Boosting addressable TV and online video: ProSiebenSat.1 and Mediengruppe RTL Deutschland establish joint venture
Entire addressable TV and online video inventory of both media houses to be available on a common demand side platform (DSP)
Meeting the demands of the advertising market: More choice and reach
Cologne/Unterfoehring, June 5, 2019. Mediengruppe RTL Deutschland and ProSiebenSat.1 are entering into a groundbreaking partnership that will drive long-term growth in the addressable TV and online video advertising market in Germany. Advertisers will be able to target relevant audiences in the area of addressable TV and online video across the complete portfolio of ProSiebenSat.1 and Mediengruppe RTL Deutschland, directly and individually, with just a few clicks. The portfolio includes the digital offerings of both media houses as well as third parties.
ProSiebenSat.1 and Mediengruppe RTL Deutschland are establishing a joint venture that will allow them to control a platform for automated booking of addressable TV and online video. The demand side platforms offer answers the needs of the advertising industry as it will provide broad reach in the German market - in a brand safe environment - fostering the fast-growing advertising segments of addressable TV and online video. At the same time, this strategic alliance will strengthen the technological independence of both media houses from the global tech platforms. Each company will hold 50% in the joint venture.
By 2022, the market for addressable TV and online video in Germany is expected to be in the single-digit Euro billions. Currently, around 18 million TV devices in German speaking territories are reachable by addressable TV providing the opportunity for individualized advertising. This development offers ProSiebenSat.1 and Mediengruppe RTL Deutschland attractive growth opportunities. Addressable TV and online video already offer numerous targeting options, such as socio-demographic criteria like age, gender, or household income. Viewers and users can thus be specifically addressed with relevant and targeted advertising campaigns via TV and online.
Matthias Dang, Managing Director of Ad Alliance and Managing Director of Sales, Technology, and Data at Mediengruppe RTL Deutschland:
Strong partnerships are crucial for success in the world of digital advertising. After having expanded Ad Alliance this joint venture completes our ad tech stack on the demand side and is therefore a logical next step. Our core strength is our own content and we now work in a world where TV stands for Total Video. The fact that we can now make these high-quality and 100% brand-safe environments bookable via a uniform technology offers the market a strong solution and a real alternative to international tech platforms.
Thomas Wagner, Chairman of the Management Board of SevenOne Media:
This joint venture is a milestone in the German advertising industry. We are creating a new standard for addressable TV and opening the way for intelligent and addressable reach. At the same time, we are simplifying the booking of combined addressable TV and video campaigns. Our advertisers have clearly signaled their need for approach. The joint venture will create a win-win situation: We offer advertisers a one-stop shop which will boost addressable TV. It also demonstrates the importance of our investments into relevant advertising technologies. This provides us with the technological basis for our joint venture with Mediengruppe RTL Deutschland.
The technological basis of the new partnership is the demand-side platform Active Agent, which is part of the Virtual Minds, the ad stack of ProSiebenSat.1 Group. Using this platform, advertisers and agencies will be able to conveniently and programmatically book digital Total Video campaigns. Both sales houses are experiencing a significant and steady increase in the demand for addressable, high-reach campaigns and thus efficient targeting.
The partners will technologically fill this demand with their respective inventories from a single source and with an offer that is independent of whether viewers and users are reached via TV or online. The goal is cross-inventory and cross-device campaign presentation. At the same time, the joint venture ensures advertiser and agency support for bookings and further develops the product portfolio.
The partnership is subject to approval by the Federal Cartel Office (Bundeskartellamt)
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Boosting addressable TV and online video: ProSiebenSat.1 and Mediengruppe RTL Deutschland establish joint venture
