Dynamic means constantly changing. With dynamic ad insertion, networks can use targeted ads that can be swapped in and out of the tv show as you’re watching it. Usually, ads are planned in advance and can’t be swapped out once the show is on the network.
With dynamic ad insertion, networks can use improved audience targeting to show different ads to different households based on their characteristics. So, ads can be targeted for things like pet ownership or age. Dynamic ad insertion could help networks make more money on video-on-demand (VOD) programming since ads that become stale can be changed out of the show a few days after it airs.
Watch this video from the stars Lennon Parham and Jessica St. Clair, of USA Network’s Playing House, for a funny take on all of tv advertising acronyms:
The show Playing House is using a new strategy of playing this week’s episode and then allowing viewers to immediately see next week’s episode with VOD. When you watch this show, you’ll notice that they use the characters and sets from the show in the commercials that run during the show. At times, you might wonder if you’re watching the show or an ad. They also play different versions of some ads for the same products during the VOD plays.