Brand-funded TV content has been hovering in the background for years and it’s going to be pushed further into the mainstream in the near future.
Commercial television broadcaster Network Ten has recently announced that they plan to increase their revenue by expanding their use of brand-funded content in 2015. After posting losses for the last few years, Network Ten believes that brand-funded content is the answer and if they are right, other networks are likely to follow suit.
The switch in focus from broadcaster produced content to brand-funded content could potentially have a number of implications (good and bad) for SMEs, especially those who are already struggling to compete against larger multinational organisations and their big marketing budgets.
What is brand-funded content?
Brand-funded content is content which is produced and funded by advertisers instead of by the television network. Better Homes and Gardens is a well-known example of brand funded content that works by providing relevant and valuable information to its viewers while at the same time promoting its products and overall brand.
At its core a very powerful form of content marketing, brand-funded content seeks to raise the profile of its brand, through providing useful and relevant information to its audience.
Brand-funded television content has the capability to take content marketing up a level from You Tube and video blog posts, but it does come at a substantial cost, which might make it out of reach of the average small to medium sized business owner.
How will SMEs be affected by increased brand-funded content?
The increase in brand-funded content will open up a number of new opportunities for SMEs to increase their visibility and make use of this highly effective form of content marketing. Where traditionally the only way to get on television has been through paying for TV advertising, which viewers who watch TV via set top boxes often have the means to fast forward through, brand-funded television shows open up a way for brands themselves to become the star of the show and potentially build their authority with tens of thousands of viewers.
The likely downside of brand-funded content is that is will be expensive, especially on a network like Ten. The network is reportedly expecting to raise around $200 million through brand-funded television shows. This could make it out of the reach of the average SME, unless they are prepared to splash out a fortune on their marketing.
Branded TV content can also be integrated easily with social media, which makes it a great tool for businesses to build and consolidate their presence across a number of different channels. TV advertising has been highly successful for many businesses and branded TV content could potentially have similar, if not even more benefits for those who are able to take advantage of it.
For other, smaller businesses who might not have the budget to cover the costs, it could lead to them falling further behind and looking for other ways to compete with the big organisations.
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About the Author:
Jo Macdermott is the Chief Marketing Consultant at Next Marketing in Melbourne. She has 15 years of marketing experience, is a Certified Practising Marketer and is a sought after marketing media commentator. Jo specialises in working with small and medium businesses. Follow her on Twitter here.
