During the pandemic, the number of people using streaming services increased dramatically. Streaming services are now watched by more than 70% of American individuals aged 18 to 44.
People couldn’t get enough content with so many hours spent at home and so many streaming alternatives to choose from on their connected TV (CTV) devices (Roku, Xbox, Apple TV, smart TVs, and so on). Instead of paying for traditional broadcast and cable TV, they experimented with innovative, low-cost services like Peacock and joined up for free services like IMDb TV.
Viewers didn’t mind advertisements interrupting their broadcasts if it meant they could access their programming for free or at a reduced cost: Last year, six out of ten people indicated they switched from ad-free to ad-supported streaming channels.
This is terrific news for marketers, as ad-supported video on demand (AVOD) is anticipated to grow in popularity even more: In the United States, AVOD income is expected to quadruple to $31 billion between 2020 and 2026. The consequence of this viewer choice is that advertisers now have far too many options to evaluate and manage.
The average household now subscribes to 4.7 providers, ranging from free ad-supported streamers like Tubi to ones that offer lower-cost monthly subscriptions in exchange for advertising, like HBO Max. Advertisers may find it challenging to divide expenditures and measure success rates that aren’t uniform across streaming platforms.
So, how should advertisers approach this new, ever-changing, and enormous world of CTV? Let’s have a look at what we’ve got.
CTV Digital Advertising Shows Unexpected Growth during the Covid-19 Pandemic
Advertisers who use CTV face a number of challenges:
There were many fewer streaming options just five years ago, with many consumers sticking to Netflix, Hulu, and Amazon Prime. Advertisers are less clear about how and where to make the most of their advertising spending now that there are dozens of streamers available, and the following issues remain:
Managing the ad-buying process is a logistical nightmare:
Traditionally, businesses had to contact the streamer directly if they wanted to advertise on a streaming network. As a result, advertisers are frequently faced with a maze of creative management, media planning, budgets, and measurement. However, there isn’t much time dedicated to building a better strategy or creative approach.
The difficulty in tracing impressions from television commercials to a company’s website. CTV may be viewed on a variety of devices, although most people watch it on their televisions. This poses a dilemma because viewers can’t visit an advertiser’s website on their television (at least not on non-smart TVs), making it difficult to correctly assess when they visit a website and make a purchase on another device in the house.
The non-standardized, non-centralized method of determining streamer success:
When every solution or service offers distinct trackable data, it’s practically hard to assess performance on linked TV. One prominent ad-supported service, for example, provides data on impressions, completion rate, clicks, and click-through rates, but half of these measures are irrelevant if the ads are displayed on television screens. Another service emphasizes evaluating reach and frequency, which are the same measures used in cable and broadcast television. This is due to the fact that some streamers are still figuring out what it means to be successful on CTV.
That doesn’t provide you with a lot of information about your efforts, especially when CTV advertisements allow you to follow the actual effects of your campaigns. You’re not getting the complete picture if you’re working with a bunch of solutions that don’t provide that.
CTV accounts for 60% of premium video advertising views; programmatic increases to 24%
Advertisers who use CTV should consider the following options:
The good news is that advertisers may use technology to reduce fragmentation while still reaching their intended streaming audiences. Because not all CTV advertising platforms and technologies are created alike, here are some things to look for:
1. CTV ad platforms that are open about where their advertisements are being placed.
Ads on lesser-known apps will be distributed by some platforms. Advertisers will seek a platform that allows them to reach viewers across a variety of premium CTV networks and apps. Advertisers also want a platform that can target specific audiences rather than just a specific movie or show so that ads can follow a viewer from one network to the next.
2. CTV ad platforms, which allow advertisers to follow ads across several devices.
Advertisers should use technology that allows them to access the same metrics across all devices, regardless of where the viewer is watching content. Today’s technology (for example, MNTN’s Cross-Device Verified Visits feature) can track any user visits to an advertiser’s site once their ads have been guaranteed in-view for a period of time determined by the advertiser.
3. CTV ad platforms with an easy-to-manage system that streamlines stats, income, and site visitors.
You’ll need a streamlined approach to deal with cumbersome stats between streamers. Advertisers want to see not only real-time impressions and completion rates but also outcome-focused metrics like website visits, conversions, cost per acquisition, return on ad spend, and more—all of which are related to a specific TV campaign.
Last year, MNTN software was used by Reeds Jewelers, one of the leading U.S. retail jewelry chains, to execute and track a non-skippable Mother’s Day CTV ad on premium streamers. Reeds was able to engage viewers with timely content, generate initial site visitors, and convert sales in the weeks leading up to the holiday. Reeds saw a 64 percent increase in campaign conversion rates and a 39 percent increase in return on ad spend as a result.
CTV Engagement: The Use of Data to Drive Creative Refresh and Results
Getting your brand’s message to the proper part of this audience doesn’t have to be a hassle with the right technology. Uploading your ad, selecting your audience, setting campaign parameters, and then sitting back and tracking your results may be as simple as that.