Key Points
- LG has introduced screensaver ads on all smart TVs, including premium OLED models. These ads are enabled by default but can be disabled.
- LG promoted the ads to advertisers, claiming they increased brand awareness by 2.5 times.
- Buyers, particularly those who invested in expensive models, may be dissatisfied with these ads. LG collects and shares user viewing data with Nielsen.
- LG joins other TV manufacturers like Samsung and Roku to expand smart TV ad placements.
LG has begun displaying screensaver ads on all its smart TVs, even on its premium OLED models, as confirmed by a company press release and a report from FlatpanelsHD. These ads appear just before the regular screensaver activates and are part of LG’s broader push to integrate more advertising into its TV ecosystem. The ads, including LG’s streaming services and third-party promotions, now default on all LG smart TVs but can be disabled through the settings menu.
According to FlatpanelsHD, the screensaver ads are visible on various parts of the smart TV interface, including the home screen, LG Channels, and the Content Store. While LG didn’t directly announce this feature to the public, it did promote the benefit to advertisers on its LG Ad Solutions site. The company claims that screensaver ads “drive 2.5 times higher brand awareness” compared to assumptions that viewers lose attention when the TV is idle.
This new feature may benefit advertisers, but it has raised concerns among buyers, particularly those who have spent up to $4,500 on LG’s high-end OLED models. Many TV owners may not be keen on seeing ads on their expensive devices, especially when they are not actively watching anything.
Additionally, LG seems to be betting that many users, similar to those who don’t adjust settings like motion smoothing, will not navigate through the menus to turn off these ads either. The company is not just focusing on ads but also on tracking its customers’ viewing habits. The company gathers content-recognition tracking data from its TVs and shares this information with the Nielsen ratings company, offering advertisers insight into users’ habits.
LG launched its LG Ad Solutions division earlier this month, intending to capitalize on the ad revenue potential in an industry with shrinking margins. This move aligns LG with other smart TV manufacturers, like Samsung, Roku, and TCL, who have also integrated ads into their TV ecosystems.
