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TECH TV: Data-driven TV advertising

Originally published by John Moulding on

Wherever you have connected TV with a broadband return path that can be used to monitor what consumers are watching, you have the opportunity to make advertising more relevant. Marketing can be based on behaviour and therefore known interests rather than just demographics. And as targeting becomes more personal, television will start to attract direct marketing (DM) budgets and therefore new money for advertising.

According to Russell Marsh, Group Strategy Director at RAPP, a full service agency with over 40 years experience in customer focused, we have a 5-10 year transition ahead of us when television advertising will become much more data-driven. The challenge is writing the algorithms that can identify an advertiser’s target audience dynamically and then deliver the advertising content that is best suited to them.

Marsh points out that TV audiences have fragmented and 9 million is now a big rating for a show in the UK. Either audiences have to grow again or advertising needs to become more relevant, he argues. Audience panels only paint a broad picture about an audience but with a broadband connection into our devices, a platform operator or CE manufacturer can see what we are watching, what advertisements we skip and which ones we watch, and so build a picture of what we are interested in and what that says about our household.

Marsh points out that an understanding of viewing behaviour gives insights about our likelihood to engage or purchase. DVR ad skipping is a good example. If we skip most advertising but watch one, it is fair to assume an interest and maybe a propensity to buy. Then you become a more valuable target for anyone advertising the same kind of product or service.

If you want to know more about this, be sure to read the complete article here


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