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Q&A with Amobee following acquisition of Videology

Last week Singtel subsidiary Amobee announced it completed the acquisition of assets from Videology, a leading software provider for advanced TV and video advertising. With this acquisition, Amobee will advance its connected TV and digital video solutions with data-driven tools, partnerships, and opportunities for clients worldwide.

We talked with Amobee about what the acquisition of Videology means for their business and for the industry as a whole.

ClickZ: How do you see the role of video in digital advertising evolving in the next year? In the next 5 years?

Amobee: Digital advertising is in the midst of a major transformation and Advanced TV is a huge part of it. Case in point: video now makes up over half of daily media consumption in the United States. The tipping point for video is finally here and we are at the all-important moment of inflection.

With global digital ad spend expected to reach $270 billion and worldwide TV ad spend $190 billion in 2018, Amobee aims to deliver next generation advertising leading the convergence of digital and TV. It’s long been proven by Nielsen and others that ads seen on TV create a strong emotional connection with viewers who expect to seeand welcomethose ads. This makes TV advertising especially effective for building a brand.

The addition of Videology combines TV, social, and digital in a single platform, enabling marketers to unify advertising across all screens and devices. The opportunity to reach consumers across TV and video environments, including the growing streaming space, is an opportunity for marketers to reach their strategic targets.

For marketers, the converging world of digital media means they need a deep understanding of how to properly activate TV and video.

For Advanced TV, the three critical elements now and for the next few years for brands, agencies, and broadcasters are ensuring premium quality inventory, being able to scale, and providing quality cross-device measurement to understand impact.

ClickZ: What role specifically do data and AI play in optimizing these TV/video campaigns and spend?

Amobee: Having the right strategy to activate data-driven marketing is something the modern marketer can’t live without. It informs everything from creative decisions to campaign performance. It allows ambitious marketers the ability to go beyond merely knowing the customer by using data, AI-driven insights and technology to guide activation and optimization across the right channels and devices.

With the shift of advertising dollars from traditional TV to streaming services on the rise, the unique ability to understand audience behaviors through contextual AI across linear and connected TV will provide marketers deep insight into cross-platform media planning for video, mobile apps, and the web. AI is built into Amobee’s solutions and empowers a higher level of consumer understanding that, in turn, creates an ability to cultivate a highly personalized consumer journey.

By leveraging AI to ensure the data coming in and data going out is more accurate and predictions are better and more precise, marketers will inherently drive better ROI for their clients. Amobee has built algorithms that provide feedback and data in almost real-time that gives our platform the ability to get that information back to the marketers to significantly improve their campaigns in-flight more quickly and effectively.

ClickZ: What about video in particular is more personal and more strategic than static posts for engaging consumers?

Amobee: More than half of overall daily media consumption by consumers in the US is time spent with video. Marketers can use sight, sound, and motion of video to effectively and creatively captivate consumers with their messaging. With such a high consumer demand for premium video content, Advanced TV advertising has become a win-win for providers and advertisers alike.

Having TV, digital, and social all on one platform means brands, agencies, and broadcasters can now go beyond traditional media buying to orchestrate execution across multiple channels. They can apply deep, contextual insights to better reach target audiences.

ClickZ: Will all industries need to step up their game in the digital video space? Which will get there first?

Amobee: In short, yes. In order for marketers to really make an impact, they need to be where their customers areand customers are increasingly moving toward Advanced TV solutions on multiple devices.

From 2008 to 2017, we saw a 23 percent uptick in audience consumption of digital video and advanced TV. That percentage is only going to increase. This is true for any and all verticals, whether it’s CPG, auto, travel, finance or even health.

Advertisers need to be able to manage their TV-centric media planning as well as their programmatic and social ad spend online from a single platform to most effectively reach consumers. By unifying data and media planning, they can activate smart and exciting campaigns to reach their desired audience and drive results.

ClickZ: How does the martech landscape in APAC compare with that in North America and/or Europe?

Amobee: North America continues to lead the pack in terms of spending and influence, but APAC isn’t far behind. In fact, total media spending in APAC is expected to surpass the US by 2020, reaching $254 billion vs $250 billion.

The challenge in APAC is not only the considerable lack of reliable data for brands, especially in developing markets, but also legal, regulatory, and language challenges.

Amobee parent Singtel is a global telecommunications player with deep roots in Asia. It’s a growth market with untapped potential in digital marketing. Telcos have one of the deepest pools of rich data and can help solve broader marketing needs within regions with a relative lack of data and allow for personalized, relevant, and seamless experiences that consumers have come to expect.

Amobee is focused on building a differentiated, competitive marketing stack to make unique operator data assets accessible to marketers. With Singtel, our goal is to help marketers to better understand consumers across walled gardens, where other telcos have framed the opportunity differently by building out walled gardens, supported with telco data.

ClickZ: As a company, how do you strategize for these global markets converging over the next few years?

Amobee: Television is the largest category of advertising spend and the industry is in the early-stages of the TV and video advertising transformation. With the acquisition of Videology’s innovative technology assets, Amobee will strengthen its omni-channel capabilities and continue to bring marketers next generation solutions to reach and engage consumers on a global scale across multiple devices and screens. 

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