Tullahoma Utilities Authority has released a request for proposal for ad insertion services for LightTube in early September.

Ad insertion is the process of inserting ads locally on 27 national channels and is a great way for local businesses to target local customers. The board received two responses to this RFP. Staff recommended that the board award ad insertion business to Alpine Advertising Agency, Inc. (AAI).

In the proposal, AAI will control all of the ad insertion of LightTube’s network, sell the ads, produce the ads if needed, collect the revenue and provide LightTube’s share of that revenue. TUA will receive 40 percent of gross billing generated on LightTube’s cable television system and five percent of digital sales generated from local businesses.

AAI will insert cross-channel promotions for TUA’s products and services and certain PSAs, promotions, announcements and advertisements. The agency will install the ad insertion equipment necessary in the LightTube’s head end at AAI’s expense. LightTube can opt out of the contract if reimbursements to LightTube do not hit certain revenue minimums.

The proposal was unanimously approved at last week’s regular TUA meeting on Nov. 26.

Katelyn Lawson may be reached at klawson@tullahomanews.com.

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