Why uniting supply, demand and intelligence matters in an era of fragmentation
Evan Rutchik, president and Chief Strategy Officer, Viamedia
Advertisers’ primary goal hasn’t changed over the past 75 years: They are still trying to reach potential customers with engaging messages.
While the goal remains the same, the channels through which those messages are delivered have increased exponentially. Print, linear TV, radio and out-of-home all still have their place, but advertisers now must also consider digital, connected TV, YouTube, podcasts, Facebook, Instagram, TikTok, search, AI and other emerging formats.
Making things harder, some channels that still perform well for advertisers are not always cost-effective for the agencies, technology platforms and other partners that advertisers rely on to plan and execute their campaigns.
As more advertisers move toward omnichannel strategies to reach consumers wherever they are, they need systems that can seamlessly execute campaigns across channels. The solution lies in operating systems that can unite inventory supply, advertiser demand and the necessary intelligence to execute and measure these campaigns.
Meeting divergent demand
The biggest complication with new and emerging ad channels is that audiences don’t migrate cleanly from one channel to another. The clearest example of this is TV, where streaming has surpassed linear in its share of total TV viewing time. Given that growth, many ad agencies, holding companies and managed service providers are focused squarely on CTV enablement. Even major media companies emphasize streaming at their annual upfronts.
However, CTV viewership hasn’t fully eclipsed linear. More than a third of time spent viewing is still with cable and broadcast, and a meaningful share of homes have no streaming at all, reachable only through linear. Omnichannel-focused advertisers need tools to plan audiences and inventory, place and optimize buys, and measure performance across linear TV, streaming and other digital channels.
Activating quality ad inventory
One reason advertising execution partners are moving away from channels like linear TV and video is that they require more work to find, negotiate and execute media buys across available ad inventory. Most streaming ad sales go directly through a handful of top platforms. Although a growing programmatic market helps advertisers access new inventory at efficient price points, direct sales still dominate.
That’s why a connected operating system is so critical. The advertiser demand is there, but the industry needs an efficient way to connect that interest to quality supply. That need includes global scale, a fully optimized supply path and the spending efficiency that comes with it. Connecting supply with demand would help buyers extend their reach across premium TV inventory, while enabling broadcasters and multichannel video programming distributors (MVPDs) to further monetize their highest-performing inventory and earn incremental revenue on previously non-monetized or limited inventory.
Intelligence makes campaigns work
Facilitating smoother connections between supply and demand is hardly new, and larger DSPs and SSPs have taken steps in this direction recently. What makes these combinations truly effective, however, are the insights and intelligence that help campaigns perform. As Marketecture Media CEO Ari Paparo bluntly said, “it’s the data, stupid.”
The advertising industry needs an operating system that can manage demand, match it with supply and layer in proprietary intelligence to uncover audience opportunities and optimize campaigns. As traditional identifiers decline, proprietary intelligence and consistent audience signals become increasingly critical.
Advertising is changing rapidly, making it more important than ever for brands to take an omnichannel, insights-driven approach to meet consumers where they are. By combining demand, supply and intelligence into a single orchestration layer, participants across the ad industry — brands, advertisers, agencies, broadcasters, streaming providers, free ad-supported streaming channels, MVPDs and advertising technology companies — can realize immediate benefits.
Whether serving a regional MVPD, a channel partner, an agency holding company, a Fortune 100 advertiser or a local business, a unified operating system can connect brands, inventory and consumers optimally — helping advertisers achieve their fundamental goal of reaching the right audiences.
Partner insights from Viamedia
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