• by David Goetzl , June 14, 2007

As cable operators continue to explore a one-stop-shop where an advertiser can launch a campaign nationally with the chance to tailor creative to specific ZIP codes or other segments, at least 67% of cable homes can now receive different versions of essentially the same ad. However, advertisers still need to make deals piecemeal, as MSOs have yet to link together to form a network so the ad can indeed reach all 67% in one fell swoop.

The latest cable operator to launch the targeting technology and bring the distribution to nearly 70% is Insight Communications--reaching 1.3 million homes in the Midwest and neighboring Kentucky--via a deal with Visible World, which provides the backbone for the ad-tweaking possibilities. Visible World offers an Adtag program allowing targeting by zone for a specific commercial--so, for example, a Ford can run basically the same spot but with a different dealer listed at the end as a call to action. It also offers Adcopy, which allows targeting spots based on the demographics of an area.

"We wanted to be able to ... provide a level of targeting that our broadcast competitors do not provide and which we believe will create more value for our partners and increase the results of their advertising campaigns," said Kevin Dowell, senior vice president of Insight's ad sales arm.

The inventory where the technology is used is the approximately two minutes an hour of local avails the MSOs sell that run on the cable networks they offer.

In addition to Insight, the top four-largest MSOs--Comcast, Time Warner Cable, Charter and Cox--are all working with Visible World to use their service, according to Visible World. The tech company said its capabilities are now available in 80 cable markets, reaching 67% of U.S. cable homes.

Recently, cable operators have been exploring some sort of way to join forces so an advertiser can run a "national" campaign with targeted permutations. MSOs have held conversations on the topic--that most agree offers a significant new revenue stream--and the industry's research operation, CableLabs, is developing a system that would facilitate it.

Calling it a "strategic imperative" for Comcast last month, CEO Brian Roberts said: "The money is humongous--and real cash."

In addition to developing the logistics, Roberts suggested the industry would need to develop a standard of ratings-style metrics for advertisers to buy off of.

Visible World said more than 150 national and regional advertisers ran campaigns with its targeting backbone last year--with automotive, media, retail and financial services among the leading categories.

Visible World investors include buyers and sellers in WPP, Comcast and Time Warner.