For the past year, Google has been doing everything it can to prove to its advertising partners that people purchase their products after seeing ads on Google.
In October, the company announced a solution to track the purchases people made on their laptops after seeing an ad on a smartphone. Last month, it rolled out a product that tracks when people make an in-store purchase after seeing a Google ad.
But for all of the work Google has done tracking these so-called “conversions,” there’s one big hole in the company’s measurement strategy: most of the world’s really big brands aren’t necessarily trying to get people to buy a product right away.
If you think of what you see on television from brands like Nike and Bud Light, the ads are less about getting people to run to the store during halftime and more about communicating the brand’s “personality” so that people will remember it the next time they are in a store.
As a result, these big brands are spending the biggest chunks of their ad budgets on television, where they can have a full screen and 30 seconds to tell viewers their story, as opposed to an easy-to-ignore banner ad or a search link.
Not only that, brands and the media buyers who work on their behalf are comfortable with the idea that TV ads are effective because they have been buying them for decades.
According to eMarketer, brands spent $66 billion on U.S. TV ads in 2013, compared with $42.3 billion in online advertising. (Google itself books about $60 billion a year in ad sales.)
In a speech Tuesday at LUMA Partners’ Digital Media Summit in New York, Google vice president of display ad products Neal Mohan laid out the company’s plan for cutting out a slice of the $66 billion TV pie.
In Mohan’s mind, the two things that will allow Google to do this are the video storytelling capabilities of its YouTube platform and the company’s dedication to proving that its ads actually work for big brands.
Mohan told those in attendance at the Digital Media Summit that 84% of the marketers he spoke with said they would be willing to spend a 25% more of their budgets on digital advertising if they had a good way to measure the impact of their online ads.
“What I would say is that we — For more information read the original article here.