As Connected TV Turns Ten, 2021 Emerges as "Year of Interactive Advertising" for Pay TV and Network Service Providers
PERTH, Australia: A decade ago, the Connected TV value proposition was introduced as an alternative to a TV establishment that has protected a business model that has largely remained static for 80 years. However, as the Connected TV community celebrates its ten-year anniversary, much has changed, says Cyril Daoud, CEO of Hoppr, an innovative startup that is introducing new interactive, programmatic technologies and business models to advertisers, brands and network service providers.
"2020 was the year of Connected TV, as consumers sheltered in place to ride out the global pandemic. With COVID-19 lockdowns, more people than ever switched on Connected TV. Ratings firm Nielsen show an 81% increase in global viewership, while Goldman Sachs observed an accelerating shift from traditional advertising strategies to digital engagement. Consequently, at Hoppr, we believe 2021 will be the year of Connected TV advertising," says Daoud.
Connected TV offers an unsurpassed ability to serve the right ads to the right audiences in an era when consumers expect -- and even demand -- that content services and messages be tightly tailored to their specific needs and interests. Interactive programmatic advertising on Connected TV platforms offers an opportunity to fundamentally transform how ads are delivered to make the bonds between brands and audiences even stronger.
Today, most ads shown on Connected TVs are delivered through two main technologies: Client Side Ad Insertion (CSAI), which allows network service providers (NSPs) to deploy their own ads before showing content, and Service Side Ad Insertion (SSAI), which stitches ads into the stream. However, with technology advancing -- and audiences growing -- rapidly, brands and NSPs are looking for new solutions that combine the best elements of CSAI and SSAI, while adding next-generation capabilities, such as interactive ads.
According to Hoppr's Chief Technology Officer Jason Hewson, the binary choice between CSAI and SSAI is no longer relevant now that NSPs and brands can embrace flexible solutions that support highly creative ad experiences, such as HopprTV.
"Focusing on interactive and responsive solutions, rather than rigid systems of ad distribution, is taking the industry to the next level. In addition to seamless ad stitching and pre- and post-roll ads, interactive advertising targets messages to the specific needs and interests of consumers. It is the next Connected TV frontier that will enhance the user experience while simultaneously generating high-margin revenues," says Hewson.
HopprTV solutions emphasises ad delivery on the client side, maximizing creative control. They also prioritize the ability to support emerging ad technologies like virtual reality, interactive ads and menus, and even games.
"As adoption of Connected TV quickly grows, it's vital to introduce innovative advertising in ways audiences have never seen before and will want to see even more of, creating increased opportunities for brands and network service providers," says Hoppr's Chief Revenue Officer Emilia Ong.
The HopprTV advertising solutions deliver high-quality analytics and metrics that provide deeper insights to inform effective, interactive and programmatic advertising campaigns. This will drive successful business outcomes for network service providers, advertising agencies and brands.