The TV industry could reap hundreds of millions of dollars in new revenue after one of the biggest buyers of media on Madison Avenue inked an innovative new deal with the big four networks.
Group M, which negotiates for clients including Unilever and American Express, has agreed to pay for ads that people see in playback mode up to seven days after they air.
The move is a giant shift, since current deals are based on viewership garnered within the first three days.
Such deals are known as C3 — and will be recognized as C7 moving forward.
The shift is part of a movement by all TV networks to standardize how they are paid for viewing across-the-board as mobile and VOD viewing grows.
“This is a step in the right direction but it’s a baby step,” one broadcast insider told The Post.
“What is most helpful is to have all the gross ratings points in the market more accurately measured,” the insider said. “What we are looking for is the total picture.”
WPP-backed Group M wasn’t immediately reachable for comment.
The move may be followed by other buying groups, though it isn’t immediately clear. Group M represents around 25 percent of US TV ad spending.