Contextual Advertising: The Rise of Contextual Advertising and Why it Matters

Posted on March 12th, 2021
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Contextual Advertising: The Rise of Contextual Advertising and Why it Matters



Data privacy regulations are hitting the media and advertising industry hard. While consumers enjoy more data privacy with the move towards a cookie less future and increasing global privacy regulations, the expectations consumers have grown to be accustomed to like personalized and relevant ads have not dipped. The advertising industry also saw ad revenues and spends take a dip in 2020 due to the pandemic but is projected to rise over the next 12 month period. Companies are looking at smarter and more effective means to advertise this time around owing to digital transformation as well as the increasing regulations in place, shift in consumer viewing habits, and privacy concerns.

On the one hand, consumption of media is seeing a huge rise through various channels and on the other, an increase in global privacy regulations and the demise of cookie based marketing. The most effective and sustainable strategy advertisers, broadcasters, and media companies are increasingly relying to tackle this challenge is Contextual Advertising,

What is contextual advertising?

Contextual Advertising has been around for a long time. However the creation and granular level of metadata we can now generate while analyzing content using technology like AI has radically changed in the digital era. Contextual ads and their vast potential using technology have yet to be fully capitalized.

What is Contextual Advertising? Imagine, you were watching a movie and were displayed an ad about a cell phone in the middle of a car chase scene. Now, take a second scenario where you were displayed the same cell phone ad scheduled next to a scene in the movie where the camera zooms in on the actor’s cell phone ringing. The probability of you being interested and engaging with the ad would most definitely be higher in the second scenario where the ad was placed next to a contextual moment. The Ad in the second scenario was a contextual ad. Contextual ads can be scheduled using content analytics platforms like which analyzes video and audio content automatically using AI to search through content at a granular level. Contextual ads can also be created by analyzing audio for keywords and mood of the speaker to place ads strategically. In the case of large ad campaigns, this form of advertising dramatically increases engagement and ad impact across the target audience.

Contextual Advertising is a form of advertising that employs placing ads contextual to the moment, object, or mood of the content being displayed near it. In contextual advertising, the content and ads are in sync with each other.

Benefits of contextual advertising

Contextual advertising offers multiple advantages over traditional advertising. Media companies and advertisers are increasingly moving towards this cost-efficient and effective strategy and here are some of the reasons why:

  • Minimizing ad waste

By placing ads near contextual moments, advertisers reach consumers with the right mindset that makes ads resonate better - this directly correlates to increased purchasing intent. This way, advertisers can reach a particular niche or a large audience when desired, eliminate irrelevant and expensive ad campaigns that do not deliver. Operational costs are minimized and management of campaigns is simplified. Ad frequency can be optimized with higher impact per view resulting in larger campaigns using contextual advertising having better results than other forms of advertising. Tools like Sciffer's make finding highly relevant contextual moments in your content easy. Use to schedule contextual ads for your next campaign through AI-powered contextual moment discovery.

  • Customer-friendly

Contextual advertising is beneficial for both advertisers and viewers. Contextual advertising does not bombard the viewers with ads that they are not interested in, instead, ads are presented to a viewer in the desired mindset near a relevant contextual moment in the content they are viewing. As a result, customer interaction with the ad (TSV, click-through rate, purchasing intent) increases, leading to a positive user experience for the customer and a higher engagement rate and impact for the advertiser.

  • Privacy-friendly

Personalization of content and highly targeted advertising is complex and relies on cookies and other forms of dynamic data feedback that are increasingly becoming subject to regulations in light of privacy concerns. Google for instance is set to ban third-party cookies by 2022. Firefox and Safari have already phased them out by default. Contextual advertising does not intrude on a viewer's privacy as it does not rely on cookies to schedule the ad. Instead, contextual advertising relies upon the context of the content to schedule the ad - the viewers are essentially anonymous. Contextual advertising is a smarter and sustainable means of advertising that can be relied upon to replace cookie-based advertising now and in the future.

  • Ad recall and impact

Consumers are exposed to an average of 500-5000 ads daily through various mediums, but only a few are remembered. Either the consumer is not interested in the ad or the ad placement is irrelevant. Recent studies show that Ad recall is significantly boosted when an ad is placed near a contextual moment. 2/3rd of viewers can remember a contextual ad over a regular ad. Contextual ads also lead to a positive brand association and most importantly have a greater impact on purchasing intent of the viewer.


In light of the digital transformation occurring across all industries, shifting viewer behavior and optimization of ad spend, advertisers and media companies are increasingly relying on contextual advertising as a better way to advertise. is Sciffer’s game-changing AI-powered Video analytics and collaboration platform powered through Artificial Intelligence - built for advertisers, marketers, broadcasters, and media companies to detect contextual moments, Reflexion uses deep learning technology to detect faces, people, emotions, scenes, objects, apparel, logos, OCR, electronics, mood, tone, background sound and a whole lot more in video, image and audio content enabling you to search for accurate contextual moments faster and more accurately than a human operator, Reflexion can also detect compliance, integrate with other tools and enables video collaboration with your team and with clients on a robust, secure and high performing web-based platform.

Streamline your creative workflow and schedule your next contextual ad with

Contextual Advertising: The Rise of Contextual Advertising and Why it Matters


Posted on:
March 12th, 2021