If you’ve been online lately, then you know how powerful recommendation engines can be.
They help us find clothes we want to buy, food we want to eat, and blog posts we want to read. The systems that suggest content and products based on a person’s buying or browsing history have become ubiquitous—and are now an essential part of a great digital experience. Their algorithms strike a rare balance that benefits both customers looking for products and the businesses selling them.
But you may be surprised to find out that they’re an opportunity for advertising as well.
Personalizing the video experience
One of the most successful uses of recommendation algorithms is in video viewing. When TV viewers had access to 100 new shows or movies, they could easily find out about them by watching the scrolling cable guide. Today, viewers are inundated with choices; they need help navigating the thousands of options, and want to feel confident that a new series or movie is worth committing to.
This is where recommendation engines built on the backbone of machine learning shine. They provide dynamic, personalized suggestions based on industry trends and a person’s viewing history. The more people watch, the more dialed in the recommendations get.
That’s part of what makes it a unique opportunity for advertisers. Because recommendation engines are tuned into viewers’ specific tastes, ads can be targeted to the consumers who are most likely to watch a new show or movie. Brands don’t waste money showing ads to an uninterested viewer. And the ads are shown when and where viewers are ripe for conversion—when they’re actively looking for something to watch next.
Finding entertainment ad dollars
Recommendation engines are particularly well suited for entertainment advertisers. This segment has typically shied away from digital channels; eMarketer has noted, for instance, that media and entertainment spends the least on paid digital among the industries it tracks (outside of pharma). The reason? It’s hard to justify mobile or display ads when you’re trying to reach someone who you want to be watching a show in the living room.
Today, via sponsored recommendation placements, an entertainment buyer can target consumers on their couch through a native, digital-inspired buy and know that the consumer watched a particular show or movie.
For example, TiVo’s Sponsored Discovery solution nestles ads dynamically in targeted recommendation carousels. Powered by TiVo’s Personalized Content Discovery platform, this ad solution streamlines choices for viewers and captures their attention wherever they consume content. A first for the media space, this specialized inventory allows advertisers to integrate relevant ads based on what their audience watches. The recommendations can help recover lapsed viewers and drive new customers to their valuable properties.
Remember, people trust what recommendation engines provide. By delivering personalized results, these smart algorithms encourage loyalty and goodwill. Viewers feel understood, their desires fulfilled. What brand doesn’t want to be a part of that?
