Marketers today have a plethora of options for purchasing TV ad spots, including content providers, TV manufacturers (TV OEMs), programmatic markets, and third-party inventory suppliers. When brands work with many TV ad publishers, the management of campaigns across multiple platforms becomes complex, leading to errors and inconsistencies. This is where TV OEMs come in. They function as a single go-to medium for buying ad inventory across multiple networks and channels while providing a uniform method of measurement across campaigns.
TV OEMs play a significant role as they represent the actual TVs where ads are displayed, including the TV interface and apps present. Smart TV OEMs, like LG, leverage ACR technology, capturing on-the-glass data and offering a direct line of sight into audience viewing preferences. This ‘Direct-to-Glass’ approach prioritizes the audience and focuses CTV strategy at the device level. This allows brands to reach their target viewers, regardless of how they consume content on TV. Leveraging a ‘Direct-to-Glass’ strategy becomes even more vital as viewers’ attention and time are dispersed across various TV platforms.
What are the major advantages of working with a TV OEM to employ a Direct-to-Glass approach? Let’s jump in:
- Massive Scale with Consolidated Inventory: Partnering with leading TV OEMs enables brands to attain linear-like scale in CTV. Approximately half of US TV households own either an LG or Samsung TV. Consolidated inventory makes the ad-buying process easier – In addition to the inventory in TV OEM-owned apps, TV OEMs have direct ad inventory partnerships with the apps on the TV. Brands can access inventory across premium app partners with the added layer of ACR targeting.
- Precise Real-Time Targeting and Retargeting: TV OEMs own the screen, enabling audience targeting across multiple platforms like native home screen ads, Free Ad-Supported Streaming TV app (FASTs), and streaming apps. Additionally, advanced targeting capabilities allow brands to retarget audiences in real-time, reinforcing messages and driving conversions. An extension of the TV, LG Ad Solutions can also retarget audiences on their desktop, mobile, and tablet devices, ensuring a seamless advertising experience across multiple screens.
- Incremental Reach & Frequency Capping: Smart TV OEMs offer consistent frequency capping across campaigns, preventing overexposure to ads. The target audience will not be served a brand’s ad if the viewer has reached the designated frequency cap. This strategy also helps brands gain incremental reach by targeting audiences not reached via linear TV. Conversely, content providers, functioning as walled gardens, do not share data with other platforms, leading to less effective ad frequency management.
- Measurement and Attribution: TV OEMs’ privacy-compliant data-mapping capabilities connect ad campaigns to metrics, revealing their impact on brand awareness, website signups, store visits, and more. These insights help brands tailor their ad campaigns to specific audiences that drive the most impact. A study by Davis Elen also showcased superior outcomes with TV OEMs compared to content providers, achieving a +7% increase in unique reach and a 35% reduction in cost per unique household reached.
- Find Hard-to-Reach Audiences: TV OEMs accommodate a diverse array of ad units, setting them apart from traditional ad providers. Even if users consume content exclusively from non-ad-supported platforms like subscription services or video games, TV OEMs enable reaching audiences through ad spots integrated into the TV’s user interface. For instance, LG Ad Solutions offer 12-24 hour native takeovers, granting brands exclusive screen ownership. Deep-linking features like “click-to-show” or “click-to-website” are available on the home screen and content store. Dynamic native and enhanced CTV ads based on specific triggers improve retention and conversion rates.
Regardless of a brand’s current approach to reaching TV audiences (linear, direct app partnerships, or programmatic), adopting a ‘Direct-to-Glass’, audience-first strategy can enhance campaign results and help identify opportunities for increased efficiency. With uniform measurement methodologies across the TV screen, this approach streamlines and simplifies the ad-buying and measurement process.
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