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# 𝗧𝗵𝗿𝗲𝗲 𝗠𝘆𝘀𝘁𝗲𝗿𝗶𝗲𝘀 𝗢𝗳 𝗧𝗵𝗲 𝗧𝗲𝗹𝗲𝘃𝗶𝘀𝗶𝗼𝗻 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆 𝗘𝘅𝗽𝗹𝗮𝗶𝗻𝗲𝗱
- URL: https://tvrev2beta2.ghost.io/t5vhmxjmoil2im3fg1goft1at2t36l/
- Published: 2023-04-19T03:07:08.000Z
- Updated: 2023-04-19T03:07:08.000Z
- Author: Alan Wolk
- Tags: ad targeting, ad supported streaming, #sqs, #Import 2026-09-03 20:57, Ad Tech

### 1\. 𝗦𝘁𝗿𝗲𝗮𝗺𝗶𝗻𝗴 𝗩𝗶𝗲𝘄𝗶𝗻𝗴 𝗜𝘀 𝗪𝗮𝘆 𝗨𝗽, 𝗕𝘂𝘁 𝗦𝘁𝗿𝗲𝗮𝗺𝗶𝗻𝗴 𝗔𝗱 𝗦𝗽𝗲𝗻𝗱 𝗛𝗮𝘀 𝗡𝗼𝘁 𝗞𝗲𝗽𝘁 𝗣𝗮𝗰𝗲. 

#### 𝙍𝙚𝙖𝙨𝙤𝙣 𝙒𝙝𝙮: 𝘾𝙤𝙣𝙩𝙚𝙭𝙩 𝙢𝙖𝙩𝙩𝙚𝙧𝙨

Most of the inventory currently available on streaming is reruns of old network TV shows and movies. The big advertisers who spend hundreds of millions on image campaigns still see original series on network prime time as a more appropriate venue for their messages. The lack of standardization in just about every aspect of the business does not help, but it is not the main factor. This will change once the ad-supported arms of Netflix, Disney, Max, et al are more robust (figure two to four years) and advertisers view the originals on these SVOD services as the new prime time with FASTs being the new cable.

### 2\. 𝗦𝘁𝗿𝗲𝗮𝗺𝗶𝗻𝗴 𝗗𝗼𝗲𝘀 𝗡𝗼𝘁 𝗦𝗲𝗲𝗺 𝗧𝗼 𝗕𝗲 𝗔𝘀 𝗣𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗹𝗲 𝗔𝘀 𝗟𝗶𝗻𝗲𝗮𝗿. 

#### 𝙍𝙚𝙖𝙨𝙤𝙣 𝙒𝙝𝙮: 𝙄𝙩 𝙘𝙖𝙣’𝙩 𝙗𝙚. 

Linear TV is propped up by the tens of billions of dollars consumers pay in carriage and retrans fees, courtesy of the Cable Act of 1992\. I say consumers, because while the MVPDs are technically the ones paying those billions, they pass on the costs to consumers in the form of higher cable bills. There are no carriage and retrans fees in streaming, and as such, streaming will never be as profitable, no matter how high subscription fees and CPMs go. This is not to say it will be unprofitable. Just not as profitable as linear.

### 3\. 𝗗𝗶𝗴𝗶𝘁𝗮𝗹 𝗦𝘁𝘆𝗹𝗲 𝗧𝗮𝗿𝗴𝗲𝘁𝗲𝗱 𝗔𝗱𝘃𝗲𝗿𝘁𝗶𝘀𝗶𝗻𝗴 𝗢𝗻 𝗧𝗩 𝗦𝘁𝗶𝗹𝗹 𝗛𝗮𝘀𝗻’𝘁 𝗧𝗮𝗸𝗲𝗻 𝗢𝗳𝗳. 

#### 𝙍𝙚𝙖𝙨𝙤𝙣 𝙒𝙝𝙮: 𝘽𝙞𝙜 𝙗𝙧𝙖𝙣𝙙𝙨 𝙙𝙤𝙣’𝙩 𝙬𝙖𝙣𝙩 𝙞𝙩. 

Using all that data to target specific audiences on TV is a great move for DTC brands and certain types of retailers. Unfortunately those brands don’t represent a huge portion of total TV ad spend. The brands that do spend hundreds of millions on TV each year generally have no interest in targeted advertising. As they see it, their audience is everyone with a mouth, everyone with an ear, everyone with a driver's license. They run big budget awareness campaigns on TV to get reach. If someone outside of their desired target sees their ads, they don’t view that as a bad thing as that person may help reinforce a purchase decision. Yes, they will sometimes spend money on targeted campaigns to support a specific initiative, but it will not be the bulk of their ad spend. And as TV data becomes more sophisticated, they will make much greater use of it to track effectiveness and impact, but the big spenders will always want massive reach.