Personalizing OTT Advertising
Learn more OTT advertising at Streaming Media's next event.
Watch the complete presentation from Streaming Media East, DT203a. Adapting to Fast-Changing Market Conditions with Cloud Technologies, in the Streaming Media Conference Video Portal.
Read the complete transcript of this clip:
Andy Warman: If you're gonna make money in this space, obviously you need the advertising. So how do you determine that, and how would you deliver appropriate advertising in those markets? Well, first thing is what OTT is. Really you could look at it in two distinct ways. You could look at the Netflix-type model where you're watching content on demand, and you can also look at it as those services like DirecTV Now, Sling, and PlayStation Vue where they're actually giving you the full linear lineup like you would have on cable and satellite. All right, but it's delivered over your internet connection instead.
Those, that latter case, is a great target for different types of advertising model. Okay, or targeted advertising. One's directed specifically to consumers or consumer households, as opposed to more generic advertising that hopes to hit the target by advertising to many different target audiences. If you wanna make money in OTT you're gonna want to to do something called personalized advertising more than likely. In broadcast, however, it's a one-to-many delivery system where you've got one source of content delivered to many, many consumers. And you're gonna use a simple broadcast advertising model, and your best opportunity to hit individual viewers with the right advertising is with localized advertising.
Not very effective, right? Because you're gonna target a small geography with direct advertising, so entirely different situation with over the top, because there is a one-to-one relationship between the content delivery service and the consumer. And that's good because we can use something called dynamic ad insertion to specifically, individually target each household, each consumer, with specific advertising that they're far more likely to pick up and actually want to consume based on a profile that we create over time as the content owner and service provider.
The survey also predicts that linear TV ad spending will drop significantly in the next 12 months, while all forms of advanced TV advertising continue to grow
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