LONDON — Back in October, US satellite TV company DISH unveiled a test allowing advertisers to buy impression-by-impression ads on linear TV through a programmatic marketplace.
Powered by IPON WEB and plugged in to programmatic marketplace vendors DataXu, RocketFuel and TubeMogul, the system was billed as an industry first.
When programmatic and auction-based ad technology first took hold in the online display world, it was met with publisher skepticism – would the set-up devalue their ad slots?
DISH Media Sales addressable and programmatic GM James Shears denies the suggestion.
“Auctions are an opportunity for the market to set their price,” he tells Beet.TV in this video interview. “We have the floor set. We would never go below what we believe an appropriate value.
“From our experience in the addressable space, which is offline and not programmatically-driven, we’ve already established pricing parameters. We price things on an effective CPM basis.
“Given that there’s a targeting element (with the new system), as you get more refined in what you’re trying to target, your pricing reflects what you’re doing. It doesn’t deflate the value of your inventory – in fact, I’d argue it probably makes it more valuable.”
This video was produced at the Future Of TV Advertising Forum. Beet.TV’s coverage is sponsored by Xaxis. You can find more Beet videos from the conference on this page.