Smart TV’s & Advertising


– By Gabrielle Hill

Mainstream television was first welcomed into Australian homes in 1956. And hasn’t it come a long way since then. Constantly evolving since its introduction, TV has progressed through the years with advancements such as portable televisions, the remote control, VCR, DVD, flat screens and now we have the ‘Smart TV’.

So what is ‘Smart TV’?

A Smart TV, is the phrase used to describe a trend of integration of the Internet and Web features into television sets and set-top boxes, as well as the technological convergence between computers and these television sets / set-top boxes. (Wikipedia)

Smart TV is also often referred to as “connected TV” or “Internet TV,” and can be connected to the Internet (over Wi-Fi or via a cable). It gives you on-demand content, such as video (like Netflix, CinemaNow and YouTube), photo galleries (such as Flickr or Picasa), social networks (Facebook, Twitter) and other information and media. No longer do viewers need to have multiple devices in their living room; watching TV & browsing the internet can now be done all on one device.

Along with the rise in popularity of Smart TV’s, is the beginning of a major transformation in the future of TV advertising. In addition to facing some big challenges, TV advertisers are also presented with opportunities to target consumers in a new and interactive way.

One challenge faced by advertisers is through consumers using Smart TV’s to stream internet content and record live TV programs. This enables viewers to watch programs at a more convenient time and most importantly, to fast forward through the traditional ad breaks or avoid them altogether.

However there are also benefits for advertisers from the convergence of the TV and Internet mediums. Advertisements can now be more closely targeted to the desired audiences. In addition to this,  if a viewer is watching an ad and wants to know more information about a product or even purchase the product online, they have immediate access to the internet.

Good or bad for the future of TV advertising, Smart TV’s are here to stay. Advertisers will need to evolve with this new medium and find the best way to use it to their advantage.

For more thoughts on how Smart TV’s are changing the face of TV advertising, check out this video below following this years’ Consumer Electronics Show in Las Vegas.