Yospace – How to Unlock the True Value of Addressable Advertising
Tim Sewell, CEO of Yospace
For broadcasters, adapting deftly to ever-evolving changes in viewer behavior is essential. A recent example of this has been the growing expectation for more relevant, tailored ad experiences in video streaming. Broadcasters have moved to meet this demand. However, even though the added value of targeted advertising has long been recognized, the added value of one-to-one addressability lies elsewhere.
Advertisers demand transparent, precise, trusted, real-time measurement. If broadcasters are to persuade advertisers to spend more on CTV, advanced, one-to-one measurement is a must. Dynamic Ad Insertion (DAI) is central to delivering this. With the right approach, ad tech can align with viewer and advertiser expectations, making advertising more relevant and measurable and, in turn, a greater generator of streaming revenues.
Dynamic Ad Insertion (DAI) as a Strategic Advantage
Digital platforms have led advertising spending for years due to their ability to provide granular metrics, but concerns over transparency and brand safety have remained. Conversely, broadcasters benefit from brand recognition and significant trust built with viewers and advertisers alike while achieving unbeatable reach, especially in major live events.
With dynamic ad insertion (DAI) techniques, broadcasters can offer premium inventory to advertisers with a level of credible and standards-based measurement that can match, and often exceed, the performance insight previously only found in digital. Combining these capabilities with the brand-safe, trusted media status broadcasters uniquely command can create new revenue opportunities and build stronger long-term relationships with advertisers.
This means going beyond the basics of inserting ads and logging the quantity of ads stitched to implementing best practices alongside any available tools to earn extra revenue in each area.
The established method uses server-side ad insertion (SSAI) for a seamless viewing experience and additional client-side measurement for accuracy. Client-side measurement can be applied with a lightweight, client-side SDK that delivers accurate, real-time tracking of ad views.
An evolution of this technique is server-guided ad insertion (SGAI), which sees the ad stitching technology and client working in closer collaboration. This approach’s efficiency allows better monetization of AVOD content and advanced viewing features such as extended digital video recorder (DVR) windows for live events.
A drawback of both approaches is that client control on the end user’s device is required. This isn’t always possible in channel distribution across third-party apps, a feature that will likely grow with increased content distribution deals.
The new Common Media Client Data v2 (CMCDv2) standard includes specifications that address the third-party distribution issue when it comes to accurate & trusted measurement. The standard will act as the intermediary for providing ad measurement as advertisers require, and players supporting CMCDv2 will deliver real-time playback information as outlined by the Interactive Advertising Bureau (IAB) – another boost for ad-funded streaming services and the advertisers that drive ad revenues.
Essentially, DAI has allowed, and continues to allow, broadcasters to unlock new addressable inventory, remove barriers to accurate measurement and reduce operational friction without compromising scalability or user experience.
Real-World Outcomes: How Addressable Ad Insertion is Adding Value
Dynamic Ad Insertion (DAI) has the power to be a monetization engine with addressability at its core. When implemented strategically, it improves advertisers’ performance, increases broadcasters’ yield, and maintains a seamless experience for viewers.
When these factors are combined, CTV is a very attractive proposition to advertisers. Accurate, trusted, real-time measurement sits at the heart of that offer. It brings other benefits, too. Surfacing real-time data in a live campaign dashboard allows broadcasters to continually adjust and measure their ad campaigns to eke out an extra percentage point or two in ad performance. Such margins can make a big difference to the bottom line.
DAI’s value also lies in its power to unlock new inventory, especially in live and unpredictable content such as sports and entertainment. These create moments – overtime play, unexpected outcomes, emotional finales – that are editorially unplanned, but represent highly valuable advertising opportunities.
Dynamic ad insertion, real-time measurement, and scalable addressable advertising are no longer future ambitions. They are must-haves for the streaming age. As the industry responds to shifting audience behaviors, these tools will ensure broadcasters remain competitive, trusted, and profitable.
