Samsung to add ads to TV main menu in Europe
Samsung also wants to show ads on its smart TVs in Europe. The Korean company has previously implemented this change in the US market. The advertisements must be shown in the main menu of the TVs.
The change is set to take effect in Europe in the coming months, The Wall Street Journal reported citing sources. This would happen on older models through a software update. The ads should be shown as tiles in the main menu, next to apps like Netflix and YouTube. If a user selects one of these advertisements, it is intended that interaction will take place, for example through a quiz. In the past, Samsung showed ads in a small window next to apps, but that was on the app page of older versions of its smart TV software.
The decision is part of an effort to move beyond just selling TVs, the newspaper said. Samsung would suffer from a shrinking market and its profit margins of three to five percent are also coming under pressure. The company sells an estimated 50 million televisions per year, with a global market share of 50 percent.
The ad expansion is led by the same person at Samsung who is responsible for partnering with companies like Netflix, from which Samsung receives a portion of its content streaming revenue.