It's a fast-changing world in the advertising industry these days. Commercial cable isn't for everyone, more people are cutting the cord, and online domination of Google and Facebook has impacted advertising across all formats. As a result, traditional TV advertising isn't reaching as many people, either. TV advertisers have always sought a better return on investment, and agencies have aspired to a better approach to applying data across targeted audiences. That hasn't necessarily been available until recently, with the growth of advanced (or connected) TV.
What Is Advanced TV?
Advanced TV describes the new data-driven approach to targeting TV viewers. Advanced TV allows advertisers to reach specific households and retarget audiences who watch streaming services and consume TV programming, based on consumer data connected via smart TVs and mobile devices.
According to one 2017 study, Advanced TV is being embraced by advertisers and agencies as an advertising medium, and its use is expected to grow in the coming years. The key reason is access to data. Advanced TV is driven almost entirely by data, based on consumer viewing patterns. With more connected devices in the home, advertisers and agencies are able to drill into the data that correlate ad viewing with product shopping. Companies like Alphonso TV are helping to power this drive. Alphonso's software identifies which ads have aired in particular programs, and how the viewers have seen that content in real time.
Benefits of Advanced TV
Proponents of Advanced TV count numerous benefits. In general, Advanced TV gives marketers the best data to tailor their messages to highly targeted audiences. In return, these processes produce measurable consumer buying actions. But beyond that general premise, marketers reduce spending on poor media choices and gain valuable insights for campaign optimization and future planning.
Other benefits include:
- -- Deliver tighter messaging to targeted audiences with first- and third-party data
- -- Improve the impact of connected TV campaigns
- -- Gain ability to track a consumer's journey from viewing a TV ad to an online purchase
- -- Lower media costs while reaching specific audiences
- -- New insights into optimizing campaigns
A Better TV Future
What's at the core of these changes is a stronger foundation for better targeting and better performance overall in television advertising. Plus, Advanced TV is a stronger defense strategy by the TV advertising industry against such big online competitors as Google and Facebook.
No longer will TV advertising be propelled by basic demographics such as age, gender and viewing times. Insightful data on specific programs people are watching in their homes on TVs, mobile devices, and other platforms will guide the future for Advanced TV.
With Advanced TV data, advertisers are getting as much targeted information on products and follow-up purchases as online digital marketers are getting. That's an exciting development for television advertising.