Video on demand (VOD) streaming service HOOQ has partnered global video monetisation platform SpotX to power its advertising business across Singapore, Indonesia, Thailand, and the Philippines. Through the collaboration, SpotX looks to provide HOOQ with a full stack ad tech solution including ad server and SSP capabilities.
According to a press statement, HOOQ will also benefit from SpotX’s recent certification for the IAB Tech Lab's Open Measurement Software Development. The new integration helps facilitate third-party viewability and verification measurement for ads served within HOOQ without using multiple measurement providers' software development kits.
HOOQ chief commercial officer Vishal Dembla said the partnership ensures HOOQ can build a scaled programmatic advertising business, advanced audience-led solutions for advertisers, and a premium, personalised advertising experience for users.
He explained: “Central to our advertising ambitions was the need to have a video-first ad server to optimize our inventory management, connection with a best-in-class SSP to access advertising demand along with advanced audience solutions, and brand safety capabilities.”
Meanwhile, SpotX MD Gavin Buxton said there has been a global shift of TV consumption towards internet-enabled, OTT VOD services and the consumption behaviour is very much mobile-first. However, there is higher price sensitivity when paying for OTT VOD services in Asia. According to a recent Brightcove and SpotX study, 30% of the respondents surveyed across nine Asian markets wanted a free, ad-funded option for their OTT VOD service, with 21% who would consider a hybrid low payment with limited ads model.
"It is therefore critical for OTT VOD platforms to work with market-leading ad technology partners such as SpotX who can deliver sophisticated, audience, data-led decision-making that appeals to advertisers along with ensuring a seamless advertising experience for the user,” said Buxton.
OTT inventory is also increasingly in demand as brands seek premium video environments as part of ongoing brand safety concerns, said the press release. Michael Beecroft, chief investment officer, APAC, GroupM said OTT players such as HOOQ helps its advertisers to diversify their video strategies to include premium long-form video environments where there is a highly engaged viewing experience. “As video becomes table stakes for most brands, it’s important to understand not all video is created equal. Short form social video has historically commanded the majority of spend but is not without its challenges," he added.