This, part of a multi-million dollar upfront deal. The deal, which includes six clients (possibly Wal-Mart, P&G and Coca-Cola), will divert millions of dollars from the agency’s broadcast budget to the TV show/video content site.
As part of the deal, MediaVest will conduct research with Hulu which ad models and formats are most effective. Most Hulu ads consist of 15- to 30-second videos. The deal is the first agency-wide Hulu upfront that relies solely on demographic targeting mixes and holds the promise to deliver more precise audiences of consumer targets. It also looks to provide improved accountability compared to traditional online video metrics and move the industry closer to cross-platform buying and delivery.
Further, the deal includes custom research components to accelerate understanding of various online video ad formats’ effectiveness, from both a general ad models perspective, and in some instances, particular ad models’ effectiveness for a specific segment.
“Smarter targeting, expanded metrics, and the opportunity to test new ad experiences and their effectiveness—these are all critical ingredients for unlocking the full potential of online video and key drivers of this partnership,” says Amanda Richman, EVP, Managing Director, Digital, MediaVest USA.
Hulu is able to offer more precise demographic info than other online video sites because it combines ComScore ratings with Nielsen data for its programs. According to ComScore, Hulu had moved into the third place online video destination for the first time in April.
Measurement of online video is tough right now with multiple services providing different metrics. MediaVest is part of the recently-announced Coalition for Innovative Media Measurement, which wants a single source of cross platform measurement.
RBR-TVBR observation: The good news — and this was likely part of an upfront package deal – is that three of Hulu’s owners are News Corp., NBC Universal and Disney. So they were smart in investing in what they knew would be getting ad dollars. At least for them, the bottom line was helped here and not hurt – and that’s how they roll…!