Digital ad insertion opportunities abound for TV and Web advertisers

November 5, 2013 - 10:17am
Digital ad insertion represents a lucrative opportunity for TV advertisers that can take a page out of online marketers' books.

As the content viewing landscape continues to experience new shifts and wrinkles, broadcasters and marketers are well on their way to acclimating. Broadcast digital ad insertion technology can facilitate more granular, customer-focused advertising overlays, which rival the enhanced customization of online video content, and many industry players have been expanding their efforts to capitalize on them.

There are a few challenges that must be considered in the reconfiguration of the video advertising industry in the effort to raise profit margins in the era of commercial-skipping and channel-changing viewers. However, the potential for additional ad revenues will be higher as more content options continue to become available. The Guardian's Chris Smith wrote that television and online advertisers deal with somewhat of a "culture clash" due to the inherent differences of their mediums. However, many forward-looking members on both sides are working on ways to cross the aisle.

There are some natural philosophical differences, Smith stated. TV is a "we" industry, in which advertisers aim to target large segments of the audience with campaign material for a device that is often used communally. Computers and mobile devices, on the other hand, belong to a "me" sector, where solo use is reflected in the granular strategies of advertisers on these platforms. However, video content is spearheading a blurring of the "me" and "we" sides - although many users may watch video programming online solo, they participate in vibrant communities of users who share their content experiences. 

Increased convergence between the two sides represents a potentially lucrative opportunity. A digital ad insertion strategy that allows for relevant ad material to be deployed in real time, based on user data, could capitalize on the more dynamic way that people watch and interact with content. 

Technology solutions facilitate digital ad insertion
Investment in best-of-breed video broadcast system technology can help different users scale systems so that they are writing for forms of advanced advertising. Digital program insertion standards such as SCTE 35 can facilitate broadcast feed splicing with ads. Video transcoders and receiver decoders are essential to supporting these standards and allowing network operators to actually insert ads, monitor systems and ensure that they are operating at optimal capacity.

Sencore provides reliable, cost-effective solutions for signal transmission and content delivery. Our Live Streaming Transcoder optimizes digital ad insertion through the power of parallel processing architectures. It's an essential tool in live over-the-top and IP delivery systems and is a top solution for large-scale transcoding applications. Contact us today to learn more.

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