Perspectives What's this?

Connected TV is still in its adolescence as an advertising channel, but a survey conducted this month by video ad solution provider Mixpo suggests that's all about to change. Mixpo surveyed 130 media buyers and planners and found very strong interest in including connected TV on media plans - and soon.  Some are taking action now, trying to get out in front of a rapidly maturing channel.

"Connected TV" (sometimes referred to as "Smart TV") is essentially internet content brought to the "big screen in the living room." The Mixpo survey defined it as programming, including video advertisements, streamed through OTT devices connected to the internet (Roku, Apple TV, Xbox, Amazon Fire).

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TV is moving to digital - and fast. Today, billions of digital ads are seen everyday by millions of online viewers, yet 99% of those ads are repurposed from television and often measured by traditional TV metrics of reach or gross ratings points (GRP).  Not only is this inefficient, but it also only scratches the surface of measurement’s potential for digital video.  

Last week, our company hosted a panel discussion in New York City with top industry leaders and agency executives to discuss the evolution of measurement beyond the current standard of impressions and GRP. We agreed that using the same success metrics as TV measurement for digital video is insufficient and the true potential of what digital video can accomplish for brands will only be reached when we look at factors such as post-impression activity, increased website visitation, lead generation, and even offline sales. These metrics looked at the broader effectiveness of digital video ads beyond simply reach.

Some of the questions addressed by the panel included: is the industry ready to add more customized measurements what should they be? What challenges do they bring? How can we balance between the need for a standardized measurement unit and customization (the specific needs each brand advertiser)?

It was a great night and I wanted to share some of the key perspectives from the panelists during the discussion:

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In today's connected world, a multi-channel strategy is an important area of focus and logical aspiration: Marketers looking to engage the uber-linked consumer base are hungry for the right recipe. Ad tech suppliers gear more of their development efforts to the cause each quarter, and agencies tout their growing multi-channel capabilities to deliver on its promise. We are believers in the potential to thread messages to consumers on various devices throughout the day via advanced campaign and creative capabilities.

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Programmatic video advertising came of age around the recent Super Bowl. Many video publishers, offering an unprecedented volume of pre-roll ads programmatically, sold out all available inventory for 24 hours before the game and 48 hours afterwards at record CPMs.

The Super Bowl of course has special appeal to advertisers because it's perhaps the only TV event where consumers actually make a point of watching and caring about the commercials!  But the increasing desire of marketers to supplement buys in big live TV events with online video advertising shows no signs of abating.  From the recent Golden Globes and Grammy Awards to the Winter Olympics and Oscars, advertisers are increasingly using the programmatic marketplace to gobble up pre-roll inventory on sites that reach prospective customers.

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The recent news about the DISH-Disney deal is a watershed moment for the entertainment industry. By gaining Internet streaming rights to ESPN, DISH is perfectly positioned to launch a consumer-friendly, IP-based entertainment network. As analysts have long reported, sports are the last holdout for pay-TV. For many consumers, it's the only reason they keep their expensive cable package subscription.

This is only the beginning. Other companies are now approaching Disney for Internet streaming rights, starting with DirecTV. And, more importantly, consumer viewing habits have shifted to mobile devices.

But the most exciting company I see today is Verizon. Here's why.

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I recently gathered an influential group of online video experts at the new Sherpa Studio in New York City to discuss the future of video delivery, mobile video platforms and live streaming technology trends as part of our Digital Innovators x Influencers (DMX) event series.
 
The group of panelists included Ian O'Brien, Executive Director, Multimedia Services, JPMorgan Chase, Mike Covino, Director, Credit Suisse, Darren Hodgdon, COO, United Healthcare Community Plan (United Health Group), Adam Cricchio, Vice President of Creative and UX, WeightWatchers.com, as well as Antonette Alonso, Director Enterprise Video Services Infrastructure, North Shore-LIJ.
 
The group drew interesting conclusions and highlighted new ways that video is impacting businesses and consumers.

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5 Steps to Making Multi-Screen Video Work with the Cloud

As we charge into 2014, pay-TV operators aren't just toying with the idea of granting consumers access to content from a variety of connected devices; it is now the standard. This shift in viewing consumption has driven operators and technology partners to 'look under the hood' of their platforms and re-assess content delivery and management schemes.

The biggest concern facing operators is how the industry can protect content when being delivered over different devices. How can operators achieve the right content protection mix and content management scheme in a scalable fashion while ensuring a consistent user experience? The answer could be found in the cloud. Following are 5 key steps to consider for making multi-screen video work with the cloud:

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The streaming industry is currently undergoing incredibly exciting and important changes that are affecting the way viewers consume content.  As 'appointment TV' continues to fade, the fact is live events and sports are some of the only real appointments consumers are keeping. These live events are the driving force shaping the streaming industry; giving way to a new era of live interactive digital viewing and monetization of content with added benefits of increased time spent online, more user analytics and ultimately revenue growth.

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