From smart TVs in the living room to refrigerators and microwaves in the kitchen, every screen in the home is transforming into a “24-hour personalized billboard that never turns off.” The home appliance market is rapidly shifting away from one-time hardware sales toward a platform business model that leverages operating systems and screens embedded in appliances to generate recurring advertising and content revenue.<\/p>\n
According to industry sources on the 20th, South Korea’s LG Electronics (066570.KS) expects its U.S. connected TV (CTV) advertising business to surpass 1 trillion won (approximately $717.3 million) in annual revenue this year. LG Ad Solutions (Alphonso), a U.S. ad-tech company in which LG Electronics holds a controlling stake, reported that first-half revenue surged approximately 50% year-over-year. Full-year revenue is projected to reach approximately $850 million (about 1.2 trillion won).<\/p>\n
LG Ad Solutions displays personalized ads on the home screen of webOS, the proprietary operating system for LG smart TVs, based on analysis of users’ viewing habits. For example, households that frequently watch sports channels are prioritized for ads featuring new sneakers or beverages. Ashish Chordia, founder of Alphonso, explained: “TV manufacturers are evolving beyond simple hardware companies into media platform enterprises that combine OS, data, and advertising.”<\/p>\n
South Korea’s Samsung Electronics (005930.KS) is also expanding its market presence with its free streaming service “Samsung TV Plus.” The service, which offers free content in exchange for viewing ads, surpassed 100 million monthly active users (MAU) this year, with total viewing time last year up 25% from the previous year. Notably, Samsung Electronics partnered with Amazon (AMZN) in March to unveil shopping-integrated advertising. When viewers see an ad for a specific product on TV, they can press a single button on the remote to add the item directly to their Amazon cart. The vision is to connect content viewing to product purchase in a one-stop experience entirely within the TV.<\/p>\n
Global advertisers are also shifting their budgets toward CTV. According to market research firm eMarketer, the U.S. CTV advertising market is expected to grow from approximately $38 billion (about 54 trillion won) this year to roughly $46.9 billion (about 66 trillion won) by 2028, surpassing the traditional cable and broadcast TV advertising market.<\/p>\n
The advertising stage is expanding beyond the living room into the kitchen. NESTA, the UK’s innovation foundation, analyzed that “washing machines, ovens, and microwaves equipped with screens could become new advertising media, potentially transforming the entire home into an ‘always-on commercial space.'” The foundation also noted that advertising is extending into automotive media screens and smart speakers.<\/p>\n
Consumer Backlash and Challenges<\/p>\n
However, consumer resistance to advertising penetrating private residential spaces remains a challenge to address. Samsung Electronics introduced screen ads on some Family Hub refrigerators in the U.S. last year through a software update, prompting backlash from some consumers. The Wall Street Journal noted: “American consumers accept seeing ads on smartphones and other devices as the price of connectivity, but the kitchen remains an ad-free zone.”<\/p>\n
In response, Samsung Electronics’ U.S. website now provides separate instructions on how to disable screen ads in the refrigerator settings menu. The advertising feature has not been applied to products sold in South Korea.<\/p>\n
Experts advise that for the revenue model to take hold, consumer benefits must accompany simple ad exposure. Sung Yong-jun, professor of psychology at Korea University and president of the Korean Advertising Society, said: “There is still significant resistance to ads appearing on white goods,” but added that “if compensation structures become established \u2014 such as discounting product purchase prices or providing free subscription services in exchange for viewing ads \u2014 consumer acceptance will rise quickly.” Professor Sung also predicted that just as ads are being introduced into generative AI, screen-equipped appliances are highly likely to be utilized as advertising platforms.<\/p>\n","protected":false},"excerpt":{"rendered":"From smart TVs in the living room to refrigerators and microwaves in the kitchen, every screen in the…\n","protected":false},"author":2,"featured_media":126779,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[621],"tags":[1282,19139,56535,315,56533,357,65149,276,12690,41277,10247],"class_list":["post-126778","post","type-post","status-publish","format-standard","has-post-thumbnail","category-lg-electronics","tag-amazon","tag-connected-tv","tag-emarketer","tag-lg","tag-lg-ad-solutions","tag-lg-electronics","tag-nesta","tag-samsung-electronics","tag-samsung-tv-plus","tag-the-wall-street-journal","tag-webos"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/posts\/126778","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/comments?post=126778"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/posts\/126778\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/media\/126779"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/media?parent=126778"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/categories?post=126778"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/tags?post=126778"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}