“Breaking the routine, tearing down clichés”
In order to analyze IPTV in advertising, knowledge of the advertising business is vital. In the advertising business there are two advertising scenarios to be acquainted with. The first one is television advertising. The television advertising works like this; When you have a construct and time addiction is possible, it is required to shift the broadcast at certain points for location based advertisement changes and difference in commercials. Let’s get into some detail on that. You’re watching television in İstanbul and there is a program on. As it ends commercials begin. At the same time, commercials have to begin for people watching the same channel in Germany. In the same commercial slot, Turkish advertisements are being aired in Turkey while German advertisements are being aired in Germany. And with little to no lapse, with advertisements with similar lengths being placed, the broadcast continues.
This poses much more serious problems in live broadcasts. Of course this is not the deal with the internet and IPTV. Since you can resume your broadcast whenever and however you want, the commercial slots are much more utilizable. Longer or shorter commercial slots or different sorts of advertisements called telescopic advertising are made possible. With IPTV, people will move away from linear broadcasting. Moving away from linear broadcasting doesn’t mean that the number of live broadcasts will diminish. It can even rise, but the point is, time shifts will be possible. When the viewer is watching television and has urgent business to attend to during the broadcast, they can pause and resume as they wish.
So, what are the profits of this? Even though it seems like a huge advantage for live broadcasts, there are doubts about It being necessary. Because during live broadcasts people are racing time, so it is vital to receive that information at that exact point. When you pause and resume a live broadcast late, you might feel like what you are watching was prerecorded. Let’s say that you’re watching football, and it’s the championship game. You had to step away from the television for a little while, and ended up with a 2 minute delay. 2 minutes pass and you think that the broadcast is over and your team won the championship, but you get a bad phone call saying that the championship was lost. When you look at it from this angle, I don’t think the time shit – pausing live broadcast – will be used very often. However for video on demand, broadcast which can be viewed whenever you want, time shift will be vital. Because on your computer, cell phone or television, you will be able to pause whenever you want or take bookmarks just like in a book and resume watching later. This will also enable you to follow two separate programs which air at the same time.
From the advertisement perspective, these new slots opening up will cause some major changes. Especially location based advertisements will be used more frequently. Since analysis will be done frequently larger advertisers will step into a new road where they can control whether their advertisements reach the right people or not, rather than allocating advertising budgets and divide large advertisement pies. Perhaps the situation at this point will be used in the long run. Rather than CPM, cost per milie meaning paying for showing the advertisement to 1.000 people which is used on the internet, CPC, cost per click, will be used. With CPM I mean a similar method philosophy to the one being used on the television. Even though the jargon is different, advertisement fees are being paid thinking that it reaches certain people in a commercial slot. In this new system you’ll be able to check if the advertisement reaches its intended target when you pay for it, and determine the budget when you see if the target is interested in the product. We will see a similar version of cost per click, where the fee is paid for clicking banners, in IPTV.
One of the biggest profits of this is that while budgets are getting smaller for larger advertisers, the smaller advertisers will also be able to benefit from this pie. While watching a live broadcast from İstanbul, it is more beneficial to see the commercial of an advertiser from your region, rather than a kebab place in İstanbul. This will also change things. In advertisement departments (especially in television advertisement departments) employees have been meeting the advertiser in person and doing business. In this new era the advertiser will work on itself as part of the system. Only in television broadcasting will they be moderated, but other than that they will create and place their advertisements on their own. Obviously they will also be able to see their own analysis. One of the most successful examples of this is Google’s current system AdWords. You place the ad yourself, edit it to your liking and only a small amount of moderation is involved. After that the advertiser can place and remove the advertisement as they like. A vital point that should not be missed is that the websites also have to approve the advertiser.
