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Dynamic Ad Sector to Reach Tipping Point in 2014, Heavy Reading Finds

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SOURCE Heavy Reading

Dynamic ad insertion will bring personalized ads to video screens in 40 million homes by the end of 2014, says Heavy Reading Cable Industry Insider

NEW YORK, Feb. 14, 2014 /PRNewswire/ -- Dynamic advertising insertion (DAI) is now available in 30 million homes and is expected to be available in 40 million homes by the end of 2014, allowing more video service providers to deliver personalized ad insertion across video screens, according to the latest report from Heavy Reading Cable Industry Insider (www.heavyreading.com/cable), a subscription research service from Heavy Reading (www.heavyreading.com).

Cable's New Quest for Advanced Advertising Treasure explores the industry's progress with DAI and the opportunities and challenges of advanced advertising technologies in a multi-screen environment. It includes profiles of seven key suppliers that support cable's advanced advertising aspirations.

For a list of companies covered in this report, http://twimgs.com/audiencedevelopment/LRHR/PDFS/cii1213_companies.pdf

"For more than 20 years, the cable industry has been on a quest to discover new wealth from digital technologies that promote advanced forms of television advertising," notes Craig Leddy, research analyst with Heavy Reading Cable Industry Insider and author of the report. "Now, with little fanfare, the cable industry has been rolling out DAI technology, which by the industry's count is available in about 30 million cable homes."

While revenue projections are hard to determine at this stage, proponents expect DAI to generate at least $200 million in ad revenue this year, Leddy says. "As DAI gathers momentum, technology suppliers are seeking a potentially bigger prize – ad insertion across multiple video screens," he continues. "Just as TV content is spreading across laptops, tablets, smartphones and other devices, so too can advertising. Internet protocol (IP) multi-screen technologies and connected devices eventually could fulfill the long-held promise of delivering personalized ads."

Key findings of Cable's New Quest for Advanced Advertising Treasure include the following:

  • Cable is taking renewed interest in advanced advertising capabilities after numerous failed attempts.
  • MSOs have deployed DAI technology capable of delivering ads in video on demand (VoD) shows to about 30 million homes.
  • Canoe Ventures, backed by four MSOs, promotes DAI technology development and interest among programmers and advertisers.
  • DAI gives TV networks ways to monetize shows when they air on free VoD; advertisers can target market and MSOs can upsell services.
  • DAI could be a stepping stone to a bigger prize: multi-screen ads across IP device platforms.
  • DAI faces challenges including scale, performance, measurement and the future of traditional VoD itself.

Cable's New Quest for Advanced Advertising Treasure is available as part of an annual subscription (six issues) to Heavy Reading Cable Industry Insider, priced at $1,595. Individual reports are available for $900.

To subscribe, or for more information about Heavy Reading Cable Industry Insider, please visit: www.heavyreading.com/cable. For more information about other Heavy Reading Insider research services, please visit: www.heavyreading.com/research.

To request a free executive summary of the report, or for details on multi-user licensing options, please contact:

David Williams
Global Director of Sales, Research
Heavy Reading

Press/analyst contact:
Dennis Mendyk
Vice President of Research, Heavy Reading

About Heavy Reading
Heavy Reading (www.heavyreading.com), the research division of Light Reading, offers deep analysis of emerging telecom trends to network operators, technology suppliers, and investors. Its product portfolio includes in-depth reports that address critical next-generation technology and service issues, market trackers that focus on the telecom industry's most critical technology sectors, exclusive worldwide surveys of network operator decision-makers that identify future purchasing and deployment plans, and a rich array of custom and consulting services that give clients the market intelligence needed to compete successfully in the global telecom industry.

About Light Reading
Light Reading (www.lightreading.com) combines its research-led online communities and targeted events portfolio to help those in the global communications industry make informed decisions. Lightreading.com is the ultimate source for telecom analysis for more than 350,000 subscribers each month, leading the media sector in terms of traffic, content, and reputation. Light Reading produces targeted communications events and focused one-day conferences each year for cable, mobile, and wireline executives across five continents.

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