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Dive Brief:

• Ad-tech company Perion has introduced a new ad format for connected TV (CTV) called Stay Live that dynamically integrates brand ads into live events, according to details shared with Marketing Dive.

• Previously exclusive to select advertisers, the artificial intelligence-powered technology analyzes sports and esports broadcasts, optimizing ad placements for maximum viewer engagement rather than interrupting the action.

• DraftKings, Dr Pepper and other brands have utilized Stay Live, which Perion claims could be used in live content genres other than sports to help advertisers deliver contextually relevant brand messages.

Dive Insight:

The continued growth of CTV advertisers gives brands more opportunities to place ads in front of consumers, but comes with challenges around when and how ads are placed programmatically, especially during live content like sports.

Perion’s Stay Live uses AI to place ads dynamically by analyzing broadcast streams for moments of high engagement but low interruption. Using a football example, an ad could appear during the replay of a touchdown and before the extra point kick. Advertisers continue to invest heavily in live sports for its broad reach.

“With viewers leaned into the game, [Stay Live] offers key moments to deliver an ad that will capture attention. But it needs to be done in a way that doesn’t hinder their viewing experience,” said Todd Cohen, vice president of national video/CTV strategy at Undertone by Perion, in a statement. “We are making it possible to integrate ads seamlessly in a way that enhances, rather than disrupts, the viewing experience. This approach benefits consumers, advertisers, and broadcasters alike."

Stay Live could help advertisers engage with audiences when they are most attentive, especially as CTV attention continues to lag that of linear TV. The ad format comes from Perion’s AI Lab, a team of data scientists and engineers looking to use the buzzy tech to deliver new ad formats and support all stages of ad campaigns.

Brands that have used Stay Live include smart ring company Oura, fast casual chain Raising Canes and Dr Pepper, which has focused its marketing efforts around college football on its way to unseating Pepsi as the number two soft drink in the U.S. DraftKings, an active advertiser in the sports gambling market, was an early adopter of Stay Live as it looked to move beyond its “significant” investments in sports on linear TV, according to Olivia Sutherland, senior TV growth marketing associate at the company.