For too long, the captivating world of premium video advertising on major broadcast channels like Sky TV, Channel 4, and ITV has been an exclusive club. Dominated by multinational and national brands with deep pockets and the resources to navigate complex buying processes, small to medium-sized businesses (SMBs) have largely been locked out. This disparity has meant that while the digital landscape has blossomed with accessible advertising opportunities, the unparalleled impact and trust associated with TV advertising have remained largely out of reach for the vast majority of businesses.
However, a monumental shift has just been announced, one that promises to democratise premium video advertising and usher in an exhilarating new chapter for SMBs across the UK. In a groundbreaking collaboration, ITV, Channel 4, and Sky, in partnership with Comcast and its advertising technology arm, FreeWheel, are set to launch an innovative self-serve platform. This initiative is not merely an incremental improvement; it is a fundamental re-imagining of how addressable media can be bought and deployed, specifically designed to empower SMBs to integrate this potent new “letter” into their digital marketing campaigns.
The Advertising Landscape: A Market Ripe for Disruption
To truly grasp the significance of this development, it’s essential to understand the sheer scale and trajectory of the UK’s advertising market. The digital advertising industry in the UK is a powerhouse, valued at an estimated £19.2 billion in 2024 for digital advertising agencies alone, with the broader digital ad market reaching £35.5 billion in 2024, marking a significant 13% year-on-year growth according to IAB UK data. In fact, the UK stands as the third-largest digital advertising market globally [1, 2]. Projections indicate that the digital advertising market in the UK is expected to reach a staggering US$93.08 billion by 2030, exhibiting a robust Compound Annual Growth Rate (CAGR) of 15.1% from 2025 to 2030 [3].
Within this booming digital landscape, video advertising, in particular, is experiencing meteoric growth. Investment in video display ads alone surged by 20% to £8.3 billion in 2024, with mobile formats attracting the bulk of this investment. Even more tellingly, Connected TV (CTV) advertising saw a remarkable 22% increase in 2024, indicating a significant shift in viewing habits and advertiser interest [2].
Meanwhile, traditional TV advertising, though facing its own evolution, remains a formidable force. The total UK advertising market recorded a 10.4% increase in investment to £42.6 billion in 2024, with forecasts predicting continued growth to £45.2 billion in 2025 and £47.8 billion by 2026 [4, 5]. Within this, total TV spend stood at approximately £5.3 billion in 2024, experiencing a 3.8% year-on-year growth [6, 7]. Critically, TV advertising is hailed as the greatest driver of advertising-generated profit, accounting for 54.7% of all advertising-generated profit and boasting an average full profit ROI of £5.61 for every pound spent [6].
However, despite these impressive figures, access to premium linear and VOD (Video On Demand) content on major broadcasters has been uneven. While VOD advertising revenue specifically is growing rapidly—up 25.7% to £1.3 billion in 2024, with forecasts for further growth of 17.1% in 2025 and 13.5% in 2026—the entry barriers for SMBs into the broader premium TV advertising space have remained stubbornly high [8].
The Bottleneck: Why Premium TV Advertising Remained Elusive for SMBs
Before delving into the exciting future, it’s crucial to understand the historical barriers that prevented SMBs from leveraging premium TV advertising:
- Prohibitive Budgets: Traditional TV advertising demanded significant financial commitments. While a single prime-time 30-second spot on a major channel could easily run into tens or even hundreds of thousands of pounds, ongoing campaigns often required investments of millions, making it an unattainable venture for businesses operating with more modest marketing budgets.
- Complex Buying Processes: The process of planning, negotiating, and executing TV campaigns was notoriously intricate. It involved bespoke negotiations with individual sales houses, long lead times, and a deep understanding of audience demographics, spot buying, reach optimisation, and post-campaign analysis. This level of complexity was a logistical nightmare that SMBs rarely had in-house expertise or the resources to manage.
- Lack of Granular Addressability: While digital platforms have long offered granular targeting capabilities, allowing advertisers to reach specific demographics or interests, traditional linear TV buys were largely broad. Although addressable TV has been emerging globally (the global addressable TV sector is already a $56 billion industry, projected to grow by over 50% to $87 billion by 2027 [9]), accessing it across multiple UK broadcasters in a streamlined, cost-effective fashion was particularly difficult for smaller advertisers. This meant less efficient ad spend for SMBs aiming for niche markets.
- Fragmented Landscape: Dealing with individual broadcasters (ITV, Channel 4, Sky) meant separate negotiations, different technological platforms, and disparate reporting metrics. This fragmentation created a significant administrative and strategic burden that only large agencies or in-house teams with substantial resources could manage efficiently.
These hurdles meant that SMBs, even those with compelling stories and products, were largely confined to digital channels, sacrificing the immense brand-building power, broad reach, and high ROI that premium TV content offers.
The Game-Changing Alliance: ITV, Channel 4, Sky, Comcast, and FreeWheel
The recent announcement signals a powerful unification of forces, directly addressing these historical barriers. The combined might of the UK’s leading commercial broadcasters – ITV, Channel 4, and Sky – alongside Comcast’s Universal Ads platform and FreeWheel’s advanced advertising technology, is set to create a truly transformative marketplace. This collaboration is designed to unlock the doors of premium video advertising for the masses.
What does this collaboration mean for SMBs?
- Simplified, Self-Serve Access: This new platform’s core promise is unprecedented simplicity. It aims to provide a direct and intuitive way for new-to-TV advertisers to access premium video content. This self-serve model mirrors the accessibility of digital advertising platforms, allowing SMBs to purchase addressable inventory and manage campaigns with unprecedented ease directly. This democratises control, reducing reliance on expensive intermediaries for initial campaign setup and allowing businesses to respond dynamically to market needs.
- Unified Premium Inventory with Biddable Pricing: SMBs will be able to purchase addressable inventory and run campaigns across all three broadcaster sales houses (Channel 4 Sales, ITV Media, and Sky Media) through a single, consolidated interface. This unified access to a vast pool of premium, brand-safe inventory is critical. Furthermore, the introduction of “biddable pricing” signifies a significant move towards a more dynamic and accessible market. It allows advertisers to bid for ad impressions, similar to digital programmatic advertising, which can cater to a wide spectrum of budget levels, making premium TV advertising more financially viable for SMBs.
- Enhanced Tools, Analytics, and Performance Measurement: The platform will be equipped with robust tools and analytics to measure and optimise advertising performance. This means SMBs won’t just be able to launch campaigns; they’ll gain deep insights into their effectiveness, allowing for data-driven adjustments and continuous improvement – a critical feature for any agile marketing strategy focused on ROI. Transparent reporting will allow SMBs to see the tangible impact of their investment.
- Commitment to Transparency and Quality: This initiative underscores a collective commitment to maintaining transparency and high quality within TV advertising. For SMBs, this translates into advertising within a trusted, brand-safe environment, leveraging the high production values and deep audience engagement inherent in premium broadcast content. Unlike some corners of the digital ad ecosystem, this platform promises a premium context for brands.
- Strategic Long-Term Vision (Launch in 2026): While the full launch is anticipated in 2026, this lead time allows for robust technological development and gives SMBs and their marketing partners, like Digital NRG, ample time to prepare. It signals a well-considered, strategic long-term play rather than a rushed solution.
This is more than just a new ad platform; it’s a paradigm shift. It’s about democratising reach, simplifying complexity, and enabling businesses of all sizes to harness the emotive power of video advertising on the most watched and trusted platforms in the UK. This marks a new era where “television advertising” is no longer synonymous with “big budget.”
The New Letter in the Digital Marketing Alphabet: Addressable Premium Video (APV)
For years, digital marketing campaigns have been built upon an “alphabet” of channels: Search Engine Optimisation (SEO), Pay-Per-Click (PPC), Social Media Marketing (SMM), Email Marketing, Content Marketing, and more. Each letter represents a distinct channel with its own strengths and weaknesses. The new self-serve platform for ITV, Channel 4, and Sky introduces a powerful new letter: APV – Addressable Premium Video.
APV combines the best of both worlds, offering an unprecedented blend of impact and precision:
- The Unparalleled Reach and Trust of Television: Premium broadcast content reaches millions of UK households daily, fostering brand recognition and credibility that can be difficult to replicate solely through diverse digital channels. Advertising within trusted environments like Sky, ITV, and Channel 4 lends an immediate halo effect to brands, tapping into decades of viewer loyalty and engagement.
- The Precision of Digital Addressability: Addressable advertising allows advertisers to target specific households or individuals with different ads based on a wealth of data points, including demographics, interests, geographic location, viewing habits, and even purchasing intent. This means significantly less wasted ad spend and highly relevant messaging, a hallmark of effective digital campaigns. With VOD advertising revenues alone growing significantly (up 25.7% in 2024), the appetite for targeted video is clear [8]. Sky AdSmart, for instance, offers over 90 targeting attributes, including location by postcode, lifestyle, and even search behaviour data, enabling advertisers to reach specific audiences across their network of 10 million Sky and Virgin Media households [10, 11]. Viewers are 21% more engaged with addressable ads, and 49% more likely to recall them later [10].
For SMBs, this means they can now:
- Target their ideal customers with surgical precision within a premium, highly engaging environment. Imagine a local artisan bakery targeting households within a specific postcode who have shown an interest in gourmet food, or an online subscription box service targeting individuals interested in sustainable living, all seamlessly integrated into their favourite TV shows.
- Amplify brand awareness and recall significantly, leveraging the immersive nature of video on the biggest screen in the house. This builds a powerful emotional connection that static or banner ads often cannot achieve.
- Drive direct response or lead generation by combining strong, clear calls to action with the high impact of video, leading viewers to websites, landing pages, or physical locations.
- Complement and supercharge existing digital campaigns by extending reach to audiences who may be less engaged with other digital channels, or by reinforcing messaging across multiple, high-impact touchpoints. This creates a cohesive brand experience that resonates across devices.
- Level the playing field with larger competitors who previously monopolised this space, giving SMBs access to the same high-impact channels that have historically been the preserve of the marketing elite.
This new capability represents a monumental strategic advantage. It allows SMBs to move beyond the sometimes-noisy and highly competitive digital ecosystem to capture attention in a truly premium space, enhancing brand perception, driving deeper engagement, and ultimately achieving tangible business results. The growth opportunity here for SMBs is not just significant; it is transformative, opening up a segment of the market that contributes billions to the UK economy.
The Ultimate Integrated Ad Campaign: APV Working with Your Existing Strategies
The true power of Addressable Premium Video for SMBs lies in its ability to integrate seamlessly with and significantly amplify other existing digital marketing strategies. This creates a powerful multi-screen, integrated ad campaign that builds brand trust and drives conversions across the entire customer journey.
- PPC (Pay-Per-Click) & Google Shopping
Synergy: APV can significantly boost the effectiveness of your PPC and Google Shopping campaigns by creating a halo effect of brand awareness and trust. When a consumer sees your brand on a trusted TV channel, they are more likely to recognise and click on your ads in search results. This is particularly effective for driving top-of-funnel awareness that converts into lower-funnel clicks.
Evidence & Example: Imagine a local car dealership uses APV to target households in their sales region who have shown an interest in new car models. When those same households then search “new car deals near me” on Google, the dealership’s PPC ad or Google Shopping listing stands out because the brand is already familiar and deemed trustworthy from the TV exposure. This pre-exposure can lead to higher click-through rates (CTRs) and lower cost-per-click (CPC), as searchers are more receptive. This creates a powerful brand recall that translates directly into search preference. - Amazon Ads
Synergy: For SMBs selling products on Amazon, APV can drive significant traffic and sales by building brand recognition and prompting product searches on the platform. Addressable TV can target households that align with Amazon’s vast shopper data, leading to more qualified traffic to your Amazon product listings.
Evidence & Example: A small business selling organic pet food on Amazon could use APV to target households with pets. After seeing an engaging ad on TV about their brand’s commitment to quality ingredients, viewers are more likely to specifically search for that brand on Amazon, rather than just generic “organic pet food.” This direct brand search on Amazon often leads to higher conversion rates compared to generic searches. Amazon itself is investing in new ad formats for Prime Video that use AI to create contextually relevant ads and shoppable formats, further blurring the lines between TV and e-commerce [3]. - SEO (Search Engine Optimisation)
Synergy: While not a direct ranking factor, APV indirectly enhances your SEO efforts. Increased brand awareness from TV advertising can lead to more direct searches for your brand name or specific products, which signals to search engines like Google that your brand is relevant and authoritative. This can improve your overall brand search volume and potentially lead to better organic rankings over time.
Evidence & Example: A burgeoning eco-friendly cleaning product company uses APV to introduce their brand to environmentally conscious households. This TV exposure prompts more people to search for “EcoClean solutions” or “sustainable cleaning products EcoClean” directly. This surge in brand-specific searches and mentions across the web (even on social media) contributes to what Google perceives as brand authority and relevance, potentially improving their organic search visibility for relevant keywords. - Meta Ads (Facebook & Instagram)
Synergy: APV and Meta Ads form a powerful tandem for cross-platform retargeting and audience expansion. You can use TV ad exposure to build a broad audience, then leverage Meta’s precise targeting capabilities to deliver follow-up messages, special offers, or different creatives to those exposed to your TV ad. This creates a multi-touchpoint strategy that reinforces messaging and drives conversions.
Evidence & Example: An online fashion boutique promotes its new collection with an APV campaign targeting younger demographics. Simultaneously, they run Meta Ad campaigns using custom audiences that include those who have seen their TV ads (through data onboarding or lookalike audiences). This allows them to show a direct-response ad with a “Shop Now” button on Instagram to someone who just saw their brand in a premium TV environment, leading to a much higher conversion rate than if they had only seen the Meta ad. Meta’s ad platforms allow for highly segmented ad delivery, and combining this with APV creates a cohesive storytelling arc across screens. - TikTok Ads
Synergy: For brands targeting younger demographics, combining APV with TikTok ads is a dynamic strategy. APV builds initial brand credibility and recall on a large screen, while TikTok allows for engaging, short-form video content that can go viral and drive immediate engagement and user-generated content.
Evidence & Example: A new direct-to-consumer snack brand uses APV to launch its product with a professional, aspirational TV spot. They then run playful, user-generated content-style ads on TikTok, encouraging viewers to create their videos featuring the snack using a specific hashtag. The credibility established by the TV campaign makes the TikTok content more impactful, driving both brand awareness and direct engagement, potentially leading to immediate purchases or viral trends. TikTok’s ad formats and pixel allow for tracking and optimisation, enabling a seamless journey from TV awareness to mobile conversion.
Real-World Impact: How SMBs Are Already Winning with Addressable TV
The promise of addressable media is not merely theoretical; it’s already delivering tangible results for businesses with relatively smaller budgets through platforms like Sky AdSmart, which harnesses IP addresses and household data to deliver targeted campaigns. These examples provide a clear indication of the success that SMBs can expect from the new Sky/ITV/Channel 4 platform.
- Regional Reach for a Cause: East Anglian Air Ambulance (EAAA) A prime example of a regional, not-for-profit organisation leveraging addressable TV is the East Anglian Air Ambulance. EAAA used Sky AdSmart to target households with adults aged 45+ in specific postcode areas (NR, IP, PE, CB) within East Anglia. Their objective was to encourage sign-ups for their charity lottery. The campaign successfully reached nearly 14,000 highly targeted local people and recruited the precise number of new sign-ups they aimed for. The impact was not only immediate but long-lasting, with supporters continuing to respond well after the ad ran, proving that addressable TV can drive sustained engagement for regional causes [12].
- Driving B2B Enquiries: SWIC (Scottish Wholesale Industry Challenge) For B2B businesses, the power of addressable TV is equally compelling. SWIC, a business services provider, harnessed Sky AdSmart to reach a highly targeted audience of nearly 40,000 SME business owners. This precise targeting resulted in a remarkable 25% increase in enquiries for SWIC. As a business new to TV advertising, they explicitly highlighted how they could “target the right customers, in the right locations and only pay once our ad was viewed,” underscoring the cost-efficiency and direct impact of addressable media [10].
- Hyper-Targeted Recruitment: The Ministry of Justice. While a government body, the Ministry of Justice’s Prison Officer recruitment campaign serves as an excellent illustration of advanced targeting. They leveraged Sky Media’s partnership with Captify to use search behaviour data, targeting households that had searched for ‘Jobs’ and ‘Education’ online, combined with regional targeting around key prison recruitment areas. This innovative approach led to a phenomenal 170% uplift in prompted ad recall among those exposed to the ads compared to unexposed audiences, demonstrating how specific intent can be matched with TV advertising [11]. This level of precision is now becoming standard for SMBs.
- Localised Campaigns for National Brands: John Lewis. Even large national brands utilise addressable TV for localised efforts, demonstrating its versatility. John Lewis famously used geographical targeting via AdSmart to promote their click-and-collect service around specific regional Waitrose stores. This highly focused campaign successfully raised awareness of their service by 29% in those targeted areas [13]. This illustrates how multi-location SMBs can similarly tailor campaigns to drive footfall or specific actions within defined geographical boundaries.
- Empowering Service-Based SMBs: Wenta, a not-for-profit social enterprise that supports small businesses, was awarded a free £10,000 campaign package through Sky Media’s AdSmart SME support scheme. This provided them with their first ever TV advert campaign, reaching Sky customers in their target regions. This case highlights how such schemes, and by extension the upcoming self-serve platform, can provide crucial access to premium TV advertising for service-based SMBs and non-profits, helping them raise vital awareness and secure new clients or beneficiaries [14].
These diverse examples showcase that addressable media on premium TV is not just for the giants; it’s a proven, effective, and increasingly accessible channel for SMBs with varying objectives, from driving direct response and lead generation to building powerful brand awareness, all within manageable budgets (with campaigns reportedly starting from as low as £1,000 to £3,000 on platforms like Sky AdSmart [5, 6]).
Digital NRG: Your Guide Through This Exciting New Chapter
At Digital NRG (DNRG), a digital marketing agency renowned for working with a wide range of clients from multinational brands to small and medium-sized businesses, we understand the complexities and opportunities within the ever-evolving marketing landscape. The announcement of this new self-serve platform is not just exciting for SMBs; it’s a pivotal moment in the future of advertising, and DNRG is perfectly positioned to help our clients navigate and capitalise on this transformative shift.
Here’s how working with Digital NRG will empower your business to leverage this new addressable media opportunity:
Strategic Planning and Seamless Integration:
- Holistic Campaign Design: We don’t just “do ads”; we integrate this new APV channel seamlessly into your overall digital marketing strategy. We’ll help you understand how addressable TV complements your existing SEO, PPC, social media, and email campaigns to create a unified, multi-channel approach. Our expertise ensures that every part of your marketing machine works in harmony to achieve your business objectives.
- Data-Driven Audience Segmentation: Leveraging our deep expertise in data analysis and audience insights, we’ll help you identify your ideal customer segments with precision. We understand how to translate your detailed customer profiles into actionable targeting parameters for addressable media, ensuring your message reaches the right households at the right time.
- Budget Optimisation and ROI Focus: While the new platform offers biddable pricing, optimising ad spend for maximum impact still requires expert knowledge. DNRG will help you set realistic budgets, continuously monitor campaign performance, and make data-driven adjustments to ensure every penny spent delivers maximum ROI, capitalising on TV’s proven profitability [6].
Compelling Creative Development and Storytelling:
- High-Impact Video Content: Unlike static digital ads, addressable premium video demands high-quality, engaging video content that resonates emotionally. Our team can assist in developing compelling creative concepts, expert scriptwriting, and production guidance to ensure your message is not just seen but truly felt by your target audience on the biggest screen in the house. We’ll help you craft stories that cut through the noise and leave a lasting impression.
- Tailored Messaging for Addressability: The true power of addressable media lies in its ability to deliver different messages to different segments based on their unique attributes. DNRG can help you develop varied creative assets and sophisticated messaging strategies that speak directly to the nuances of your targeted audiences, dramatically increasing relevance and effectiveness.
Expert Platform Navigation and Proactive Campaign Management:
- Mastery of New Technologies: As early adopters and experts in digital marketing technologies, DNRG will stay at the absolute forefront of this new self-serve platform. We’ll understand its intricate features, functionalities, and best practices from launch, ensuring your campaigns are set up for optimal success from day one.
- Efficient Campaign Execution: While “self-serve” implies ease, the ongoing optimisation and effective management of campaigns still require significant time and specialist knowledge. DNRG can handle the day-to-day management of your addressable TV campaigns, freeing up your internal resources to focus on core business operations, allowing you to benefit from this powerful channel without the operational burden.
- Transparent Performance Monitoring and Reporting: We provide crystal-clear, in-depth reporting on your campaign performance, leveraging the platform’s advanced analytics tools to track key metrics, identify emerging trends, and provide actionable insights. You’ll always have a precise understanding of your reach, engagement, and most importantly, your return on investment.
Continuous Optimisation and Scalable Growth:
- A/B Testing and Relentless Refinement: Marketing is an iterative process, especially in a new and evolving landscape. DNRG will continuously test different creative approaches, targeting parameters, and bidding strategies to refine your campaigns, uncover new opportunities, and achieve optimal results.
- Staying Ahead of the Curve: The digital and broadcast advertising landscape evolves at a rapid pace. Our team is committed to continuously staying updated on the very latest trends, platform features, and audience behaviours within addressable media, ensuring your business always benefits from the most advanced and effective strategies available.
- Scalability for Ambition: As your business grows and your marketing objectives expand, Digital NRG can seamlessly scale your addressable media efforts, helping you expand your reach, deepen your impact, and maintain your competitive edge in this dynamic new market.
The Future is Addressable, The Future is Now
The joint intent announced by ITV, Channel 4, and Sky, powered by Comcast and FreeWheel, marks a truly pivotal moment for advertising in the UK. It decisively dismantles long-standing barriers, offering SMBs a direct and efficient pathway to the unparalleled power of premium video advertising. This new self-serve platform is not just an incremental update; it’s a democratisation of a powerful marketing channel, allowing businesses of all sizes to tell their stories on the biggest screens in the country, with precision targeting previously reserved for digital-only campaigns.
For Digital NRG, this is an incredibly exciting development. It aligns perfectly with our mission to empower businesses with cutting-edge digital marketing solutions that deliver tangible results. We believe this new “letter” in the marketing alphabet – Addressable Premium Video – will become an indispensable component of successful campaigns for SMBs, offering them a significant competitive advantage in a market valued in the tens of billions. By partnering with DNRG, you gain not just access to this groundbreaking platform but the strategic guidance, creative expertise, and meticulous campaign management required to truly maximise its potential.
Prepare your business for this exciting new chapter. The opportunity to elevate your brand, connect with your target audience on a deeper level, and drive significant growth through premium addressable video is now decisively within reach. Let Digital NRG be your trusted partner in harnessing this transformative power and making your significant mark on the national stage.
Ready to drive online growth? Talk to us.
References:
[1] IBISWorld. “Digital Advertising Agencies in the UK Market Size Statistics.” Accessed June 2025. [2] IAB UK. “UK’s digital ad market hits £35.5bn as video spend jumps 20% YoY.” Accessed June 2025. [3] Grand View Research. “UK Digital Advertising Market Size & Outlook, 2024-2030.” Accessed June 2025. [4] Advertising Association/WARC. “UK Advertising records £42.6bn spend in 2024.” Accessed June 2025. [5] Priority Media Agency. “How to Run a TV Advertising Campaign for Under £3,000.” Accessed June 2025. [6] Thinkbox TV. “The safest place a brand can be, TV advertising returns to growth in UK.” Accessed June 2025. [7] Advertising Association/WARC. “UK ad spend rose 9.7% to £10.6bn in Q3 2024.” Accessed June 2025. [8] VideoWeek. “UK TV Ad Revenues Set for Three Consecutive Years of Growth.” Accessed June 2025. [9] Ampere Analysis. “Addressable TV now a $56bn industry.” Accessed June 2025. [10] Sky AdSmart. “Case Studies.” Accessed June 2025. (Specifically referencing SWIC data from their site) [11] Sky Media. “Sky Media Elevates Search Behaviour Targeting Through Captify Partnership.” Accessed June 2025. [12] Sky AdSmart. “East Anglian Air Ambulance Case Study.” Accessed June 2025. [13] Brands Untapped. “Sky Media’s Sarah Burnett on how AdSmart helps companies connect directly with their consumers.” Accessed June 2025. [14] Wenta. “Wenta awarded free Sky AdSmart TV advert campaign.” Accessed June 2025.
