Data Driven Advertising: Present and FutureReading Time: 4 minutes
Now more than ever, customers are spending time in front of Connected TV for entertainment purposes and for the wide range of content it offers. According to statistics, the majority of advertisers allocated 21% to 40% of their budgets to CTV in 2021. In response, Ad platforms and data suppliers responded by speeding up the development of new creative and targeting solutions to give advertisers more flexible, data driven advertising options especially in the CTV vertical.
Till a few years ago, data was applied only to mobile and digital mediums, now it’s a significant part of television too. Now advertisers are able to communicate their message to the right audience and at the relevant time through Data Driven TV. Since 2020, brands have tried to ensure that their message is delivered to the right audience and at the relevant time.
With the growing viewership over streaming platforms, brands are focusing highly on data driven advertising. What this essentially means is that data driven advertising is the way forward for optimizing brand communications based on customer information.
Read on to unveil how impactful data driven advertising is and why advertisers need to leverage it.
Reach High Audiences with Data Driven Advertising
Under the umbrella of data driven Connected TV, advertisers hold meaningful data to identify valuable audiences and their interests. Advertisers are able to display their commercials to the right prospects at the right device and at the right time while spending wisely.
Data driven Advertising is the foremost choice of advertisers to advertise precisely and draw audience behavioral patterns. When done right, data analytics can save advertisers money that they could have wasted on an ad targeting an irrelevant audience.
Viewers are fragmented nowadays, but with the help of Data Driven TV advertisers can now reach the viewers based on where they are by studying their interests, demographics, geographic location, age, etc. Moreover, advertisers can increase the chances of conversions by developing a customized video ad after keenly analyzing the data.
According to the quarterly ‘State of Streaming’ report from Extreme Reach, Connected TV continues to hold a comfortable lead in video ad impressions in Q3 2021, with a 35% share. Video has not only been the largest contributor but has further increased its share from 30% to 32% in 2021. That’s how data driven CTV ads have dominated the ad industry in 2021.
Data and Personalization
A data driven video ad campaign that gets updated in real-time using data and personalization allows advertisers to achieve more impressions and high CTR rates. A combination of data and personalization help advertisers generate more leads and provides a better customer experience.
In case advertisers find a particular audience is paying more attention to your video ad, then they can personalize their ad in real-time. Such a decision can help them get the most out of their ad spend. Moreover, analyzing the audience by updating the creative in running time and by adding/removing the trigger points is also beneficial.
Most individuals today watch the same show on multiple devices but with the help of highly accurate data and targeting. This provides advertisers a chance to achieve granular ROAS (Return on Ad Spend) by customizing the advertisements.
With the help of Dynamic creative optimization (DCO), advertisers can use data to serve more personalized, relevant creatives. In display campaigns, doing so can boost click-through rates (CTR) by more than 70%.
Unlocking Trapped Value in Data
In a remarkably short period, advertisers’ investment in CTV has increased as it comes with a massive audience and personalized targeting. Smart advertisers depend on data to make informed decisions and drive meaningful outcomes for their video ad campaigns. However, in this data driven world, advertisers face certain difficulties in organizing, analyzing, and getting the most for their ad spend.
Unlocking the data in a detailed manner and placing ads after accumulating the data collected from various sources helps in scaling up the ad campaign performance.
While there is no room for doubt on how leveraging data in an efficient way can help deliver unimaginable results, still many advertisers struggle with the vast amount of data (data lake). To extract the best result out of a video ad campaign, advertisers require an expert who can provide actionable insights and deep analysis in a simpler way to make real-time decisions for the existing campaign.
The present and future is all about data. Advertisers who nurture data driven ad strategies will be ahead of the curve.
Now’s not the time to just create a 30s advertisement. It’s time to do well data backed research and reach the right audience with relevant ads of their interest. All in all, it’s more about the experience and relevance.
VDO.AI is connecting the dots between advertisers and relevant audiences. Our innovative and uniquely designed solutions provide comprehensive insights that help in tracking your ad campaign’s contribution to conversion and reach.
VDO.AI can help advertisers achieve good results in a post-cookieless era by providing personalization and contextual targeting, while at the same time keeping brand safety intact.
Reach out to us at [email protected].
Let’s deliver exponential results together in 2022!