NBCUniversal Reimagines the Commercial Experience

NBCUniversal will cut advertising clutter and time in prime originals across its portfolio and will increase commercial innovation using artificial intelligence to introduce new contextually relevant, 60 second “prime pod” and new advertising formats for stronger brand connection.

NBCUniversal today announced its plan to decrease the number of advertisements in commercial pods by 20 percent and decrease advertising time by 10 percent across its networks during its original primetime programming. The company will also launch a new 60 second contextually-programmed PRIME POD in the first or last break of a show dedicated to up to two advertisers for stronger impact with viewers.

In making the announcement, Linda Yaccarino, Chairman, Advertising and Client Partnerships, NBCUniversal said: "Sometimes, a little bit less means a whole lot more. The industry knows that television is already the most effective advertising medium there is, but we need to make the experience better for viewers. We promised some big swings last fall to move our industry forward and this is the first one. Now, NBCUniversal is advancing the TV experience as consumer behavior has evolved: lower ad loads, more innovation and more targeting. We’re reimagining the advertising experience for consumers, marketers, and the entire industry.”

Over the past five years, the video viewing environment has become more cluttered with more than 400,000 advertisements added [1]. Consumer behavior has shifted and as viewers have migrated to other platforms, advertising effectiveness has waned.

Starting This Fall

NBCUniversal’s audiences will see fewer, better ads that are more relevant than ever before. Less clutter and less ad time means there’s space for more. More premium content, more opportunity, and more commercial innovation.

Fewer Ads:

• NBCUniversal will reduce the number of ads across its networks by 20%, and total ad time by 10% in Prime Originals across the entire portfolio.
• The company is making reductions in more than 50 Primetime original shows across its entire portfolio.

Better Ads:

• Research shows that innovative advertising products increase consumer engagement by more than 20% [2].
• NBCUniversal will also unveil a suite of innovative new ad products including Interactive Picture in Picture and Social Commercials and Social First Pods.
• Contextually targeted ads fuel greater consumer conversion and NBCUniversal will use a new artificial intelligence (AI)-based contextual content targeting product that combs through scripts and data sources to make every ad that much more contextually relevant to its audience.

More Relevant Ads:

• NBCUniversal will use its unparalleled technology, tools, talent and creative capabilities to help clients’ advertisements resonate the most and deliver them in new ways.
• NBCUniversal has created a new 60 second “PRIME POD” of National ad time in the first or last break of a show.
• This transformative new pod, which will be dedicated to up to two advertisers, combines the power of fewer, better, and more contextually relevant ads, and gives clients a unique opportunity to connect with audiences in the most effective, exciting, and efficient way.

[1] Source: Nielsen Ad Intel, 2013-2017

[2]Nielsen, 2016; Engagement = Audience Retention