ADdiction
Home / News / Television Reigns Supreme as Top Consumer and Brand Medium

Television Reigns Supreme as Top Consumer and Brand Medium

— October 9, 2015
Nielsen TV stats | Aulia Masna/AdDiction

Nielsen TV stats | Aulia Masna/AdDiction

Television remains the top medium for brand communication in Indonesia even as consumers are increasingly growing mobile. While the number of television advertisements have stayed the same, the value has risen significantly over the past few years according to Nielsen’s findings as presented during the launch of Indonesia Media Guide 2015.

Perhaps, not surprisingly, tobacco advertising is leading the charge in television ad spend as there are strict restrictions on outdoor and print ads for tobacco brands. In 2015, tobacco ad spend went up by Rp 735 billion over 2014.

Other categories that contribute to the rise in year over year television ad spend are baby milk formula (+361 billion), e-commerce (+353 billion), and beauty products (+318 billion).

On a global scale, print publication is a declining industry as consumers and advertisers look towards digital as the medium of the future. However, print’s decline in Indonesia is not as dramatic as it has been in other countries and publishers have managed to keep themselves well above water despite the closures of several licensed magazines over the last two years.

Print ad spots according to Nielsen have declined from over 13,500 units in 2012 to under 10,000 this year following the closures but the rise in cost of ads have managed to keep ad expenditures higher than 2012 level albeit below 2013 and 2014.

E-commerce companies going to TV
A further evidence of television being the primary advertising channel is the fact that online commerce companies are reaching consumers through television ads. Whereas Tokobagus was the only major online company with a TV spot in 2011, others have followed suit since, contributing to a 4.8x rise in value by 2015. Traveloka, Tokopedia, BliBli, Bukalapak, OLX, and Lazada are among the big ones to go to television.

Another sign of television’s triumph over print is the fact that in 2011, ad spend by online companies was 50-50 between print and television, but in 2013, the split suddenly went to over 80% in favor of television. This year so far, print has only received less than 10% of ad spend by online companies.

Online companies choosing TV over print | Aulia Masna/AdDiction

Online companies choosing TV over print | Aulia Masna/AdDiction

The reason?

While Indonesians spend more than 2.5 hours per day on their smartphones for various activities such as chatting, browsing, and for entertainment purposes, television is still the number one medium for consumers.

Nielsen found that across three generations, Indonesians spend roughly five hours watching television per day. Gen X lead the numbers with 5:07 while Millenials spend 4:50 and Gen Z is a little bit ahead with 4:56. Given that people spend 20% of the day watching television, it’s a staggeringly high number which naturally would lure any advertiser to keep choosing television as their number one medium.

Despite all the technology that allow people to watch their favorite television shows on demand at any time after the original broadcast time, the TV watching pattern has yet to change. Prime time remains 7.00 pm to 10.00 pm with viewers starting to rise from 4.00 pm and beginning to drop off after 9.00 pm.

Tagged with:

About author

Aulia Masna

Pretty much anything you want to do in life involves a pitch, so why not dig deeper into the world where everything hinges on the pitch? Advertising is not just an industry, it's a lifeline of many industries. See it, love it, hate it, embrace it, criticize it, do it.

Related Articles

News

  • Exposure Draft Pernyataaan Standar Akuntansi Keungan (PSAK)

    — September 21, 2016

    Pada tanggal 18 Agustus 2016, Dewan Standar Akuntansi Keuangan Ikatan Akuntan Indonesia (DSAK IAI) mengeluarkan Exposure Draft Pernyataaan Standar Akuntansi Keungan (PSAK) 70: Akuntansi Aset dan Liabilitas Pengampunan Pajak, yang bertujuan untuk mengatur perlakuan akuntansi atas asset dan liabilitas yang timbul dari pengampunan pajak, sesuai dengan UU No. 11/2016 tentang “Pengampunan Pajak” Dalam ED PSAK…

  • APMF 2016 to Focus on Embracing Technology in Marketing Campaigns

    — April 13, 2016

    The biennial Asia Pacific Media Forum is back this year, scheduled to be held in Bali Nusa Dua Convention Center from 11 May until 13 May with dozens of speakers from the advertising, marketing, media, and communications industries as well as the technology sector.

Published By

Addiction TV

How Shorty Award Winner Yoga Adhitrisna Became a Copywriter

— April 27, 2015

Yoga Adhitrisna was one of the biggest names that came out of the 2014 presidential campaign. He and his company, Berakar Komunikasi, had produced one of the most prominent and wildly popular materials in support of now President Joko Widodo. The Tintin-inspired campaign also propelled the company to be one of the most successful at…

Indonesian Advertising Association to Introduce Talent Accelerator Program

— April 17, 2015

Shortage of talent seems to be a never-ending issue for a lot of industries and within the advertising scene, this is especially so given the rise in alternative positions in the digital space requiring similar talents, in addition to the increasing number of companies within the industry itself. To combat this challenge, P3I Jakarta plans…

Brands and Agencies Must Adapt as Technology Shakes the Foundations of Advertising

— April 17, 2015

Technology, the media, and content are the three most influential aspects affecting Indonesia’s advertising landscape according to Dentsu Strat CEO Janoe Arijanto. To be able to harness the emerging consumer patterns and preferences, agencies must understand the shift and pay attention to market behavior when addressing the needs of their clients. Television and print may…