Artifical intelligence has changed the world. AI is a part of smartphones, computers, and now, television. AI has also been a big part of the advertising world. Web pages and social media sites are full of personalized advertisements tailored to users through the use of AI. Television seems to be falling behind the curve, but programmatic TV advertising may change that.
What is Programmatic TV Advertising?
“Programmatic TV advertising is the data-driven automation of audience-based advertising transactions” (via Digiday). In other words, with the help of AI, advertisers will be able to tailor their content more effectively in the TV space. Programmatic TV advertising caters advertisements to each viewer. For example, ads seen on web browsers are specific to the interests of the person using that browser. How? Based on interests. This process will be the same for programmatic TV advertising.
How is This Different From Regular Advertising?
Traditional TV advertising still attempts to target specific audiences. However, advertisers use TV rating to do so. This is rather limiting. For example, people watching The Kardashians may be women between 18 and 39, but they have different interests. Traditional advertising has worked in the past, but with technological advances, it is no longer enough. People want a customized experience, and programmatic TV advertising will give them that.
How will it Work?
While new to TV, programmatic advertising is not a new concept. Online advertising already uses this system. Just as a computer tracks habits, the TV will do the same. Two people watching the same TV program may see vastly different advertisements as programmatic TV advertising develops.
TV advertising is a massive industry that brings in the big bucks. With the implementation of programmatic advertising, advertisers will gain a lot concerning revenue and exposure the right audience. With that said, programmatic TV advertising is still in the early stages of development. But with the continued evolution of this advertising strategy, the business of advertising will change.