1) U.S. TV households — 119.6M
2) Maserati sales — 7K
3) Households / Maseratis sold — 17K
Only 1 out of every 17K U.S. households bought a Maserati in 2017 and yet addressable advertising allows them to effectively advertise on television/digital.
This is why both addressable and advanced TV advertising holds so much promise.
Quote from Mike Biscoe — GM for Great Britain region @ Maserati:
“If Maserati were to try and run a traditional TV campaign, then we would probably end up wasting something in the order of 95 percent of the investment… It’s either addressable TV or nothing because I can’t afford to go broadcast. If I had an infinite marketing budget, then I could afford to wait to get payback over 15 years. The power of TV as a creative medium is undeniable, but it’s something which hasn’t been cost-effective for us in the past.”
Huge market for targeted advertising: Morgan Stanley recently estimated that YouTube would be worth $160B if it were a stand-alone company.
PSA: YouTube is now worth ≈ 100X the original $1.65B that Google purchased it for back in 2006.