The Multichannel Multiplier: Double Your Reach

Hong Kong, January 31, 2012

The Cable and Satellite Broadcasting Association of Asia (CASBAA) has released a powerful first-of-its-kind reach and frequency analysis of the definable returns on media investment in multichannel TV advertising. Commissioned by CASBAA and executed by global media agency Universal McCann, the study measures the benefits of allocating variable percentages of a US$1.75m TV budget on multichannel TV and Free-to-Air (FTA) in seven key Asia-Pacific markets: Australia, Hong Kong, the Philippines, India, Malaysia, Singapore and Taiwan.

“The clear advantage of advertising on multichannel TV becomes self evident when simulating real-life budgeting scenarios via robust Peoplemeter data,” said Simon Twiston Davies, CEO, CASBAA. “The numbers demonstrate that multichannel TV makes undeniable fiscal sense when reach and return on investment are optimized.”

"This powerful new look at TV data allows to us to better understand that for a regional campaign, switching a portion of the budget onto regional multichannel TV channels means we can deliver higher reach at a lower cost-per-thousand for our clients," said Chris Skinner, Managing Director, Universal McCann Hong Kong.

Highlights from the study (audience: 4+):

  • In the seven markets measured, a 100% allocation of a $1.75m budget to FTA results in a campaign viewed by just 33% of the TV population.
  • Campaign reach increases from 33% to 56% when half of the TV budget is redistributed to multichannel TV from FTA only TV allocation.
  • A 50/50 combination of FTA and multichannel TV sees total impressions (gross number of times a commercial is viewed) multiplied by 2.5 times from an FTA only schedule: increasing from 537 million to 1.4 billion.
  • Using multichannel TV lowers cost per thousand (CPT) by up to 60% in a 50/50 multichannel TV/FTA combination versus an FTA only schedule.

 “Campaigns that allocate part of their terrestrial TV budget to multichannel TV reap the rewards,” added Twiston Davies. “The research tells us that you can effectively double your reach, increase the viewing frequency of ads, and lower your CPT – all with no extra investment.” 

A similar trend was also monitored when the demographics data was analyzed to reflect key age, gender and socio-economic groups.

In the coming months CASBAA will release yet more data from two other global media agencies supporting the case for multichannel TV advertising.

The complete study is available at http://www.casbaa.com/atac/features.