Connected TV Advertising:
A passing Trend or The New Normal?
TV watching is one of the most popular leisure activities. People daily consume so much video content that this fact can’t but steer up advertisers’ attention. What an excellent opportunity to present the product amidst the show or movie and get the ad monetization!
Yet, it’s interesting that traditional TV has rather seen its days and can no longer catch up with highly demanding and elusive audiences. The lion share of the industry chooses OTT and CTV. Over-the-top media sidesteps satellite and cable providers, and connected TV allows consuming content in a familiar way – on a TV set. What’s more convenient – it’s available on other mobile devices.
New Normal
Both content producers and advertisers realize that connected TV is here to stay, and the skyrocketing audiences make it a tidbit for every player. The transition from traditional to connected TV caused by access to streaming videos on mobile devices and lower fees results in ad budget reallocation from broadcast, cable and satellite TV. With the ample opportunities CTV opens for content consumption, businesses more willingly launch their ad campaigns here as they can reach and target their potential customers without a hitch. Companies are expected to bankroll about $10 billion in CTV ad spend by the end of 2021, and this number will reach $14 billion by 2023.
The influx of investment in the OTT and CTV market is dramatically increasing because the industry develops and provides multiple solutions that improve ad campaign effectiveness. Therefore, new video monetization platforms appear as developers realize the potential of this digital environment.
What benefits do advertisers and publishers get when launching ad campaigns on CTV?
Key to Success
Unlike traditional TV advertising, the CTV environment is favorable for all players as it provides multifaceted, technological approaches to ad monetization.
Targeting Loyal and Potential Audience
The exponential growth of CTV viewership is noticed in many countries. As the channel equally attracts viewers of younger and older generations, it’s easier for brands to reach elusive audiences and new customers. With sophisticated audience segmentation, advertisers can achieve the set goals cost-efficiently and fast.
Variety of Ad Formats
CTV ads abound in a variety of formats. Uniquely tailored, professional videos allow customizing messages depending on the stage of the sales funnel and thus boost engagement. Even with the option to skip an ad, it’s more likely to be watched by the right audience than on traditional TV.
At the same time, publishers not only control the process but offer enhanced frequency settings and capping options for advertisers to engage the right audiences at the very best time possible without hurting viewing experience.
Cross-Device Support
Viewers are inclined to consume content on different devices aka make it more complicated for advertisers to track their experience. Advanced CTV technologies provide a complex solution to the issue. Instead of following devices, they use a universal identifier to target the right person with a brand message. This technology helps to target customers more holistically and customize ad content.
Ad Monetization
Partnership with credible publishers ensures profitable CTV ad deals and stable revenues. The great variety of ad tech solutions allows both sides to establish profitable CTV ad deals effortlessly and enjoy the results in the long run.
What’s Next?
The ever-growing potential of CTV keeps evolving. For many users, the environment has become a traditional way to consume content, and this tendency will remain for the years to come. Brands that currently advertise on CTV have already tried out all the benefits and scaled their income. Those who haven’t launched ads on CTV yet – the tipping point has come. Get closer to your buyers by accompanying them in their living rooms.
