Vizio Holding Corp. (NYSE: VZIO) continues to see success in monetizing its smart TV business.
The Irvine-based company, which got its start selling connected flat-screen TVs and is more recently looking to make inroads on the advertising front, recently disclosed it secured more than $100 million in upfront ads for the 2022 season.
Marketers purchase air time for their ads ahead of a TV season, or up front.
The disclosure represents growth of four times from what the Vizio Ads group generated in 2021 upfronts.
Marketers committed to ads hail from the automotive, insurance and retail industries, bought via six agencies.
Vizio, with a recent market cap of $3.8 billion, continues to make and sell its smart TVs and then further generates revenue off the devices division by gleaning audience data and selling ad products to marketers looking for more targeted advertising through streaming.
In other words, it’s created an ecosystem for both viewers and marketers via what Chief Revenue Officer Mike O’Donnell called “an advertising business model that is unique in the industry.”
It’s also what founder and CEO William Wang has said is part of Vizio’s “expanding dual revenue model,” which is split in two parts.
First is the device segment, the legacy TV business that generated $335.6 million in the June quarter. There’s also the fast-growing Platform+, which generated $65.5 million in the quarter, and is comprised of the SmartCast TV operating system and analytics supporting the ads business.
