FRANKFURT, June 5 (Reuters) - German broadcaster ProSiebenSat.1 and the local unit of RTL Group said on Wednesday they were setting up a joint venture to enable buyers of adverts to target audiences more accurately.
Such 'addressable' TV seeks, for example, to ensure that cat food commercials are seen by cat owners, just as online advertising relies on profiles of people compiled on the basis of their surfing habits.
The initiative seeks to fight back against Facebook and YouTube, which are ad-funded, and subscription streaming services like Netflix and Amazon Prime that are grabbing viewers.
Expanding an existing ad alliance, the partners said the joint venture would run a single demand-side platform to manage automated ad sales. This offers a single interface for buyers to manage their portfolio of adverts and identify the audiences they are targeting.
With 18 million internet-enabled TVs already in use in Germany, ProSieben and RTL estimate the the market for addressable TV and online video will be worth several billion euros (dollars) by 2022.
The joint venture reflects the preference of German-centric media companies to seek salvation through cooperation, and not through mergers. Last week, Italy's Mediaset bought a 9.6% stake in ProSieben, buying itself a seat at the table in any future talks on creating a European TV company. (Reporting by Douglas Busvine, editing by Thomas Escritt)