$137.8B U.S. ad spend for top 200 advertisers
Time Warner Cable is moving into addressable TV advertising, allowing marketers to target down to a household level through its app and video-on-demand.
Marketers will be able to dynamically insert ads during live TV on the TWC TV app across multiple devices and in video-on-demand, said Joan Gillman, exec VP and chief operating officer-media services, Time Warner Cable.
Addressable advertising allows marketers to target households beyond age and sex demographics down to specific characteristics like income, lifestyle and purchasing preferences.
Initially, Time Warner Cable's offering will be able to reach 10.8 million Time Warner Cable households. But in reality just about 80% of those 10.8 million households will use the addressable enabled VOD or TWC TV app in 2016, Ms. Gillman said.
But as usage of IP-enabled TV sets and devices like Roku grows and becomes more personalized, Ms. Gillman said addressable advertising will allow marketers to capitalize across every screen.
At least 50% to 60% of the impressions are expected to be delivered through a TV set, she added.
Previously, Time Warner Cable only offered targeting at a ZIP code level.
Time Warner Cable's move will bring the pool of addressable households to more than 50 million across cable and satellite operators with a blend of live TV and VOD.
Addressable advertising has taken a while to ramp up as the reach has been limited. But as audience buying on TV becomes top of mind for many marketers, they are intrigued by the addressable advertising's ability to identify granular segments, a rarity in TV.