Skip to main content

LeoVegas And The 'Death' Of Traditional TV Advertising

28 September 2019

If you attended our recent Social Success workshop, you may remember how we spoke about the death of traditional advertising, including good old-fashioned TV ads. This is largely driven by households transitioning from traditional TV to online ad-free streaming services, such as Netflix and Amazon Prime. A 2019 Ofcom report on the nation’s media consumption revealed that 47% of households use an online streaming service. So, where does this leave businesses who still utilise TV advertising? 

‘47% of households use an online streaming service.’

As we mentioned at our workshop, everyone is always on their phone. Statista reported in 2017 that 94% of adults in the UK own a mobile phone, and this percentage is only increasing. Whilst the TV ads are on, walking down the street and whilst travelling. Mobile phone users are also most likely on social media; scrolling through their Facebook or Instagram feeds. 
This brings us to a Facebook case study, where Swedish mobile casino and sports betting specialist LeoVegas tested Facebook video ads against a traditional TV campaign. Founded in Stockholm in 2011, LeoVegas has grown rapidly, to provide the ultimate mobile gaming experience in several international markets. 
However, LeoVegas wanted to increase brand awareness and reach a larger audience around Christmas and New Year in Denmark. They decided to run a two-week Facebook video ad campaign alongside television ads at the end of 2018 and into the New Year. An identical target demographic was used for both campaigns, to be able to make meaningful comparisons between both the TV and online campaigns. 
In the video ads, brand ambassadors told seasonally relevant stories and introduced the free spins and cash prizes that were available to be won. For the facebook ads, LeoVegas used the reach and frequency ad-buying tool to maximise its audience while also controlling ad frequency to maintain an optimum level. LeoVegas also used Facebook Automatic Placements - which optimizes ads in real-time to get them in front of users who are more likely to take action based on the campaign objective.

‘For the facebook ads, LeoVegas used the reach and frequency ad-buying tool to maximise its audience while also controlling ad frequency to maintain an optimum level.’

After the campaign, LeoVegas were able to compare the results of its attention-grabbing Facebook and Instagram campaign with its TV campaign. They found that Facebook reached more people within the ages of 18-44, as well as the following results:

    • 4X more cost-efficient reach with Facebook than TV.


    • 28% incremental reach for Facebook, compared to 20% reach for TV.


    • 84% of impressions delivered inside 21–50 target age group, compared to 53% for TV.


    • 4.2 Facebook ad frequency, compared to 10.6 for TV.

The results of this case study make evident that social media video ads are more effective than traditional TV ads. Julia Piotrowski, Marketing Manager in Denmark of LeoVegas commented on the success of the campaign: “We see Facebook continuing to play an important role in delivering incremental reach alongside TV, as it allows us to cost-effectively engage with hard-to-reach, digital-first consumers.”
By utilising Facebook, LeoVegas were able to target their exact audience and get a higher ROI (return on investment) from using the reach and frequency ad-buying tools. Facebook’s technology constantly optimized the ads in real-time, to reach the right people. This resulted in a higher reach, higher impressions and a more cost-effective campaign, with a measurable ROI. 
Here at Gather, we use the same techniques, optimizing campaigns with Facebook’s advanced technology. If your business needs a boost through social media, Gather Social is here to help. We specialise in helping businesses see results through their social media campaigns and adverts. Contact us today to find out how we can help you.