Advanced TV is an umbrella term that refers to television advertising that evolves beyond the traditional, linear TV delivery models. Aligning data with television uses technology to make linear television more of a precision tool for audience targeting, much like what buyers use and prefer with digital platforms. Combining television’s ability to bring broad awareness to an audience with the ability to closely target that audience is a welcomed development in the advertising world.

Recent trends have seen cable penetration in a decline.  However, now those same set-top boxes are having a renewed importance.  Behavior and 1st and 3rd party information such as purchase data can be matched to cable set-top boxes. These data segments can be ingested through the cable providers such as Comcast, Spectrum, and AT&T.  That data is then used as either addressable tv, where a commercial is served to specific households meeting the data criteria, or as linear targeted, where the data is used to inform which cable networks and programming the intended target is viewing.

Advanced TV targeting enables advertisers to serve one ad to one household with addressable as opposed to broadcasting the same ad to all households.  This improves effective spending and more closely targeted campaigns, decreasing waste in advertising dollars broadcasting to all households.  Previously, mass media efforts could reach targets who would potentially never be a prospect. 

Roughly one-eighth of TV inventory today is available for addressable advertising. 

What does that mean for you?  There are more than 60 million households in the U.S. that can be served addressable ads on traditional cable and satellite TV.  Use this to talk directly to your audience.  No more waste.

television targetingAre you using strategic messaging?

Finely tuned targeting can inform creative. Very specific audiences in television environments have sprung from the overwhelming amount of content on so many platforms and can now be closely targeted using advanced tv technologies. Savvy advertisers can plan holistically with both media and creative strategies.  Since it will be known which spots a user has seen, sequential messaging can come into play – new ways of breaking up the creative and telling the story of the product.

Pause-vertising

OTT is seeing more capabilities evolve.  Besides the advertiser-friendly technology prohibiting the skipping though a commercial (unless the user is paying a premium for no ads), Hulu and AT&T are introducing an ad that pops up when the user pauses the show or movie they’re viewing.  This is dubbed “pause-vertising”. 

Foot attribution – placing a pixel in the ad and tracking that user to a geo-fenced location – is another development in the OTT world for metrics and measurement.

OTT subscription revenue rose 37% in 2018 to $16.3 billion and is on pace to grow another 35% to $22 billion in 2019, according to The Convergence Research Group’s annual Potato report.

Cord-cutting started to rise in 2010, and by the end of 2019, its research predicts that 34% of households won’t have a traditional TV subscription. How are you capitalizing on this move toward streaming?

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