Comcast to develop its TV ad strategies
Cable service provider Comcast (CMCSA) is looking to develop its addressable TV ad strategies, as its management reportedly believes that TV is the best way to cater to a large group of households at once.
The addressable TV advertising market is gaining momentum and is expected to reach $3.3 billion by 2020, up from $0.76 billion in 2016, according to research company eMarketer, driven by new ad inventory and more efficient pricing.
TV ad market shrinking
However, TV as a medium of advertising is lagging due to a lack of data, targeted audience, and scale. Moreover, advertisers have now shifted to the digital advertising platforms offered by Internet giants such as Facebook, Google, and Amazon.
According to eMarketer, US digital ad spending is likely to exceed traditional ad spending for the first time in 2019. Moreover, digital ad spending is expected to surpass two-thirds of total media spending by 2023. Further, spending on digital advertising is expected to rise 19% to $129 billion in 2019, with Google and Facebook expected to capture the majority of digital ad budgets in the US in 2019. Amazon is also gaining momentum in terms of US digital advertising. Players such as Verizon, Snap, AT&T, and Microsoft are also trying to nab a share of the expanding targeted ad business.