Retail News: Tesco TV in 'zonal ads' shift

Tesco TV media agent JCDecaux has bowed to advertisers' demands by allowing them to broadcast the same ads throughout a store.

When Tesco TV launched last year, the network was divided into different zones in response to research suggesting that consumers preferred content tailored to the zone. It also used the network's ability to target advertising at specific areas.

However, brand owners told JCDecaux the medium would be more effective if it drove consumers toward specific areas, rather than wait for them to arrive in a particular section.

JCDecaux group sales director Spencer Berwin said that although brands will still be able to advertise within specific areas, 'running advertising throughout the store is best in terms of value'.

However, JCDecaux said informational content, such as instructions on how to make the perfect Pimms, would remain zoned.

The zoning system has been followed to some degree by rivals such as Sainsbury's, which is in the early stages of its Fresh TV trial.

Asda is also using zoning in its test stores, but said it was 'highly unlikely' it would be following Tesco's lead for its roll-out. An Asda spokeswoman said: 'People shop differently in different parts of the store.

If one of the benefits of plasma screens is to be able to target efficiently, why have blanket coverage?'

When Tesco TV was introduced, the intention was to divert marketing spend from TV. However, it has struggled to do this, and has been forced to slash its rate card by 30%.

Despite this, Berwin said sales had recovered strongly and claimed that many of the ad agencies that had been reluctant to use the medium were now taking up the opportunity.

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