Last Wednesday, Greg Sterling reported on SearchEngineLand.com that lead software company Microsoft recently acquired Navic, an advertising business that streams ads to cable television networks as well as online websites. On its homepage, Navic comments on its campaign management tools which provide users with “real-time audience measurement data to optimize the delivery and placement of targeted interactive media.” Sterling reports that Navic makes use of a technology known as “addressable advertising;” this feature allows marketers to deliver TV ads to specific demographics at a designated time to ensure relevance and interest. Citing news aggregator AdWeek, Sterling contended that the recent merger between Microsoft and Navic represents one piece of “a larger vision for adCenter,” Microsoft’s own ad placement company. Similar to competitors such as Google’s AdWords, adCenter generates content ads based on selected keywords and then displays them “alongside relevant high-traffic editorial pages on the Microsoft content network.” In the long run, the software behemoth is aiming to transform adCenter into an all-inclusive platform where marketers can “place, target and track ads on the Web, mobile, in video games and now TV.” Prior to this acquisition, it was alleged that Microsoft looked to purchase Spot Runner, a similar TV/Internet ad company. Despite Microsoft’s aspirations for its advertising branch, and the hope to break into cable TV ad industry, Sterling warned of the numerous concerns “for the business of TV in moving to a more performance-based ad model.” He further commented that this particular market is facing considerable pressure “to prove value to advertisers who see audiences fleeing to the Internet.” |