Programmatic TV has already started to prove successful in the US, and as with most things advertising, Europe will no doubt follow closely behind. But it’s still a topic surrounded by a lot of confusion among marketing professionals.
Part of this stems from the multiple terms that have been coined for various delivery types that can all fall under the umbrella of ‘Programmatic TV’—which in itself purely refers to the automation of any aspect of TV advertising. In the UK for example, the traditional booking system is already automated, which could be classified as Programmatic TV in itself. Then you can get into OTT, VOD, Addressable TV, Programmatic Linear… it can all get a bit overwhelming.
The type of Programmatic TV that is currently showing the most growth is usually referred to as Connected TV, so let’s focus on that. This refers to a television set or set-top-box technology with web 2.0 integration that delivers content via a web connection.
Trends in the US and Europe
In the US, there are already over 1.5 billion ad opportunities per month across Connected TV. Globally, Connected TV installations are due to grow 31% by 2020. And online TV and video revenue—which includes Connected TV—has been steadily growing across Europe, having already reached well over £2b ($2.6b) in UK, France, and Germany combined. We are already seeing 60 million monthly avails for Connected TV inventory across Europe and this figure is growing all the time.
Why adopt Connected TV as part of your marketing plan
There are plenty of reasons why Connected TV is a great option for European advertisers to begin to consider. Firstly, it is one of the best ways to reach the young, tech-savvy ‘cord cutter’ audience that is shifting away from linear broadcast TV. It also brings many opportunities with it because of the granularity of the data you can both use to target and get out of your campaigns. You can layer additional targeting parameters on top of your standard TV audience segments. And you can link your Connected TV audience back to other devices to either retarget them or achieve incrementality on your campaigns. It can also prove a faster route into TV advertising if your campaign is signed off on at the last minute, avoiding the lengthy booking processes that can be associated with traditional TV.
To hear more about why European marketers should be starting to consider programmatic TV, and how you can prepare, you can watch our recent webinar “3,2,1 Action! Getting Ready for Programmatic TV”.