AMC Networks' streaming TV service to debut ad tier

AMC Networks announced plans to bring ads to its streaming service AMC+. The ad tier, expected to launch for consumers by October, brings more streaming inventory to advertisers as the list of holdouts continues to shrink.

The AMC+ ad tier, as well as a new addressable advertising product and expanded branded content slate, will take center stage at AMC’s upfront presentation Tuesday, April 18, at Jazz at Lincoln Center.

“I don’t think the viewer of the streaming service ad platform is any more important than the viewer on a FAST (free ad-supported TV) platform or on a linear platform—it’s about choice,” said Kim Kelleher, chief commercial officer at AMC. “On the buy side, marketers just want to know you’re watching ... and you’re paying attention to the ads too.”

AMC+ airs shows from the network’s core channel, including its recent “Immortal Universe” franchise based on the works of Anne Rice, as well as bundled content from sibling streamers Shudder, Sundance Now and IFC Films Unlimited.

At launch, the new ad tier is expected to include 15- and 30-second spots in pre- and mid-roll positions, as well as all products from AMC’s TEAL product suite, which includes shoppable ads, interactive overlays and product integrations. Kelleher said It will also feature a light ad-load competitive with that of other streamers—most of which average about four minutes per hour—and will be offered to consumers at a rate lower than the current ad-free tier, which is priced at $8.99 per month or $83.88 if paid annually. 

“It’s going to be sponsorship-heavy,” said Kelleher. “I really think it’s complementary to a buy that is all-encompassing versus just singular buys in the platform; you’d just be leaving too much fandom on the table should you do that.”

While AMC+ and its hubs from sibling streamers will soon feature ads, the ancillary streamers will not yet feature ad tiers individually. AMC intends to roll out ads on those at a later date, Kelleher said.

The idea for the ad tier isn’t to load up the service with ads, said Kelleher, who explained not all content would have advertising, but that inventory would be selected per a brand’s goals and target audience. The company is also selective about what brands are aligned with its content, which Kelleher describes as “scripted, quality content for mature adults” rather than a catchall platform.

AMC will be better able to put the right advertisers against the right content with Audience+, the culmination of its efforts in addressable advertising. AMC has been testing its addressable advertising capabilities for multiple years with partners such as Omnicom Media Group and Amazon.

Developed with data company 605, Audience+ provides insights into what, when and where audiences are watching across AMC’s portfolio. Evan Adlman, executive VP of commercial sales and revenue operations at AMC, described it as “the first time that we, as a company, have been able to see our viewership across all of our platforms” inclusive of its numerous channels across seven FAST platforms. 

“Amazon, when they worked with us on the addressable campaign, they targeted Prime users and non-Prime members,” said Adlman. “They tested multiple different variations of the creative. We have the ability to use these insights to inform what creative is working where, what messaging is popping with which audience profile, and that can be a cyclical conversation for us to bring back into the next campaign.”

The goal for these products is to be able to surround fans of a certain genre or franchise, which is part of AMC’s viewer-first philosophy. With Audience+, an advertiser might target horror diehards and place advertising against content on AMC+’s Shudder hub, the annual Halloween “Fear Fest” event on AMC’s linear channel and branded content through AMC’s Content Room productions that supplement the company’s larger franchises. In addition, Adlman said, Audience+ can then help advertisers find the same audience in less obvious ways.

“The profile of the audience that watches Shudder—Audience+ is showing us what else they’re watching,” said Adlman. “We see those audiences pop up in other areas: watching movies on one of our linear networks or watching something on our FAST channels. We know what they’re watching now and we can size that audience and ‘addressably’ target that audience across all the platforms.”

AMC’s Content Room will also get a push during the media company’s upfront presentation. The branded content studio, which previously focused on short-form and digital-native content, will expand its most popular shows to run on linear and in long-form formats. “Show Me More”—a behind-the-scenes feature that’s paired with AMC’s popular series and includes shoppable capabilities for its “Killing Eve” edition last year—will now air after season finales on linear TV as well as digital assets. AMC announced that seven additional Content Room series are in development.

“[Content Room Originals] are all really built through the lens of partnership,” said Kim Granito, who was recently promoted to head of marketing at AMC. “So we know exactly what the categories are that we’re going to be targeting for them. We know who this is built perfectly for at the time of early development conversations.”

A six-part short-form series called “Night Island” merges the worlds of Anne Rice’s “Interview with the Vampire” and “The Queen of the Damned” which involves witches and vampires at a swanky island resort, with opportunities built in for luxury auto and alcoholic beverage brands, said Granito. The episodes of each Content Room series are flexible to the audience and can be short-form on social and long-form on linear as well.

Despite these bespoke offerings sounding like big bucks during a time of economic uncertainty, Kelleher said this year’s upfront offering is geared toward serving advertisers’ needs at any scale.

“We’re here to transact any way our partners want,” said Kelleher. “I think the level of sophistication is ratcheting up. ROI is being redefined, and it’s not just about spots and dots anymore and it’s not just what Nielsen spits back. I really think [advertisers] want to matter, they want engagement, they want to last and they want to hyper-target.”