SAN FRANCISCO — For those in linear media such as free-to-air television and AM/FM radio, meeting the increased demand by marketers and advertising agencies for addressable advertising solutions hasn’t been easy.
Broadcast TV and radio inventory and revenue workflow management company WideOrbit believes a key update to its “flagship” broadcast media ad sales and commercial operations platform will help bridge that gap — at least in the streaming universe.
Used by TV and radio broadcasters across the U.S. to manage, execute, and scale ad sales, WO Traffic v22.0 — now available — brings to the platform addressable ad replacement product for live television and radio broadcast streams.
It’s a new revenue opportunity for linear radio and free-to-air TV, and it brings broadcasters one step closer to what digital media has delivered to media buyers and planners eager for personalization in its ad campaigns.
As WideOrbit sees it, the newest release of WO Traffic “marks a significant milestone in the industry with the introduction of an addressable ad replacement solution that automates the replacement of broadcast spots on live streams with addressable ads.
Citing Insider Intelligence data, WideOrbit says streaming via over-the-top and connected TV (OTT/CTV) now accounts for 24% of total TV consumption, up from 19% in 2019. Furthermore, ad spend in 2022 will exceed $19 Billion, a 32% increase over last year. In addition, WideOrbit points to Nielsen’s 2022 Global Marketing Report in sharing that 61% of North American marketers are planning to increase their OTT/CTV ad spend this year.
Given those trends, getting free-to-air TV in the digital media buying arena appears to be more essential than ever.
There’s also an opportunity for an industry that could soon consider GeoBroadcast Solutions’ ZoneCasting technology. As demonstrated successfully recently at KSJO-FM in San Jose, ZoneCasting can provide addressable advertising opportunities, along with localized weather, sports, traffic and other information. The FCC is currently reviewing whether or not to allow it, as it relies on FM boosters for program originiation.
Asked to share how the new product update can benefit radio broadcasters, a WideOrbit spokesperson shared that the “majority of the new WO Traffic features and enhancements described” are relevant to radio broadcasters, namely addressable ad replacement.
Benefits to radio broadcasters also include Placer enhancements, including a new “Advanced Length Pack” option that allows the Placer product to rearrange a break to provide for more options in placing spots. There’s also a new option to exclude Agency Commission and/or Taxes on individual Lines; a new application area for compiling and analyzing instruction sets across material bundles, advertisers, and properties; and an Inventory Analysis Report.
Will Offeman, WideOrbit’s Chief Product Officer, commented, “Over 80% of our customers today are streaming their over-the-air content and addressable ad replacement will make it easier for them to take full advantage of revenue opportunities on the stream.”
How does the WO Traffic addressable ad replacement product work? It enables a single playlist to be sent to both airtime (over the air) automation and streaming ad servers, with Spot and Material level data. As such, broadcast spots on the live stream can either achieve extended reach or be replaced with addressable ads.
The digital playout system uses data from WO Traffic to make dynamic ad replacement decisions at the Spot and/or Material level. “By monetizing ads replaced on the stream, stations can maximize the revenue potential of live streaming their broadcast content via OTT/CTV, while also ensuring they’re fully prepared for the addressable capabilities of NEXTGEN TV (ATSC 3.0),” WideOrbit says.
