Local Ad Insertion: Impact, Sources, and Optimisation

Advertising content on Streaming platforms is easier than ever. With the new tech age, content creators can generate revenue using targeted ads for their consumers. Dynamic Ad Insertion or DAI technology allows the advertisers to insert live ads between the media content. As a result, the brand typically engages with the viewers to generate sales and revenue. 

Targeted local ads have an inherent advantage over conventional global advertisements. They make the content consumer feel more connected, thereby creating a better revenue flow for the advertiser. This connection benefits both the content creator and the advertiser through playouts over different media that have gained popularity today. 

The Working of Dynamic Ad Insertion

DAI or Dynamic Ad Insertion is a video ad technology that lets you insert ads into Video on Demand content or live linear programming. It attaches the ad content and video into a single stream of data, with no dependence on the app or the web page, and gets rid of the ads request and ads response from the Software Development Kit (SDK). This lessens the chances of an error on the client side, thereby producing a seamless experience with no buffering between ads and content without latency.

How does Dynamic Ad Insertion work?

Dynamic Ad Insertion uses the following steps:-

  1. Interactive Media Ads (IMA) Software Developer Kit (SDK) loaded by the web page or app.
  2. IMA SDK requests the cloud Ad Manager DAI service for content.
  3. A stream with Ads and Content stitched together is returned by the cloud service.
  4. The stream is then played by the video player.
  5. The impression pixels load IMA SDK.

Benefits provided by Dynamic Ad Insertion

DAI allows you to target particular ads for Video on Demand and Live Linear programming, obtain a broad reach with support across various devices and take advantage of monetization using programs on a wide variety of devices with Ads Exchange for Video. In addition, DAI can stitch target ads specific to the individual content consumer regardless of the initial format of your content.

The method is fast, efficient and reduces any latency to create a seamless experience for the user. This has become particularly beneficial with the growing popularity of online live sports playouts and even on-demand content. Additionally, with the growth of playouts in the news streaming industry, local news ad insertion can be particularly advantageous for generating revenue.


With the growing demand for OTT (Over The Top) and other on-the-go content, the demand for better advertisement is increasing. So is the need for better optimization and targeting of ads in the playout streams. Even after the pandemic, the ad industry has grown to $649.22Billion, showing a rise of more than 11% over the previous year and continues growing at a similar rate. Better ad insertion and targeting’s demand is only going to inflate.

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