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The Evolution of TV Metrics

The Evolution of TV Metrics

Television advertising has long been a cornerstone of brand marketing, evolving from the early days of Nielsen ratings to today’s sophisticated, cross-platform measurement solutions. As viewership habits shift between linear TV and streaming (CTV, OTT, etc.), so too have the ways advertisers measure success. At Lockard & Wechsler Direct (LWD), we believe there’s room for both in a smart media strategy—because the most effective campaigns harness the strengths of each platform.

The Power of Traditional TV Metrics

For decades, linear TV has relied on established measurement tools that provide valuable insights into reach, frequency, and audience composition. Some of the key traditional metrics include:

  • Gross Rating Points (GRPs) & Target Rating Points (TRPs): These metrics quantify ad exposure and audience engagement based on demographic targets.

  • Reach & Frequency: Ensuring ads are seen by the right number of people, often enough to drive action, but not excessively to cause ad fatigue.

  • Cost Per Thousand (CPM): A key efficiency metric that helps brands understand their cost of reaching 1,000 viewers.

  • Direct Response Metrics: While traditionally focused on brand-building, linear TV has always driven response—measured through call center activity, website visits, and promo code redemptions.

Despite concerns about cord-cutting, linear TV remains highly effective, particularly for mass reach, live events, and certain demographics. It continues to deliver scale in a way that no other medium has been able to replicate.

The Rise of Streaming & Advanced TV Metrics

As audiences embrace streaming platforms, new measurement methodologies have emerged, allowing for deeper audience insights and more precise attribution. Key metrics include:

  • Response Rate – Tracks direct consumer actions like calls, website visits, or app downloads. This is calculated by using specific phone numbers in ads and tracking clicks on interactive ads, QR code scans, or visits to a website after ad exposure.

  • Conversion Rate – Measures how many ad-driven responses turn into actual sales. Advertisers can directly attribute conversions by linking video ad exposure to online purchases, app downloads, or form submissions.

  • ROAS (Return on Ad Spend) – Evaluates revenue generated per dollar spent on TV advertising. With detailed first-party data and attribution models, agencies can connect ad views to purchase behaviors, providing a clearer ROAS calculation for clients.

  • Incremental Lift – Compares consumer behavior between exposed and unexposed audiences. This is done by comparing behaviors by a control and an exposed group to measure how much additional engagement, site traffic, or sales were driven by the ad exposure.

  • Brand Awareness & Favorability – Measured by partnering with third-party survey companies or streaming’s in-platform polls, social listening, and search volume trends to gauge shifts in brand perception.

Access to these metrics has allowed further advancements, such as:

  • Household-Level Targeting: Addressable TV enables brands to reach specific households, optimizing spend and reducing wasted impressions.

  • Frequency & Effective Reach – Ensures ads are seen enough times to drive action without oversaturation.

  • Attribution: Solutions like LWD’s SmartMatch 360™ provide data-driven insights into which ads are driving conversions, even in a fragmented viewing landscape. This gives brands the ability to track their ad impact across linear, streaming, and digital platforms.

  • Engagement & Completion Rates: Digital platforms track when an ad is fully viewed, giving advertisers more confidence in their placements. Coupled with social media buzz, website traffic spikes, and second-screen activity post-ad exposure, brands get a more complete understanding of consumer engagement. 

  • Cross-Platform Measurement: Advanced tools now unify data across linear, streaming, and digital touch points, offering a holistic view of media performance.

Why a Blended Approach Works Best

While some may see linear and streaming as competing forces, the reality is they complement each other. Linear TV still delivers unmatched scale and credibility, while streaming provides precision targeting and interactivity. By incorporating both into a media strategy, brands can maximize reach while optimizing performance.

At LWD, we leverage our expertise across total video to ensure brands get the best of both worlds. Whether it’s a high-impact national TV buy or a hyper-targeted streaming campaign, we believe in using the right tools for the right objectives. Because in today’s evolving media landscape, the smartest strategies embrace evolution rather than resist it.

Are you ready to build a media plan that balances reach, efficiency, and performance? Let’s talk.

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