May 16, 2017

Multiple System Operators Bridge the Gap to Local Ads


Marketers adjusting to changes in consumer behavior must get closer to the consumers themselves. A recent Forrester report said as much, and Caroline Horner, co-founder of advertising agency Spicy Tequila, points out how this shift is driving a new advertising framework: “Local is the new national.” And when it comes to local marketing, multiple system operators (MSOs) can help.

MSOs include cable operators like Comcast and Cox, and are a type of multichannel video-programming distributor (MVPD), like large telecommunication companies. MSOs are provided local advertising minutes by their broadcast and cable affiliates as part of their operator agreements. This time is parceled out to local and regional sales teams, as well as to third parties like programmatic exchanges and advanced television reps. The advertising time offered by the MSOs is comparatively short—often only two minutes per hour—so maximizing value is vital to accelerating this business.

The Growth in Data
The ability to measure local data has improved greatly as STB data has merged with other data sets—such as Nielsen and first-party—and segmentations. “Programmatic TV is about data first,” says Rick Ducey, managing director at BIA/Kelsey, and it tends to lead to the local.
Read the full article on the Videa blog.

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