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Tracy Tuten

The CMO's Guide to Addressable TV Advertising | CMO Strategy - Advertising Age - 0 views

  • Reach: Addressable ads are currently available in up to 42 million households through live TV and video-on-demand. The pool is expected to reach 50 million households by the end of this year.
  • Measurement: Nielsen is not the currency. Operators typically use Rentrak or Kantar Media for audience measurement.
  • How it works: Marketers pinpoint their target audiences and create a household profile using data such as income, ethnicity, children in the household and car leases set to expire. They then work with cable operators to determine the number of addressable-enabled households that fit their target and serve commercials to just those homes.
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  • Cablevision: About 3 million households can be targeted. DirecTV: About 12 million households can be targeted. Dish Network: About 8 million households can be targeted.
  • THE CHALLENGES No standardization: It's complicated and time consuming to run an addressable campaign across multiple operators because the technology can vary by company. Cablevision uses Visible World technology, for example, while Comcast uses BlackArrow. Marketers need to collect potential reach from each operator, determine the optimum frequency and then combine it all. DirecTV and Dish Networks are working to simplify the process by combining their sales efforts for addressable TV advertising for political campaigns. Rollout: Cable operators need to deploy technology on a market-by-market basis to enable addressability. Satellite operators and Cablevision can change the technology at one master facility. Inventory: Adding more addressable-enabled inventory requires networks to work with operators to slice up inventory. For example, NBC Universal and Comcast are partnering to make NBC-controlled inventory addressable-enabled on Comcast VOD.
  • IS IT RIGHT FOR MY BRAND? For brands selling products used by a broad audience, like toilet paper, there's still value in mass marketing. But if you're targeting a very specific consumer, addressable may be a good option. Ask yourself: Are there enough addressable-enabled households that match your target to make it worthwhile? Are there other options that can more efficiently deliver? In general, addressable is most exciting for marketers that don't normally advertise on TV due to budget constraints or because there's no efficient way to reach their niche audience,
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    An overview of how addressable tv works
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