This should be particular interest to Media companies – Telecom major Alcatel-Lucent has filed for a patent in India, for contextual advertising on IPTV networks. Since advertising will be delivered to the screen over the broadband network, it gives them the opportunity of contextualizing ads based on location, personal TV viewing habits etc. The ads will probably be stored on the Personal Video Recorder (PVR) or Set Top Box (STB), and delivered during specific TV spots, based on selection.
Examples of what their service can do
— Delivery of context specific ads on television channels during the “ad insert period”, based on selection of a bunch of advertisements.
— Location based advertising, for specific Distribution Areas, also based on demographic information and/or proximity to advertiser.
The idea is to provide better targeting on Television – provide ads to consumers closer to the advertisers place of business, as well as target neighbourhoods where the psychographics favour the advertisers services – thus allowing an advertiser wants to advertise to and only pay for advertising that reaches subscribers who are likely potential customers.
Challenges: Television spots normally range from 15 seconds to 90 seconds, with 30 seconds being the usual length. One challenge for the service will be to maintain a standard length of an ad break (say 3-5 minutes), and yet ensure that the dynamically placed ads all total up to the same length of the ad break. The bigger challenge, however, is selling the concept to media planners and channels.