(qlmbusinessnews.com via telegraph.co.uk – – Tue, 14 Nov, 2017) London, Uk – –
Channel 4 has teamed up with three European commercial broadcasters to book pan-European advertising campaigns, allowing it to take on digital ad giants Facebook and Google for the first time.
The European Broadcaster Exchange, which comprises of Channel 4, Germany’s ProSiebenSat.1, France’s FT1 and Mediaset, which operates in Italy and Spain, will launch early next year.
Each of the parties will hold a 25pc stake in the new joint venture, which will compete for pan-European digital advertising campaigns, running those campaigns across their “on-demand” online streaming services.
Channel 4 said the venture allows it to “enter the pan-European digital ad sales market for the first time”.
The broadcaster, home to The Great British Bake Off and First Dates, last year saw its digital revenues rise 25pc on 2015. It said its on-demand platform, All 4, now had 16m registered viewers, of which more than half are in the 16-34 age category.
However, as both Facebook and Google continue to eat up more of the digital advertising market, currently accounting for more than half the UK’s market, more traditional media players are seeking new ways to attract advertisers.
Research from eMarketer in September showed the Silicon Valley firms were together expected to attract £6.3bn of UK advertising spend this year, and even more next year.
However, in recent months, both Facebook and Google have been subject to criticism for running adverts paid for by Russian agents to influence the US presidential election. Earlier this year, a number of brands pulled adverts from Google’s YouTube video site after their ads appeared alongside extremist content.
Speaking about the new venture, Channel 4’s head of digital & partnership innovation, Jonathan Lewis said the “demand for multi-territory digital ad campaigns in brand safe and transparent environments is increasing as the programmatic video ad market continues to grow exponentially across Europe”.