Over the past decade or so the manner in which entertainment and TV are consumed has continued to undergo a significant transformation. According to a report, 2018 alone saw more than 13 million families abandon the use of cable or traditional TV and instead adopted TV (Smart TV) which can access the internet. The streaming time has also risen significantly due to the ongoing novel Coronavirus pandemic. The disease has forced people to stay at home as a health measure to curb its spread.
As the viewership of linear TV continues to drop there continues to be an increase in the use of Connected TV. And with the rise of Connected TV the popularity of CTV advertising continues to soar. Increasingly marketers and businesses are using CTV to access the right audience and boost brand engagement.
Fundamentally connected tv advertising is all about TV ads buying for display on OTT (Over-The-Top), smartphone and computer devices. CTV includes any device capable of accessing and streaming TV content. The ads are programmatically purchased.
For marketers CTV advertising is increasingly being adopted as it comes with several advantages. For instance it is possible to get tremendously creative with CTV commercials and achieve specific audience targeting.
How CTV Differs With Other Programmatic Advertising Options
When it comes to the area of programmatic advertising there are different options to choose from including CTV. However note that CTV differs from the other programmatic advertising options.
One common term in the field of programmatic advertising is OTT advertising. Though OTT advertising may be similar to CTV in some aspects there is a difference in that it requires a broadband connection to be accessible to a viewer or an audience. The ads reach an audience via different platforms including websites and social media.
In a nutshell, over the top advertising has a broader reach as ads can be viewed from any location of the internet while CTV advertising is limited to TV streaming.
Types of CTV Ads
CTV ads are primarily of three types which are:
I. In-Stream Video Ads
The duration of the adverts ranges from 15-30 seconds. In-stream video adverts are displayed before a program starts or in the middle of a program. The seeds provide one of the best ways of using available TV ads for advertising on this particular medium.
II. Interactive Pre-Roll Advertising
Unlike in-stream video advertising, interactive adverts make it possible for a viewer to access a landing page courtesy of a click-through. For instance, a movie that is being advertised via an Interactive Pre-Roll advert may present the audience with a ticket booking page.
III. Home Screen Placement Commercials
These particular ads are designed and presented to stay on the home screen. The ads can be in the form of an image or a video and may incorporate a particular call to action.
Future Medium of Advertising
As already shown consumers are replacing conventional satellite and cable televisions with smart TVs at a higher rate. For that reason, it is no longer a surprise that the popularity of CTV at now is at an all-time high. Since CTV marketing is primarily performed on services and devices capable of internet streaming it is safe to say that it is the future of advertising.
Connected tv advertising has become popular as it offers an array of benefits. Some such benefits are that CTV advertising is budget-friendly, offers more audience engagement, allows the use of different creative advert formats, and provides access to useful metrics.
For example, the real-time metrics available can be used by advertisers for unearthing the conversion path of a user. The metrics can also come in handy in terms of understanding more about audiences that have a higher chance of being converted.