Will 2013 Be the “Year of Connected TV”?
Connected TV on the Rise
There’s no shock in finding out that consumers are watching large amounts of video online, nine hours per week in fact, according to Tremor Media.
What may come as a larger surprise is that consumers are watching 12 hours per week on their Connected TV devices—more than any other device – and that 38% of consumers visited a website mentioned in an ad they saw on their Connected TV. The issue is that advertisers aren’t adopting Connected TV as quickly as consumers.
Do they feel the channel isn’t developed enough? Perhaps, but Microsoft is stepping in helping to develop the space further.
New Developments in Connected TV Advertising
On Friday, Microsoft released their Xbox SmartGlass app. The app will integrate Windows phones, tablets or PCs to display complementary content and serve as an additional remote to the Xbox360. And while there aren’t any announced ad opportunities to target simultaneously across all devices, it’s good to see the adoption of multiple screens being used together.
In addition, California-based YuMe has provided perhaps the most robust solution thus far in the Connected TV space. They are coming pre-integrated on several LG and Samsung televisions. They seem to be taking the lead in making this space a more lucrative ad opportunity. According to YuMe, consumers are willing to watch ads if the video services they support remain free. If consumers are willing to watch an ad, there is clearly an opportunity for advertisers to take advantage of.
It seems as if the stage is being set for Connected TV to have its “the year of mobile” moment.
It will be interesting to see how Connected TV continues to fill a gap between online-video and television. How willing would you be to run ads on Connected TV? What will have to change in order for you to consider it?