challenge for RSNs turning to direct-to-consumer is getting consumers to use it.

Some people believe live sports could even go national. However, the RSN struggles are already showing their impact in the TV business with major players making moves away from the business. It will be interesting to see other ways RSNs experiment with this changing landscape and what the future of RSNs will look like.

2024 is already right around the corner, and many have some positive vibes. Recently, there has been a lot of positive economic news being reported. CommsCo PR surveyed 250 marketing and communications professionals about their feelings towards next year.

People are more stressed this year compared to last year, with 63% saying they are expected to do more with less. However, more than half are still increasing their media budget.

With AI becoming more popular, this adds on another technology people need to think about. 45% believe AI will drive more investment into marketing. Also, 65% say AI will drive productivity.

Many feel that business will pick up next year. Are you feeling these same vibes?

How often someone uses a streaming app per month is correlated to how long they keep that app. More than 70% of smart-TV owners use a streaming app for three months or less. So how can platforms increase their retention period?

Advertising that is targeted towards light monthly users has shown an increase in how long they keep the app. However, even the most successful apps have an issue with retention and loyalty. Many users quickly lose interest in an app or use it for a lot in a short period of time.

It is becoming extremely important for platforms to figure out ways to have their audience use their app more. Advertising has shown success in getting light users to return back to an app, but is there more that platforms can do?

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