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Can Xander-Turner Collaboration Boost AT&T’s Targeted Ads?

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AT&T’s Turner to use data from Xandr

AT&T’s (T) Turner business, which was acquired as part of the Time Warner deal in June, will reportedly be using data from AT&T’s advertising unit Xandr to sell targeted ads on the network. Xandr uses consumers’ data, premium content, distribution, and targeted technology to drive advertising revenues. The division also aims to provide compelling ads on the TV and mobile-phone audiences.

The partnership is expected to benefit advertisers of branded content on the Turner network, which can extend their ad campaign across Xandr’s addressable TV advertising footprint of around 15 million households in 2019. Turner’s digital properties such as CNN and Bleacher Report have a combined reach of more than 135 million monthly users. AT&T has also recently partnered with Hulu to run ads during streaming breaks on various digital platforms.

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AT&T to grow advertising business

AT&T has been focusing on expanding its targeted ad business to better compete with dominant players like Alphabet’s (GOOGL) Google and Facebook (FB). According to the market research firm eMarketer, Amazon (AMZN) has become the third-largest digital advertiser in the US after Facebook and Google and has pushed back Verizon’s (VZ) Oath, Snap, and Microsoft in this space. Total US digital ad spending is poised to grow from $13.23 billion in 2017 to ~$22.18 billion in 2021.

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