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Turn: How personalised will TV advertising become?

Pierre Naggar,  Managing Director EMEA, Turn

Pierre Naggar,
Managing Director EMEA, Turn

Guest post by Pierre Naggar, Managing Director EMEA, Turn

Cannes Lions this year was further proof that the ad tech industry has grown rapidly over recent years. An event which used to be solely creative-based is now also a hub for technology and innovation. Advertisers are using ad tech tools and data insights to build creative and strategic campaigns and are more informed about the ROI they are driving as a result. Tech companies’ presence at Cannes Lions is invaluable to drive this innovation in a global marketplace.

Programmatic enables ads to be served to audiences based on insights about their browsing behaviour and individual profiles. As a result, advertisers are able to identify the most relevant audience and target the customers that are likely to buy from them. This ‘audience-first’ approach means that advertisers can select and purchase placements based on their target audience’s preferences, resulting in a more personalised experience for the customer and greater ROI for the advertiser.

Since today’s consumer travels across many digital touchpoints, marketers need to locate the optimum time, channel and content for interacting with their audience at different points in the customer journey. With ad tech now in the spotlight, programmatic is moving onto the agenda of media buyers across new channels, including TV. Programmatic is no longer limited just to display and within the next three years I think that nearly all advertising will be programmatic, regardless of device or format.

The next big step in programmatic advertising is for it to be televised. Instead of using data about programming to find desirable placements, could marketers actually use data about audiences to find desirable programming placements and to change the advertising experience?

Traditional TV is evolving and entertainment is now more connected than ever. Connected TV devices mean that viewers’ browsing habits and social networks are synced with the TV programmes they’re choosing to watch. In theory, this could provide advertisers with more information about their audiences than ever before, and also allow them to understand more about the journey between entertainment formats.

TV has huge potential for programmatic buyers because video content is now also consumed across different devices, such as tablet and mobile. As a result, the amount of video content across all channels is growing rapidly. More than 1 billion unique users visit YouTube each month and according to Cisco video will account for 69% of all consumer internet traffic by 2017.

Buying programmatically for TV is still in its infancy and some broadcasters will need to be educated about its benefits. However, as we increasingly see online video being bought in this way, programmatic is certainly moving onto the agenda of TV buyers. TV already gets most of the advertising dollars but much more money will go toward TV advertising if everyone adopts programmatic.

WPP reported recently that digital marketing, programmatic buying and big data now account for about $14 billion of its $18 billion revenues. In the past advertising was very much a creative discipline. However as the need to prove ROI remains top of the agenda for companies, marketers have come under scrutiny to display their value through data. Therefore, where creative once was the sole influencer in the placement of ads, audience data is now also driving those decisions. This means that brands can develop better experiences for viewers, providing the content they find entertaining and relevant. TV could be the next big move for programmatic – watch this space and see how personalised your TV experience becomes.

Overall, there are huge opportunities for advertisers across TV and video, but in order to get the best ROI, marketers need to ensure that they are using the medium properly to reach the right audience, with the right content. As consumers are faced with information overload, the need for personalised targeting to engage them with content has increased. Knowing your audience is more important than ever before.

 

 

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