1. The technological context

The Rembrandt virtual advertising system is part of the context of the production and distribution of television images of sports events, with particular reference to advertising spaces located on the field. By virtual advertising, we mean the creation and insertion in the video signal of digital advertising content, which is superimposed on advertising panels that are physically located on the sports grounds. They are called virtual as they are not physically located on the ground.

The purpose of V.A. is to multiply advertising revenue by showing different advertising content to different audiences as visualized in figure 1.

Figure 1

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2. Current virtual advertising production process

Figure 2

Figure2.pngFigure 2 presents the production and distribution process for a TV event that involves virtual advertising. The virtual advertising system works alongside the main OB Van production to receive camera signals and generate several different video feeds by superimposing different advertising content on the images of the advertising billboards.

3. Stakeholders of sports events broadcasting

The figure below shows the role of the different stakeholders during the production and TV broadcasting of sports events.

 

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The second context to which we want to refer is global digital advertising spend and specifically spending on advertising on mobile devices. As shown in Figures 3, 4 and 5, global digital ad spending in 2016 was 170bn$, equal to about 30% of total advertising spend on media. Mobile advertising spending, which is 108bn$.

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Images and video are the types of ads content most frequently used frequently used by sponsors and advertisers to deliver targeted content, usually streamed, towards mobile devices. Sports events, in particular, are watched on average for 3 hours a week (4 hours for men, 1.5 hours for women): these offer great advertising potential, and, when they are streamed, this advertising can be targeted to individual user profiles. This is why streaming rights of sports events have been bought by Twitter and Facebook, and why Amazon, Alibaba, Google and others are interested in doing the same, as many digital marketing sources claim.

The expected amount of advertising will interfere more and more with the user’s interaction with the content, with the consequence that users, and millennials, in particular, will use more and more ad blocking technology.