Can AI Accelerate ‘T-Commerce’?

Can AI Accelerate 'T-Commerce'?

One of the visions paraded around in the web 2.0 era was the ability to intelligently target product ads in tv shows. Sort of an extension of the longstanding art of product placement, the innovation was to involve more programmatic placement and, more importantly, the ability to buy things on the spot.

The idea at the time was to bring the interactivity of the web to the erstwhile static, but mass-reach, medium of television. Think, QVC meets Amazon. The vision has crawled forward since then, but never really reached its true potential. Recent milestones include Roku and YouTube’s shopping integrations.

But now that AI has inflected in underlying capabilities and applicability, a la Open AI’s rise, could this accelerate the promise of “T-commerce?” If headlines are any indication, activity could be picking up. So to provide a snapshot, here are two related announcements we flagged at the recent IAB NewFronts.

Shoppability Invades the Living Room

Second Screen

The first move comes from Peacock. The NBCUniversal-owned streaming service will integrate AI-powered shoppable ads. Known as Must ShopTV, it will integrate contextually-targeted ads in streaming shows. For example, you could see shoppable saucepans and cutting boards while watching Top Chef.

The way this works from a UX perspective is that users see QR codes pop up in targeted moments of specific shows. They can scan the code with their phones to then see and purchase shoppable items. This makes it a classic “second screen” integration, with a TV-remote interface to come later.

Though this requires more moving parts – and users that are quick on the draw – cultural shifts have caused users to often have their phones out while watching TV. This is especially true of the increasingly buying-empowered Gen-Z. And QR codes are a familiar vessel in terms of in-stream calls-to-action.

Targeting is powered by KERV interactive using computer vision to identify products and activate on-screen QR codes when there’s a match. This differs from other integrations where a shoppable function is presented as an overlay to existing ads. Must ShopTV overlays happen during shows themselves.

As for timing, MustShopTV is available for advertisers to start buying inventory immediately. It could take a while for all those ad sales to happen, and for campaign runs to be activated. But the good news is that there’s ample inventory available on Peacock. So look out for those Top Chef cutting boards soon.

YouTube and Pinterest Get More Shoppable

3-Way Intersection

Moving on to the second event that signals a possible rise in T-Commerce, Roku recently advanced its existing shoppable TV offer with a dose of AI. This includes more targeted placements, home screen insertions, screensaver ads, and targeted ad overlays during iconic moments in TV shows.

That last one is probably the most notable (and similar to Peacock’s format above). This uses AI to identify key moments across Roku’s content library and how that may match with a given brand’s message. For example: when a character in a scripted or reality show says a catchphrase.

The way it works is that marketers tell Roku the theme of a given campaign. Building from the above AI-fueled identification of key plot moments, it will find the best matches and schedule activations accordingly. Like most AI, this sounds promising but potentially risky in terms of “brand safety.”

Additionally, Roku has added Instacart to its roster of shoppable ad partners. It joins Walmart, Best Buy, Cox Automotive, DoorDash, Kroger, Wendy’s, and others. For example, Wendy’s has offered Roku users $5 off food orders made through the TV and fulfilled by DoorDash for instant gratification.

As for the shoppability piece, all of these AI integrations announced at NewFronts (e.g., in-show placements) don’t necessarily meld with shoppable ads, but that combo is likely coming. As shown by NBCUniversal, there’s ample opportunity at the three-way intersection of television, shoppabilty, and AI.

Share Article...

Follow Us...

Stay ahead of the curve and get the latest on Local straight to your inbox.

By submitting this form, you agree to receive communications from Localogy. You can unsubscribe at any time.

Related Resources

WordPress PopUp Plugin