By Keith Ferguson, The NewStar Group
Here’s the truth, folks: local TV stations are in a fight. Cable giants and streaming services are gobbling up eyeballs, leaving local stations with a shrinking audience.
But there’s a hidden gem right under our noses, a goldmine of viewers and, more importantly, high-value advertisers: youth sports.
Think about it. According to the Aspen Institute, over 30 million kids participate in youth sports annually [Source: aspeninstitute.org]. That’s a massive, engaged audience – parents who are actively involved in their communities and, crucially, already primed to buy local.
Here’s where ATSC 3.0, the next generation of broadcast technology, comes in. Unlike traditional broadcasting, ATSC 3.0 offers incredible targeted advertising capabilities. Local stations can leverage this to partner with local businesses that cater to families – dentists, sporting goods stores, soccer academies – and deliver laser-focused ads directly to those parents watching youth sports content.
Why are youth sports parents high-value advertisers?
Simple. They’re already in the spending mindset. They’re buying uniforms, equipment, snacks, and everything else that comes with keeping their kids active. Local stations can become a one-stop shop for these businesses to reach their target audience directly and efficiently.
But wait, isn’t the upfront cost of ATSC 3.0 equipment a barrier?
Yes, there’s an investment involved for the station. But here’s the thing: the cost of NOT adapting is far greater. Local stations risk becoming irrelevant in the face of competition. With ATSC 3.0 there is more channel capacity, thus the ability to cover all male and female youth sports in your market. There is also more measurability and also ad addressability – all of the things that digital has, which has taken advertiser attention away from local TV.
There’s also an investment, a small one, which has to be made by viewers. An ATSC 3.0 tuner with antenna might cost around $80. So far there has been no clear main benefit expressed to viewers which would drive them to spend the $80. If there were a campaign using your own air time to educate the public about the ability to “watch on television the games your kids play in”, that could cause a spike in ATSC 3.0 adoption.
So, what’s the takeaway?
Local stations can disrupt the status quo by embracing youth sports content and leveraging ATSC 3.0’s targeted advertising capabilities. This isn’t just about survival; it’s about unlocking a new era of local TV that thrives by serving its community. It’s time to step up to the plate and remember, sometimes, the best way to win is to play ball.