Why Yahoo! Scores An Advertising Touchdown with NFL Live

Why Yahoo! Scores An Advertising Touchdown with NFL Live

Advertising

As more cord-cutters embrace connected TV, advertisers don’t reach as many people as they used to. We blogged recently about the fact that even blockbuster TV shows like Game of Thrones attract a fraction of the audiences that used to gather in linear television’s heyday. The change has created an environment in which content creators and advertisers are invited to find new ways to make money from digital audiences. The shift isn’t limited to shows or series, of course. It also includes live sports, with platforms and publishers such as Facebook, Twitter, Yahoo!, and YouTube landing rights to broadcast games from the likes of Major League Baseball, the NFL, and the NHL. Yahoo!, for example, has adapted to the connected TV era by providing the NFL Live experience, which, in turn, creates an opportunity for advertisers: a less expensive, more targeted way for brands to reach NFL fans.

What Is NFL Live?

NFL Live is currently the only free mobile site for watching live NFL games. Yahoo! makes free NFL viewing a reality by empowering businesses to advertise on NFL Live. Some of the advantages to advertisers are straightforward: brands get their name in front of six million+ people who have downloaded the app, for example. But it’s not just the volume that matters—it’s the ability to target viewers. Instead of buying advertising spots for certain times during a game (the third quarter of a Bears/Packers game, say), advertisers on NFL Live can reach out to particular audiences. By targeting a group as specific as women ages 25-34 making $100,000+ annually, an advertiser may not reach the largest audience — but they can reach a market they determine is uniquely suited to their brand. It’s a trade-off that can be lucrative, bringing to mind the maxim “quality versus quantity.”

Another perk: it’s less expensive to advertise on NFL Live. A typical network ad during an NFL game costs about $300,000. By contrast, there is no minimum spend for advertising on NFL Live. Advertisers can spend as much or as little as they want.

How Is Yahoo! Expanding NFL Live to Yahoo!’s Fantasy Football App?

Yahoo! has done something else. The company is ramping up its NFL Live offering by also streaming NFL games on Yahoo!’s popular Fantasy Football app. As Yahoo! Fantasy analyst Liza Loza recently said, “NFL fans all over the country can root for their favourite teams and watch all local and primetime games free and unauthenticated in the Yahoo! Fantasy Football app, the Yahoo! Sports app and other Verizon and NFL media properties on phones and tablets.” Multiple streaming locations mean a larger audience. They also hold the promise of attracting new fans. Yahoo! Sports general manager Geoff Reiss said that the digital platforms have brought in a “concentration of younger fans watching the NFL . . . Half of our fans were under the age of 40. I think one of the reasons the league was interested in working with us is we would be a means for them to reach younger audiences.”

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Yahoo! is a prime example of a business that’s adapting with the times. It’s important that advertisers remain nimble and aware of what companies like Yahoo! are doing, and capitalize on the opportunities that the changing market affords. Accept the fact that you won’t be reaching as big of an audience. Embrace the reality that you can in fact reach a much more targeted audience: one that’s smaller but more measurable. Call True Interactive for more insight into how to do that.

How Verizon Media Is Evolving

How Verizon Media Is Evolving

Advertising

Verizon Media (formerly known as Oath) is enduring a transition. But advertisers, especially business-to-business brands, should keep the company on their radar screens and be ready to act on some of the changes occurring at the subsidiary of Verizon Communications.

Verizon Media Shares Mixed News

In recent months, Verizon Media has been the source of difficult news, including layoffs and declining revenues. One piece of news we’ve been following and reacting to throughout 2019: the closing of the Oath Ad Platforms ad server in 2020. As Verizon Media told Adweek,

Following a strategic review of our business, we have decided to close the Oath Ad Platforms Ad Server, effective 2020. We are working with our customers to ensure they are supported as they migrate from the Ad Server platform. This does not affect our Oath Ad Platforms SSP business.

I see the shutting down of the Oath Ad Platforms Ad Server as good news for Oath customers. Advertising on the Oath Ad Platforms Ad Server means using the Yahoo! platform, which lacks strong functionality and uses dated features. With the shutdown of the Oath Ad Platforms Ad Server, your business will transition to Bing. This change is especially advantageous now that Microsoft organized its advertising products under Microsoft Advertising. The rebrand entails the launch of new features such as Sponsored Products and an enhancement of recently launched features such as Microsoft Audience Network, which is powered by artificial intelligence. Advertisers will be in a stronger position thanks to the stronger role Microsoft now plays.

A New Phase for Verizon Media

Meanwhile, Verizon Media is entering a new phase that includes the embrace of augmented reality and virtual reality, according to CEO Guru Gowrappan. In a recently published interview with Fortune, he said,

The biggest thing we’re investing in is 5G [the faster successor to 4G LTE mobile networks]. Every product is going to have an aspect of 5G. You’re going to have deeper integration of augmented reality and virtual reality.

We not just have front row seat and access to what is happening but we’re also building all of our apps, products, and content in that experience. So if you go to our Los Angeles office, we have the first 5G animation studio [Ryot Studios]. It’s brought down the cost of producing animation, and Ryot does a lot of AR content.

He also plans to integrate e-commerce with advertising more effectively, following the example set by Instagram. As he pointed out,

Let’s say you’re watching the Dallas Mavs and want to buy a jersey while you’re watching. We want to integrate commerce more deeply.

Also, the ad model itself has become combined with transactions. That’s what Instagram does. It’s advertising and sponsorships, but in the end, it’s enticing you to come in and transact on the platform.

These are bold statements for a company emerging from hard times, but the company understands that its previous game plan has been flawed.

What You Should Do

My advice to brands advertising on digital:

  • Take stock of Verizon Media’s considerable publishing assets, such as Engadget, Huffington Post, TechCrunch, and Yahoo! According to Verizon Media, its publishing platforms deliver an audience of more than 1 billion people.
  • Watch how Verizon Media evolves its ad products under Guru Gowrappan. He has made it clear that it’s no longer business as usual at Verizon Media. The possibility of ad products using AR and VR is exciting, but the more important near-term development is the integration of e-commerce with its ad products for businesses seeking a tighter integration between online ads and sales.
  • Make sure you understand the impact of the demise of the Oath Ad Platforms Ad Server. Talk with your agency partner if you’re working with one. Ensure that you understand the role of Microsoft (which I see as a positive one).

As always, contact True Interactive if you need help navigating the digital landscape. We have deep experience with online advertising. We’re here to help.