'Pause Ads' Creep Onto Hulu, Peacock and Max As Streamers Seek New Revenue
Brian Steinberg reports via Variety: So-called "pause ads" -- they only turn up a few seconds after a viewer has decided to halt the programming, and not every time one does -- are seeing new movement in the streaming world, with the format appearing more frequently on Hulu since July, according to Josh Mattison, senior vice president of revenue management and operations for Disney Advertising. Pause ads are also in motion in venues such as NBCUniversal's Peacock and Warner Bros. Discovery's Max. As more media companies seek to goose subscriber rates by offering cheaper ad-supported versions of their streaming services, this type of commercial may become more handy. One of the main attractions of streaming, after all, is that it boasts fewer traditional commercials than its linear TV counterpart. The industry hopes that a pause ad -- other "out of pod" commercial experiences are also in development -- can appear on screen without upsetting a subscriber who gets viscerally roiled by the prospect of a glut of typical TV spots. Others have also found ways to work ads into the moments when streaming fans come to a stopping point. NBCUniversal's Peacock launched with pause ads, says Peter Blacker, executive vice president of streaming and data products for NBCUniversal's ad-sales division, while Warner Bros. Discovery's Max introduced them in 2022, says Ryan Gould, head of digital ad sales and client partnerships at the company. No one has been holding back on the new format. Hulu has experimented with pauses since at least 2018, and an early version of the idea surfaced last decade when Coca-Cola and Universal Pictures tested concepts with ReplayTV, an early backer of digital video recording technology. Coke, which once used the slogan "the pause that refreshes" to great effect, and Charmin, the Procter & Gamble toilet tissue that can offer succor during many breaks in TV viewing, tested the format with Hulu in 2019.
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