The Case for More Expensive TV Ads

Internet Advertising Vet Dave Morgan Explains Why TV Ads Are 'Wildly Underpriced'

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Today at Business Insider's Ignition 2010, Dave Morgan made an uncommon claim for an Internet advertising veteran, particularly one who pioneered the kind of targeting everyone takes advantage of today.

His claim: that TV ads, the blunt instrument of marketing and the $70 billion-pound gorilla of advertising, are "wildly underpriced."

For many entrepreneurs in digital media or marketing, it's an article of faith that once internet-like data is applied to TV advertising the emperor will be shown to have no clothes. But what if the opposite is true?

For the past couple of years, after his exit from AOL, Morgan has been boot-strapping a startup, Simulmedia, which is about using Internet-like targeting techniques to direct the right TV ads to the right audience at the right time.

So why are TV ads so underpriced? In the spirit of Business Insider, we offer 12 slides, courtesy of Mr. Morgan:

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