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Sports & Rights

Programmatic Advertising Is About to Change Live Sports Forever - Amoh Sports Media | A Column by Nana Kofi Amoh

NK
Nana Kofi Amoh
Oct 20263 min read
Programmatic Advertising Is About to Change Live Sports Forever - Amoh Sports Media | A Column by Nana Kofi Amoh

Editor's Note

Amoh Sports Media is a column by Nana Kofi Amoh — creator of Amoh Sports Media and an ad-tech insider with buy- and sell-side programmatic advertising experience. This piece maps how programmatic automated auctions are transforming regional sports networks (RSNs) from legacy linear spot-buys into hyper-targeted Connected TV (CTV) marketplaces. Amoh breaks down how real-time device ID targeting, dynamic bidding between brands, and first-party fan data are bridging the gap between live sports fandom and measurable brand outcomes.


Across advertisers, agencies and publishers, programmatic has become the biggest buzz word across the advertising industry today. But the real question is why and what can live sports do to bridge the gap between fandom and brands.

For starters, we need to understand what programmatic is. To put it in simple terms, programmatic is the ability to bring the right ad to the right person at the right time. It is an automated model through auction buying where brands can bid with each other to get on your screen whether on your desktop, phone, laptop, or Connected TV (CTV) device.

The Mid-Game Ad Auction

Buying live sports programmatically is a seamless way to get in front of potential consumers. Let’s say you are watching an MLB game and an inning is going from the top to the bottom. There is going to be at least a two-minute commercial break in between innings prior to the bottom half starting back up. Programmatic advertising basically says we know what kind of viewer you are, whether by where you live, how much you make, and even what your interests are based on the ID of the device being used to watch the game (pretty wild, I know). Immediately, there are brands that are looking to get their ad on your screen because they believe if you view their ad, you are likely to order at that fast food chain or make a quick purchase to have it delivered while watching. 

In a case like this, Doordash, Grubhub, and Uber Eats are all trying to get on your screen before the other does during this ad break. Hypothetically, let’s say Doordash placed a $20 bid for their ad while Grubhub placed theirs at $23 and Uber Eats at $28. Because Uber Eats has the highest bid, they are awarded to run their 15- or 30- second ad slot on your screen, hoping you pick up your phone to scan that QR code or grab your laptop to go on their site to find somewhere to get you dinner options while the game is still going on. 

Hyper-Local Fan Targeting

Programmatic buying can get closer to home as well. If you are streaming the Chicago White Sox on Chicago Sports Network and you just so happen to be in the market for a new luxury car, local dealerships around the area are waiting to place their ads on your screen. From Motor Cars of Chicago to Luxury Auto Selection, local dealerships are placing their highest bids so you can at least consider them whenever you are ready to pull the trigger on purchasing a luxury car. The same concept goes to local supermarkets, law firms, and even TV and internet providers across the local ecosystem. The goal is all the same when it comes to programmatic.

Turning RSNs into CTV Engines

Working in programmatic for three and a half years has shown me that there continues to be unmarked territory in unlocking the potential of getting on RSNs programmatically. If RSNs are able to provide premium live sports while maintaining first-party fan and contextual game data, this is a great recipe for success to continue growing not only more subscribers but also fandom. As the RSN model continues to evolve, programmatic can turn local sports from a traditional TV advertising product into a highly targeted, measurable CTV marketplace simply because of the content that is being produced. As I wrote last week on Sportsnet Pittsburgh, they are primed for continued success not only at the conclusion of the Pittsburgh Pirates season, but also when the NHL season comes back around with the Pittsburgh Penguins simply because fans are willing to stay close to their local teams as well as the brands that are associated across the Pittsburgh designated market area (DMA).


Read More From Nana Kofi Amoh:

How MLB Teams Will Gain Revenue After Cable - Amoh Sports Media | A Column by Nana Kofi Amoh

Why Agencies and Advertisers Should Be Buying More Local Sports

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