Sky has announced that Channel 4 is to join its AdSmart ad-targeting platform, confirming a Campaign story earlier this month.
Channel 4 will now use AdSmart, which will allow the broadcaster to run addressable ads across its linear TV channels to Sky and Virgin Media households for the first time. As well as Channel 4's own channels, the deal will include broadcasters for which 4 Sales handles advertising sales, including UKTV and BT Sport.
AdSmart, which launched in 2014, enables brands to display different ads to different types of household during the same programme, allowing for more relevant advertising shaped to demographics, location, interests and lifestyle.
This means, for instance, advertisers could target viewers of Channel 4 shows such as The Great British Bake Off more precisely. The agreement will significantly boost the scale and reach of AdSmart.
As part of the multi-year deal, highlights of Formula One and live coverage of the British Grand Prix will continue to be broadcast on Channel 4, while Sky and Now TV customers will be able to watch an array of Channel 4 box sets that were previously only available on the All 4 on-demand platform.
Sky said that "given the technical integration needed to enable AdSmart to work", the "go-live timings are still to be confirmed".
Alex Mahon, Channel 4's chief executive, said: "This landmark new partnership with Sky is a fantastic example of how broadcasters can work together to extend the reach of our content and innovate for the benefit of both viewers and advertisers.
"I’m particularly thrilled that we are extending our collaboration with Sky on Formula One, which secures highlights of all races and live coverage of the British Grand Prix on free-to-air television."
Stephen van Rooyen, Sky's chief executive of UK and Ireland, added: "We’ve long thought that collaboration benefits both consumers and the industry – today’s news does exactly that. Together, Sky and Channel 4 will connect their viewers to more of the content they love, while bringing brands better ways to reach audiences."
Campaign reported on 3 September that Channel 4 was in talks to make its channels available on AdSmart in a move that would bolster addressable TV advertising in the UK. Channel 4 and Sky both declined to comment at the time.