Bitmovin Unveils AI-Driven Solution to Maximize Ad Revenue

On November 13, 2024, Bitmovin, a leading provider of video streaming solutions, unveiled its AI Contextual Advertising, a new feature that integrates Bitmovin’s Playback Solution and Encoding to deliver hyper-personalized ads based on the content viewers are watching. This innovative advertising technology uses machine learning to analyze video scenes and viewer engagement, ensuring optimal ad placement without the need for personalized tracking or cookies.

“We’re incredibly proud of our AI Contextual Advertising, a unique solution that delivers more relevant content to viewers, increasing ad conversions, revenue, and brand loyalty,” said Stefan Lederer, CEO and co-founder of Bitmovin. “By combining AI with our award-winning technologies, we’re helping move the industry forward, driving smarter ad placements that positively impact the bottom line.”

Bitmovin’s Encoding solutions use AI to analyze both video and audio content, extracting metadata through OpenAI’s AI model. This metadata is timestamped and mapped to the specific scene, allowing for highly targeted ad placement. The Bitmovin Player then sends this data to a content-aware ad server, which returns contextual ads. A conversion heatmap, generated by the Player, helps optimize the ad’s placement, increasing the likelihood of viewer engagement. This heatmap works alongside AI analysis of historical data and current user behavior to enhance the ad’s impact.

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“As media and entertainment companies turn to advertising for growth, lack of personalization remains a major challenge,” added Lederer. “AI can tailor ads based on the viewer’s content, mood, and preferences, placing more relevant ads that resonate in the moment.”

For example, if a viewer watches a TV show set in a luxury hotel, relevant ads for hotels, cruises, or health and beauty products will be shown, increasing the chances of ad engagement. Bitmovin’s AI Contextual Advertising also measures conversion rates at different points in the video, factoring in the user’s environment to serve ads when they’re most likely to convert. Moreover, contextual metadata ensures brand safety by preventing irrelevant or inappropriate ads from being shown, such as avoiding airline ads during content featuring plane crashes.

What sets Bitmovin’s AI Contextual Advertising apart is its integration with existing Bitmovin products, making it easy for customers to adopt without requiring multiple third-party integrations. It supports Server-Side Ad Insertion (SSAI), Client-Side Ad Insertion, and Server-Guided Ad Insertion (SGAI), offering flexible, streamlined solutions for smarter advertising.