Sports-Betting Ads Drive Strong Q1 Ad Business in New York

Operating for only 24 days in January New York yielded about 17 billion in wagers unseating New Jersey The Garden State was one of the first states to offer online sports betting and it came in second at 13 billion Combined the two states brought in 36 of the total national volume of 836 billion according to Sports Business JournalThe trends continued in February and March with New York and New Jersey again leading the 19 states reporting their betting volume Stakes are high for the nine sportsbooks that paid over 225 million in application fees for the rights to do business in the state Their success hinges on grabbing consumer attention and that means advertising on the programs that sports fans watchWhile the Super Bowl is a huge draw sports fans turn to cable television in droves after it39s over and all through the year Consider that 80 of cableviewing households watch sports and sportsrelated content and 97 of the top 30 cable telecasts were sports related Sports viewership has been strong yeartodate in the New York Metro market The NCAA Men39s Basketball Tournament saw a 17 increase in viewership for the Final Four on TBS over the prior year in the adults 2554 demo Round one of the NBA Playoffs across TNT and ESPN were up 8 for adults 2554 versus the prior year and the Mets regular season telecasts on SNY are averaging a 20 increase in the same demo compared with last season to datequotIt39s been exciting working with our sportsbook partners on the New York launchquot said Tom McLoughlin Vice President Regional Sales New York Interconnect NYI quotThe category has grown significantly Yet with any new vertical there are challenges The high tax rate in New York concerns many advertisers Fortunately NYI has the tools to make every dollar count by offering everything from precise data to geotargeted solutions and customized local sponsorship executionsquotWhile network and league ad restrictions have opened up with sport betting permitted in most live sports telecasts NYI has the ability to go even further to reach sports viewers quotWe have over seven million settop boxes that report on secondbysecond viewership dataquot McLoughlin explained quotWe can help the sportsbooks be on the right networks the right day parts and in the right programming Maximizing our clients39 ad spend is our No 1 priority and utilizing the best data in the marketplace is a huge advantage we bring to our advertiser partnersquotMcLoughlin explained that NYI39s settop data helps sportsbooks figure out what other programming sports fans are watching beyond the games themselves quotWe can identify households that have watched the NBA playoffs on TNT or the Yankees on YES or NCAA March Madness basketball and what other networks those households tune in toquot he saidRegional advertising is a particular draw for sportsbooks to drive strong reach and frequency and take advantage of customized sponsorship opportunities specific to a given market The results of local advertising are significantHadassa Gerber head of research at the TVB trade organization discussed the results of a consumer survey in an April 8 interview with TVNewsCheck quotWe asked which platforms were the most effective for awareness and consideration for placing a bet and television really dominatedquotGerber also noted that quot96 of those who saw a sportsbetting ad took some sort of action 46 opened an account online and 42 placed a bet We have not seen this kind of response from any other categoryquotOther campaign performance metrics come from data partnerships quotUtilizing ad exposure data we can deterministically prove performance showing which households were exposed and then visited website X more than nonexposed households as well as other metricsquot McLoughlin explained quotThat39s only available because we can leverage settop box data in a privacy compliant manner from the cable companiesquotAdditional value comes in NYI39s ability to offer customized solutions for sportsbook advertisers that want to run different offers by state per the different tax rates within the tristate area New Jersey 13 New York 51 Connecticut 14 quotWe have the adtargeting technology that allows sportsbetting clients to run the same spot across the entire tristate but to customize the last five seconds for info specific offers to New York New Jersey and Connecticutquot McLoughlin saidThere39s also additional value to be found in local cable news networks like Altice39s News12 and Charter Spectrum NY1 News New York Interconnect offers news sponsorship opportunities that include onscreen logo integrationsThe New York sportsbetting business is an impactful new vertical With conversations about increasing the number of operators from nine to potentially 16 in the future and lowering the tax rate all eyes are on New York These advertisers will rely even more on the efficiency that comes with datadriven advertising tactics While the category is still in its infancy in the New York market the fact that it39s here to stay seems like a sure betClick the social buttons to share this story with colleagues and friendsThe opinions expressed here are the author39s views and do not necessarily represent the views of MediaVillagecomMyersBizNet

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Sports-Betting Ads Drive Strong Q1 Ad Business in New York

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Sports-Betting Ads Drive Strong Q1 Ad Business in New York

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