Simulmedia’s Morgan: TV Can Make $30bn By Optimizing Ads

By on 01/09/2014 6:57 PM @robertandrews

LAS VEGAS — By most reckonings, the US TV ad industry sells about $70 billion in ads each year. Dave Morgan thinks he can make that $100 billion.

The Tacoda founder now helms Simulmedia, a company bringing an avalanche of data to bear on TV ad buying – a process Morgan says deserves to be made more like internet ad buying.

“TV just rotates 2/two thirds of its spots according to sex, age and gender – not even picking a show-specific (spot),” Morgan tells Beet.TV at the Consumer Electronics Show. “Just using data to better allocate selection and placing of TV increases yield in campaigns by several hundreds percent.”

Simulmedia doesn’t yet want to revolutionize TV with advanced addressability. Morgan says the company’s data, including from 50 million set-top boxes and numerous measurement agencies, can improve matters today.

“TV has a chance for at least $20 or 30 billion of optimization within its exiting targeting infrastructure, just using data better in enhancing content-based buying with audience buying,” he says.

We spoke with him on Monday evening at opening night MediaLink party.

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