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Platform owners promised a fast new revenue stream, using addressable ads in the user interface

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A novel approach to addressable advertising allows platform operators to monetise their user interface and the navigation menus they control, delivering relevant ads to consumers when they are entering PVR or catch-up menus, looking at show synopses or even just before they go to content. Australian company Hoppr provides the ad-insertion and, if needed, ad sales, as part of a managed service and this is made available via an application that is pre-integrated into Technicolor’s Android TV set-top boxes.

The two companies explained the solution in detail during a Videonet webcast this week, making it clear that this is a way for platform operators (network service providers) to take a share of the addressable advertising market without having to invest in their own ad-tech, advertising operations or ad sales. The Hoppr application is part of the Technicolor HERO Program that the CPE leader uses to boost innovation on set-top box platforms.

The Technicolor HERO Program enables integration of partner technologies at an early stage, resulting in faster time-to-market and increased reliability. Technologies within the HERO Program become part of the generic STB offering from Technicolor, supported by Technicolor with a commitment that they are part of what becomes a joint development roadmap.

As a managed application, there are no new operational burdens for the service provider – not even the User Experience backend is affected, since the targeted ads are presented as an overlay within the UI/navigation menus, delivered over IP from Hoppr ad servers. “This has been integrated and tested and it is ready to start deploying tomorrow,” Mounir Toutah, Solutions Business Development Director, Connected Home Division at Technicolor, told the live webcast audience.

George Gelavis, CEO at Hoppr, emphasised that this solution focuses on monetising the user interface and navigation experience within the operator domain, and not inventory that belongs to a channel owner. Thus, the inventory opportunity for the operator includes interstitial ads (i.e. ads that are shown during natural transition points in a UI).

Depending on the relationship a platform owner has with its content partners, one of the insertion opportunities is after content selection, when someone is navigating to an on-demand asset or show. As Emilia Ong, Chief Revenue Officer at Hoppr, explained, you could insert a short pre-roll at this point. “There is lots of flexibility around how the NSP [network service provider] uses this,” she said.

Gelavis added that a pre-roll of this kind could depend on the operator/channel relationship. “That would be managed by the network service provider.”

The Hoppr solution is provided to operators on a revenue share basis. Hoppr has the relationship with the advertising community, selling ads directly (i.e. in person) or using a private programmatic marketplace that ensures operators are in full control of whose ads can be shown on its platform. Gelavis says a network service provider can exploit its newly opened inventory straight away.

“They can tap into new revenue immediately. This is not something that builds up over time. It is accretive revenue; it is low-hanging fruit.”

Technicolor provides the support for this solution, including in Europe, and can arrange a Hoppr trial for its Android TV set-top box customers so their audience potential can be gauged and revenue forecasts provided. “This technology opens the door for many operators who are considering deploying advertising,” Toutah comments.

Video ads can be served as full-screen or part-screen, displayed alongside the UI. Banners could also be introduced. The targeted ads can be interactive. Hoppr works with the service provider’s UX team to decide where ads could be served within their real-estate without diminishing the viewer experience, with everything customisable.

Addressable advertising within the UI/navigation menus can be harnessed by the operator’s own marketing department, too. As Georges Laplanche, Senior VP, Head of Eurasia Sales for Global CPE at the Connected Home Division of Technicolor, pointed out, “There is potential to target commercial offers – they can upsell and cross-sell.”

Laplanche believes a telco, cable or satellite marketing department could also use the introduction of advertising to increase packaging and pricing flexibility. Ong expanded on this point, suggesting a service provider could discount some packages, perhaps even appealing to consumers who have previously avoided Pay TV.

This webcast provides a one-hour deep dive on the Technicolor/Hoppr addressable advertising solution, during which you will hear:

  • More detail on how the solution works
  • How the targeted advertising is implemented and sold
  • The attributes that buyers can target against
  • How to set up a trial of the Hoppr application
  • How the ad solution can be used by operators who have their own sales team inhouse, like for selling unsold inventory
  • Other new revenue streams an operator could exploit when introducing an Android TV set-top box.

The webcast is free, and you can listen to the on-demand version here.

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