Magnite and Mediaocean are teaming up to provide local linear TV ad buyers easier access to streaming and CTV inventory.
Under a new partnership announced Thursday, Magnite’s sell-side streaming TV footprint has been integrated into Mediaocean’s ad infrastructure for omnichannel advertising. It gives local linear TV buyers a direct route to Magnite’s entire premium CTV supply, with the ability to use existing converged workflows in Mediaocean’s platform.
The move opens up new access for local buyers, as Magnite’s streaming and CTV supply was previously unavailable to them until the recent integration. Magnite has said its supply covers more than 80 million CTV households in the U.S., accounting for 90% of ad-supported CTV viewers in the country.
Local buyers in Mediaocean assign budgets using local station codes, essentially DMAs, and the integration means Magnite assigned its own station codes, known as “call letters,” so that its CTV supply appears just like local stations would in the Mediaocean platform. As part of the deal, the companies said local buyers can choose where to allocate their localized ad spend to Magnite within Mediaocean, enabling them to execute the CTV buys with their existing planning tools - meaning fewer operational obstacles for linear teams, which are used to traditional TV advertising processes and channels to get in front of viewers.
Commenting on the impact for local buyers, Matt McLeggon, SVP of Advanced Solutions at Magnite, pointed to marketers looking for new avenues in the face of shifts in the TV viewing and advertising landscape.
“Local linear TV buyers have long relied on established channels and schedules to reach their target audience. The rise of digital viewership alternatives has disrupted this model,” McLeggon told StreamTV Insider via email. “Viewers are increasingly turning to streaming services, causing a decline in traditional TV viewership. As a result, advertisers and marketers are grappling with how to maintain their reach and engagement in this new era.”
The partnership with Mediaocean also has benefits for streamers and media owners.
“As a result of this partnership, streaming media owners who leverage Magnite have access to a huge pool of untapped media spend,” McLeggon continued. “Conversely, local linear buyers can tap into all of the scale, efficiency and fluidity of CTV without upending their established workflows and technology toolset.”
And while local buyers make their own decisions about where to allocate spend, Magnite expects many will zero in on long-form, big-screen opportunities.
Although traditional TV advertising still dominates, bringing in multi-billions in revenue, globally it’s tipped to decrease in 2023 while CTV ad revenue is projected to climb double-digit percentages. Per GroupM’s mid-year advertising forecast for 2023, global traditional TV revenue is forecast to decline 1.2% to $133.6 billion – excluding political advertising in the U.S. – while CTV revenue comparatively, is estimated at $25.9 billion this year, reflecting a 13.2% bump over 2022. And between 2023 and 2028 CTV is expected to add 10.4% ad in revenue on a compound annual basis.
As for Mediaocean, Richard Pacheco, SVP of Strategic Partnerships at Mediaocean, in the announcement highlighted the company’s focus on executing ad buys across channels and pursuing partnerships within the ad space.
“As traditional television and digital increasingly converge, we remain committed to enabling omnichannel execution and providing interoperability with key players across the advertising ecosystem,” said Pacheco in a statement. “We’re excited to give local linear TV buyers a direct avenue to the entirety of Magnite’s premium CTV supply through existing workflow in our platform.”