Motley Fool recently wrote about the streaming world shifting towards ad tiers and how that’s going to benefit a lot of supporting players, including Roku.
https://www.fool.com/investing/2024/07/27/2-stocks-down-63-to-buy-right-now
Stepping back to look at the much larger picture, we can see the gold rush that happened during COVID with the major publishers trying to maneuver and gain market share. The harsh lesson learned: content creation, licensing, international expansion and figuring out how to monetize libraries is quite expensive and ultimately not sustainable long term through subscription plans.
The only way to get the best yield on content is through ad tiers, as every aspect can be properly accounted for through connected revenue. And the full power of programmatic advertising can finally strut its stuff… Meta and Google don’t have to be the only games in town.
With the rise of ad supported streaming comes a strong demand for better ad yields, dynamic audience packages, measurement, attribution, fraud protection, contextual/stitching adherence and an agnostic platform to host all of these viewing experiences.
Here are four that are going to benefit tremendously from the push toward ad tiers:
Integral Ad Science (IAS): $1.7B
Magnite (MGNI): $2B
DoubleVerify (DV): $3.5B
Roku (ROKU): $8.5B
“The root of all superstition is men observe when a thing hits, but not when it misses.” – Francis Bacon
A False Prophet – There Will Be Blood (6/8) Movie CLIP (2007) HD