AdAge reports that US TV shows are still struggling to regain momentum after the recent writers strike. Coming on top of reports of increased consumption of online video it does make you wonder if this is now longterm.

For companies wanting to reach mass audiences online delivery is now a viable alternative. With forums and bloggers now creating communities of interest it is possible for organisations to create content targeted at specific groups of consumers. Social networking means that unlike TV people can pass on content or links to content freely. Whilst the total numbers watching a programme on TV maybe higher it is the relevance and targeting of online content that is of interest to advertisers. Equally of interest is the engagement and interactivity with the community that an online social networking campaign brings that TV cannot. TV despite attempts at iTV and the 'red button' still is a passive medium. You watch. That is the only option. With online you can comment. You can re-author or mash-up if you want. You can forward to friends. If companies are smart they will even respond.

From AdAge - Kimberley Clark has reduced ad spending by almost 50% in the last 3 years. Digital online and social marketing spending is increasing.

Most large advertisers are serving notice that the 'blast all channels media plan' is in decline. Higher production values and lower numbers of spots mean a re-adjustment of agency fee income. Making commission on media placements will have to be replaced by production and project management fees. This is why forward thinking ad agencies are investing in specialist digital marketing agencies and 'community or social network marketing' agencies.

Advertising agencies are wrestling with two big issues. Declining audiences and fragmenting media. The old methods of blasting out ads using broadcast and national press and hitting a big percentage of the target audience is not a simple option - as if they ever were.

A couple of years ago I was talking to a CEO who said he had decided to use overseas ad agencies and off-shore production to cut costs. They were using India and ended up with a great set of TV ads. Creative and beautifully exectuted. I met him again a few weeks ago and asked about his plans for the next few years. He said he was not sure but he did not see the value of repeating the ad campaign again - even if outsourced - as he could not really see them affording the media coverage to reach the same type of audiences again. He was wondering about social media but was unsure how to make it really work.

Here is AdAge's take on the subject.

If you are interested in the behind the scenes making of the Sony Bavia 'Bunnies' you should check this out thanks to Creativity Online.