Bloomberg Media wants to capitalize on the explosion in connected TV ad spend.
While Bloomberg is known as a digital news outlet, it actually had a broadcast TV network first. So it was natural for the company to “expand really rapidly” into free ad-supported TV (FAST) channels, said Julia Beizer, Bloomberg Media’s chief operating officer. FAST channels air traditional TV networks on program schedules via connected TV devices.
To attract advertisers, Bloomberg is pitching them on not just reach but contextual relevance. “We know marketers are really concerned with what [content] their ads are adjacent to,” Beizer said. That concern inspired the company’s latest contextual ad product, AdService, which it launched in January. The product allows advertisers to target Bloomberg audiences across both linear and streaming TV in addition to online display, Beizer said.
Targeting ads based on the type of content someone is consuming improves ad effectiveness. Bloomberg’s already-existing contextual tool for online display has boosted brand lift and video completion rates by between 3% and 5%, for example. And Bloomberg expects AdService to drive similar results on streaming TV media, including FAST channels.
AdExchanger: Why did Bloomberg need a new contextual ad product?
JULIA BEIZER: Contextual advertising is really hot right now, so, like many publishers, we’re getting an increasing number of brand inquiries about it. By offering more contextual options to advertisers, we can differentiate ourselves from the competition.
Reach is one reason more advertisers want contextual tools. As useful as audience-based targeting is, there is such thing as too much targeting. If advertisers use too many audience segments in their targeting plans – such as, say, high net-worth decision-makers with blonde hair in a certain location – they could risk narrowing their audience too much.
Which is precisely why contextual advertising products can especially help top-of-funnel advertisers focused on building awareness.
How does Bloomberg’s new contextual ad product work?
This capability helps advertisers buy spots on content across TV and digital that’s relevant for the audience they want to reach based on contextual signals such as key words. For example, many of our advertisers want to run against content specifically about ETFs [exchange-traded funds] or news related to retirement.
Over time, we expect to collect more metadata that we’ll use to build out this contextual offering. In the future, for example, there’s certainly a possibility for us to find more patterns between consumption habits and consumer preferences or interests that would be useful for brands.
Does Bloomberg’s audience vary based on channel?
We have found that our core demographic – high net-worth decision-makers – is very similar across every channel we distribute our content.
But FAST channel audiences actually skew a bit younger and they’re also more diverse in terms of job type, industry, title and seniority. This is a valuable audience to sell to advertisers, which are increasingly trying to reach younger viewers.
What else makes FAST channels attractive to Bloomberg?
We know more viewers are watching FAST, and we want to fish where the fish are. FAST channels are a great way to get Bloomberg into more homes.
From an advertiser perspective, FAST channels help us attract more brands that are looking for broader reach and higher awareness. A lot of brands come to us for our audience in particular, and our latest contextual product will give brands even more places to reach this specific audience, including on FAST.
Which is a differentiator for us, too. We know a lot of agencies are still buying FAST using broad demos.
This interview has been lightly edited and condensed.
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