As ad tech continues to evolve, a new way of using screen real estate to serve less intrusive ads is opening up additional revenue streams for video providers.
A mock-up of what a contextual L-band ad would look like in a live sports broadcast
One of the key trends that is shaping the modern streaming landscape for broadcasters and operators is viewers’ renewed tolerance for advertising. A dislike of intrusive advertising was one of the driving forces behind cord-cutting and the migration towards streaming in the first place, but now the terms of the deal between video providers and consumers have changed.
The introduction and rapid growth of ad-tiers in the leading streaming services and the rise of FAST channels in the US and latterly worldwide has proved that consumers will tolerate advertising for lower cost services. However, there are conditions for this: Ad loads need to be lower than with traditional linear TV services, and there is a marked preference for ads to be relevant to viewer experiences, both of which have led to a corresponding growth in the popularity of targeted TV advertising.
The industry’s ability to control the UX is also leading to new innovations in the way that we can use screen real estate. And one of the latest of them, and something that we will be demonstrating at NAB 2025 along with our partner in this endeavor Broadpeak, is unlocking the power of L-band advertising.
As the name suggests, L-band TV advertising, also known as L-shape TV advertising, consists of L-shaped overlay ads displayed on TV at the same time as the main content. The ad, which can be moving or static, appears in an L-shape placed usually on the left side and bottom of the screen while the content is resized into a smaller window to accommodate its appearance. Other shapes are possible, J, U, and O for instance, but the L follows most viewers’ tendency to process visual information from left to right and tends to be the most popular.
It is just one example of a broader category of non-linear advertising that is shaking up the industry. Rather than replacing full-screen advertising, though, it is usually considered additional to it and a whole new type of ad inventory that tends to be triggered during natural transitions or call outs in the program (a sports broadcast action replay sponsorship, for instance) thus proving increased monetization opportunities. Indeed, they can also be linked to contextual metadata, inserting an ad for holidays during a travel documentary, for instance, and are a powerful route to implementing shoppable TV initiatives.
They offer multiple benefits and can:
While they offer multiple benefits, deployment of them within the current broadcast ecosystem and ad tech stack can be complex, which is why a dedicated solution is required.
Our collaboration is actively deployed and delivering strong results in tests at a major Tier-1 European operator, with multiple prospects in the pipeline across multiple continents.
It’s important to note that it works out of the box. It’s pre-integrated on both the device side and the back-end, leveraging broadpeak.io, Broadpeak’s SSAI platform, and SmartLib SDK along with the VO Secure Video Player and VO’s Targeted TV Advertising technology. This allows the solution to securely and safely insert the L-shaped ad content into the stream while precisely resizing the main video content to fit inside the resulting smaller window. In turn, this enables the system to meet any content owner requirements to leave the original video untouched, violation of which can even void carriage agreements in some cases.
Crucially it also implements the SIMID 1.2 standard (Secure Interactive Media Interface Definition). SIMID is part of industry organization the IAB’s initiative to combat industry fragmentation and create consistent ad format standards. By ensuring that the solution meets the SIMID 1.2 criteria and its standardized approach to ad insertion, we ensure that it is future-proofed. Far from being a technological bottleneck or a proprietary silo, this system is designed for seamless integration within a broader framework, accommodating diverse tech contributions now and in the future.
One of the keywords here is ‘secure’ too. SIMID is a container that enables communication between the player and any ad creative. Because the ad creative is securely enclosed in the SIMID container, none of its code can access the player or the environment where the player is executed. This enables media companies to deploy SIMID-compliant technologies with utmost confidence.
L-band advertising represents a significant innovation in the advertising landscape for video providers. By effectively utilizing screen real estate in a way that is less intrusive to viewers, it is an advertising format that not only aligns with the evolving preferences of consumers but also opens up new revenue opportunities for anyone involved in streaming video.
The collaboration between Viaccess-Orca and Broadpeak shows the importance of deep-level integration in the ad tech stack to streamline the seamless integration of L-band ads, ensuring compliance and maximizing viewer engagement. As the streaming industry continues to evolve, both embracing opportunity and coming under pressure to perform, embracing innovative advertising solutions such as this will be crucial for broadcasters and operators looking to enhance their offerings and stay competitive in a crowded market.