Frequence, an ad sales and workflow software and services provider for local media markets that was recently acquired by CTV ad tech player Madhive, has launched a new suite of features for advertisers that want to target live and streaming sports programming.
The new collection includes campaign creation and management tools with comprehensive reporting, omnichannel campaign tactics and zip-code level targeting.
Frequence CEO Tom Cheli told StreamTV Insider that its partners (which include broadcaster Nexstar and Charter’s Spectrum Reach, among others) and their advertisers “have been asking for sports-focused targeting.”
“We’re now able to target streaming sports networks and content. Our streaming sports capabilities cover both live and on-demand sporting events on CTV and OTT apps on all devices,” Cheli continued, adding that Frequence can run campaigns on both subscription and FAST channels.
Frequence is expanding targeting tools to sports and live streaming at a time when more fans and leagues are also making shifts to CTV for viewing and distribution. And sports viewers and events are a prime target for advertisers that want to reach engaged and passionate fan bases. TVREV analyst Alan Wolk has also posited that live sports will only become more and more valuable to advertisers as they start to represent one of the last remaining environments to reach affluent consumers that don’t subscribe or engage with other ad-supported media. Live sports are also finding their way to viewers via free ad-supported streaming platforms – for example, Roku in May picked up exclusive rights to MLB Sunday morning games that air on The Roku Channel FAST service.
Recent data from Kantar supports the notion that sports is driving growth in streaming. Kantar’s latest Entertainment on Demand report, which tracked Q2 streaming in the U.S., found consumers are turning to sports-focused providers, where services DAZN and ESPN+ were two of the fastest growing streaming services in the U.S. in Q2. Looking across streaming services, sports drove 10% of new users in the quarter – where the firm determined there’s “still considerable room for growth driven by sports in streaming.” Per the report, 46% of streamers say they’ve watched a live sport in the past three months (either through streaming, cable or linear TV), but just 17% reported doing so through a streaming service.
In a statement, Cheli highlighted benefits of targeting sports viewers.
“Advertising and sports have always been closely associated, because the unique relationship between fans and their favorite athletes drives awareness and ROI,” stated Cheli. “With Frequence’s new sports features, we’re giving advertisers the most powerful tools to reach their audiences at their moment of greatest awareness and recall, which is incredibly valuable.”
Cheli’s comments around brands’ desire for awareness and recall tie to favorable sentiments for those benefits via CTV that were voiced by those investing in the channel and captured in a recent advertiser survey by Advertiser Perceptions and Premion. According to the survey, 7 in 10 CTV advertisers agree combining linear TV with CTV/OTT increases brand awareness and improves full-funnel ROI performance and ad recall.
In terms of Frequence launching the new suite, he also noted to StreamTV Insider that the company knows advertisers are very interested in streaming sports – in part as a logical response to a major shift in sports consumption, where advertisers follow eyeballs.
A 2023 study from Deloitte found that 30% of all sports fans had paid for a subscription to a streaming video service to watch sports over the prior 12 months, with the figure increasing to 46% for Millennials.
“We know that ad-supported options are becoming more popular with streaming services. We also know that demand for live-streaming sports is high, with a majority of consumers citing it as a chief consideration when looking at streaming services,” Cheli commented. “Finally, the ability to quickly create and effectively manage campaigns in this space will be hugely beneficial for media companies and agencies.”
CTV itself is gaining favor with advertisers, where those utilizing the channel see benefits. Per the Advertiser Perceptions survey, found 83% of CTV/OTT advertisers believe the channel’s value is greater than or equal to that of prime TV – with 36% saying CTV is more valuable. And Frequence tools could cater to the top benefits many advertisers cite for CTV. Per Advertiser Perceptions, precision audience targeting topped the list of CTV/OTT advertising benefits at 39%, closely followed by capturing declining TV audiences (38%) and achieving full-funnel objectives (37%).
According to Frequence, advertising categories that benefit most from targeting sports fans include auto, healthcare, education, physical therapy and hospitality. The company said advertising from these industries targeting sports fans works best when an omnichannel approach is taken, pairing CTV with other digital channels like display and social.
Omnichannel tools and software for local advertising markets is part of Frequence’s expertise and what attracted Madhive, in part, to the acquisition, Madhive CEO Spencer Potts told StreamTV Insider last month. Madhive’s focus on CTV for local complements the backend tools and software Frequence has for supporting omnichannel campaigns that span other digital mediums. Madhive first announced the acquisition in June, which closed earlier this month. The purchase followed last year’s $300 million investment in Madhive by Golman Sachs to help it expand into new advertising channels beyond the CTV space.
And with many of Frequence’s partners working with advertisers who are focused on reaching local audiences – being able to reach them is key, where the vendor aims to help extend reach and deliver the most relevant audiences to advertisers.
According to Cheli, the Frequence platform offers solutions to common problems challenging advertisers when it comes to sports streaming. That includes geographic and demographic targeting that delivers relevant ads to the right audiences, alongside analytics and reporting that tracks critical metrics such as completion rates and household reach.
“Based on our data, we can work with our partners to identify the best opportunities for them,” Cheli said. “We can deliver quality inventory on the top streaming sports networks across local, regional, national, and even international sports events.”
While the acquisition by Madhive has been completed, the companies still have work to do to integrate respective technologies. Asked if Madhive capabilities are incorporated in the new Frequence suite, Chile noted that it’s still in the “opening phase” of the Madhive relationship and the two will work towards tighter integration of technology in the coming months.