TV Manufacturers Seek to Capture a Bigger Share of Streaming Ad Market

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The companies selling you TVs also want to sell some of the ads you see when streaming videos on those sets

By Sahil Patel Close Sahil Patel Aug. 30, 2020 6:00 am ET Late last year, Vizio Inc. formed a new business unit to start selling some of the advertisements that appear while people are streaming movies, TV shows and digital videos on its screens.

The shift to streaming video has created new opportunities for TV makers such as Vizio and Samsung Electronics Co. Ad money has lagged behind growth in consumers’ time spent on streaming services, but it is flowing nonetheless. Usage of these devices also has accelerated during the coronavirus pandemic, as homebound viewers have had more time on the couch.

“They have some challenges to overcome, namely, a lot of the companies in this space are culturally removed from the advertising business,” said Brian Wieser, global president of business intelligence at WPP PLC-owned GroupM. “They are manufacturers, first and foremost; they aren’t media companies.” More than 90% of consumers who buy Vizio TVs are activating its SmartCast operating system. “All the apps that people want are right there without needing another device,” Mr. O’Donnell said.

“What you have seen change in the last 12 to 18 months is that the smart TV manufacturers have begun to raise their game,” said Sean Buckley, chief operating officer of SpotX. The amount of ad spend going directly to the TV makers is still relatively small, said Tal Chalozin, chief technology officer of ad-serving technology business Innovid Inc. “They are growing from such a tiny base,” he said.

 

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Nope

Why not just give us the TVs for free and stream as many ads as you want? lol I'm just kidding. Don't do this!!!

Nope

you guys should read up on Roku.

No thanks

No

Ad time is out of control. Watching a paid for movie now with ads!

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