CTV Advertising: Reinventing The Commercial LandscapeReading Time: 3 minutes
CTV advertising and viewership is not just rising in the U.S. region but also in the APAC region. The growth of CTV and OTT viewership is now influencing advertisers’ decisions and ad budgeting approaches, resulting in a dramatic shift in the TV landscape. CTV is now at the forefront of media consumption. As individuals begin to spend more time indoors, advertisers are able to reach and engage with a larger audience through CTV.
By offering more customizable packages, tools to customize ads, and increased interactivity, CTV gives brands a valuable opportunity to create extremely profitable advertising campaigns.
Read on to get valuable insights on how CTV is the best way to get in front of a highly targeted audience:
CTV Presents an Enormous Video Advertising Opportunity
Reaching out to the audience where they are consuming more content and with the most effective way of advertising- video advertising through CTV, helps the advertiser reach consumers and increase conversions.
According to Limelight’s State of Online Video 2020 report, time spent streaming TV shows increased 48% globally year over year in 2020 to an average of 4.6 hours per week. In addition, time spent streaming movies increased 22% year over year to 4.5 hours per week.
The graph above from the IAB research report clearly shows how CTV has taken over Digital Desktop Video and Mobile Video in 2020. According to the research, in 2021, nearly three-quarters (73%) of CTV buyers expect to move their budget from broadcast and cable to CTV. In 2020, advertisers spent an average of $20 million on CTV, and more than a third (35%) of buyers anticipate raising their CTV video ad expenditure in 2021.
Moreover, in the case of connected T.V., a study shows that 69% of people said they are comfortable watching commercials on streaming T.V. since they receive access to high-quality T.V. series and films, and 63 percent said they remembered seeing a travel ad on CTV in the previous month.
CTV provides a Wider Audience
CTV audience is broader and incredibly diversified in terms of age, race, family background, etc. Also, according to e-marketer, Connected T.V. users will grow from 182.6 million to 204.1 million by 2022, representing roughly 60% of the U.S. population.
Advertisers have a greater chance of promoting their products or services to a larger audience and persuading more consumers to buy their product or service. They can also create campaigns on festive offers and grab the attention of the massive audience present on CTV.
The image above from Comscore depicts that 69.8 M homes in the US used OTT with an increase of 5.2 million year over year. This projects that advertisers and marketers can reach a massive audience and achieve their advertising goals with more leads and sales through Connected TV.
CTV Ads Actionable Insights
Since 2014, the martech industry has grown to encompass 8,000 solutions, an increase of 8X. Marketers and advertisers find advanced analytics with the most impactful technology. Also, they can now utilize the power of data and save money by buying the right ad inventory and showcasing their ads to the right audience. Therefore, Connected TV ads analytics makes things simpler by helping in identifying significant audiences so that advertisers can modify their campaigns accordingly.
With video commercials on CTV, advertisers could improve their campaign’s reach, performance, and measurement, as well as achieve their ad goals more efficiently. Furthermore, by utilizing relevant data, advertisers can target the most valuable clients at moments when they are hyper-engaged, allowing them to spend their money effectively.
Video advertising was already on rise, but with the advent of CTV, it will continue to grow with each passing year. Advertisers can maximize their revenue and meet their ad goals by incorporating CTV advertising into their ad strategy. Especially, using the power of CTV advertising during the holiday season or quarter four can help boost sales and brand awareness.
VDO. AI is a leading innovator of CTV solutions, and we can help you achieve your KPIs more efficiently while ensuring your brand safety. This festival season, partner with us to magnify your brand awareness among your most valuable and targeted viewers.