Commentary

Play Commercials Softly But Carry A Big Streaming Ad Shtick - Somewhere

If like me, you have a long-time habit of muting TV commercials, this might come as good news -- starting next year, there will be a ban on loud advertising on streaming platforms -- in California.

But beware that brands still need your engagement.

Major streaming services won’t be able to “transmit the audio of commercial advertisements louder than the video content the advertisements accompany,” according to the bill's text.

Netflix and Disney+ are among others that have been cited in the new legislation.

The Federal Communications Commission’s Commercial Advertisement Loudness Mitigation already exists for linear TV and radio but does not currently apply to streamers.

The FCC does not have regulation over streamers (but it does have regulation over internet providers that distribute streaming content).

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Streamers are already held back -- informally when it comes to the broader commercial scene.

Consumers' expectations are already conditioned to buying into companies’ “limited advertising” on platforms -- around 4-6 minutes by hour -- which is not regulated.

The Motion Picture Association of America -- which represents the likes of Netflix, Walt Disney, Paramount Skydance, and Warner Bros. Discovery -- believes this bill is unnecessary. It says streamers have already “undertaken reasonable efforts to adjust the loudness of advertisements.”

Overall, premium streaming platforms still have lots of freedom to do what they please -- in terms of racy content, promotional content, program discovery and other areas.

Not so for live, linear TV stations/networks, which are heavily regulated by the FCC.

But now the FCC has been seriously considering a major rule in dropping the limits for TV station ownership -- which are capped to no more than 39% of U.S. TV households, especially in a rising competitive streaming video marketplace.

Why the loud ad messaging? There is rising disruptive ad-supported media everywhere.

Specifically there is also a glut of streaming inventory overall. And then we can factor in those more heavily FAST (free advertising-supported streaming TV) networks Tubi, Pluto and Roku Channel. Brands are still looking for better breakthrough engagement with their messaging.

Loud volume surely gets some of that -- as well as annoyance. If that goes away, what’s left? Maybe some visually shocking screen content with wild colors or imagery.

Eyes on the screen issues aside, my mute remote key doesn’t work so well on that.

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