Over the next two years DirecTV plans on selling local ads in 50 markets, prognosticating that will bring in up to $400 millon in ad revenue, Multichannl News’ Todd Spangler reports.
The ads will appear on about 50 channels, the article says.
According to the article, DirecTV chairman and CEO Mike White said, "While we do a great job on ad sales, we’ve historically not had a capability to do local advertising." The story added, "Cable companies get around $5 per sub per month for advertising, whereas DirecTV gets around $2 per sub per month, he noted"
The technology used in delivering the ads will be from Invidi Technologies, the article said, adding, "As described by the companies, the various TV spots — sold in the local inventory available to DirecTV — will be delivered via satellite to subscribers’ DVRs. The Invidi software then determines based on different criteria which ad to serve in a given time slot."