Tesco will show targeted adverts at users of its Clubcard TV service that lets Clubcard owners watch films and movies for free.
It can offer such a service due to the valuable data that it holds on each Clubcard owner – data that brands around the world want.
Instead of selling off the data to individual companies, Tesco is pushing adverts for relevant products to its 16 million potential viewers. It'll target each viewer separately, utilising their unique purchase history stored in their Clubcard account.
"We have launched the service because it means we can know our customers better than anyone," said Clubcard TV managing director Scott Deutrom. "By using Clubcard, we can look at what customers buy from us, and then show them ads that are relevant to them.
"Better still, we can target ads based on what our customers bought yesterday, we can show that we are listening to our customers in â€˜real time'".
This method of utilising data to market directly to viewers is key in setting Clubcard TV apart from other video streaming channels and services available online.
Do you think this is the right move for the retail giant?
Is there a way for Tesco to gain more information on viewer habits from this service?
Will people even bother to watch such a service in the raft of others available to them?
Let us know by commenting below.
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