Are Local TV Automated Deals Finally Here?
Big news: Local TV advertising is a $16B business, and HudsonMX plans to automate part of the process covering $6B (38%) this year.
Key details for HudsonMX project:
1) 30 media agencies
2) 294 advertisers
3) 210 media markets
4) $2B in spend YTD
Why this matters: Local broadcast TV is broken up into 900+stations spread out across 210 media markets. Cobbling together a multi-market buy creates unnecessary friction.
Programmatic TV advertising spend by year according to eMarketer:
1) 2018 — $1.75B
2) 2020 — $4.73B
Quote from JT Batson — CEO @ HudsonMX:
“You were spending a whole bunch of time just moving information back and forth…and not enough thinking about audience strategy, creative optimization or [reach and frequency]…If you’re a local agency, you need to make sure there’s a media ecosystem outside of Google and Facebook that’s going to be compelling for marketers,”
Our thought: Even if this is not fully automated/programmatic buying, it is still a step in the right direction.
FYI: Below is an example email that media agencies are sending local stations.
More #1: Do Local TV Stations Operate In A Competitive Silo?
More #2: “What we do matters”: Local broadcasters optimistic about the future of local media
