January 25, 2023
Use Of Advanced TV Advertising Set To Rise
- by Alex Weprin , March 30, 2018
Advertisers and agencies are set to increase the use of advanced linear TV advertising this year according to the Advanced TV Primer report, which video advertising platform Videology just released.
The report found 79% of advertisers and agencies surveyed plan to use advanced linear TV over the next 12 months (defined as data-enabled or addressable TV ads). That's up from 57% who say they used advanced linear TV in the previous 12 months.
Meanwhile, traditional, linear TV advertising is on the decline, with 70% of advertisers and agencies surveyed saying they will use that legacy platform in the next 12 months, compared to 78% who say they used it over the past year.
Still, advanced TV applications have some significant headwinds, not least of which is a crowded market with dozens of distribution channels, technology firms and data providers all jockeying for space.
“Our research shows, and our experience confirms, that advertisers are extremely interested in using advanced TV ad strategies that encompass more robust first- and third-party data.
That said, there is still a level of confusion in the market,” says Scott Ferber, founder and CEO of Videology. “We hope to help advertisers understand what solutions are currently
available in the marketplace, including their limitations and capabilities....
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“Today’s TV ecosystem is a tremendously complex space when trying to piece together varying technologies and delivery systems, but we’re making a lot of progress, quickly,” he added.
I doubt that most of the respondents in this study can explain exactly what is meant by "advanced TV" and clearly the very small amount of national business written in single seller deals so far belies the implications in the findings. This goes for "addressable TV" as well. Truly "advanced TV" will only come about after the corporate buying system for national television is dispensed with and individual brand targeting for most of TV's ad spend comes into vogue. That's a long, long way of. Also, "advanced TV" only works if most of the sellers compete for business and if they allow cherry picking of their program schedules---taking the risk that many of their GRPs will not be monetized as they now are by being bundled into multi-show discounted packages along with the good stuff. Here, too, there are few signs of progress. Finally, to implement "advanced TV" you need viewer data, not very misleading and seller-friendly "big data" set usage ratings and you must find a way to go from profiling to actual consumer by consumer targeting----once again, this is way off in the future for "linear TV", which will continue to provide most of the reach and frequency attained by TV advertisers for the foreseeable future.