From Couch Potatoes to Conversions: The Power of CTV Advertising


Connected TV (CTV) and over-the-top TV (OTT) advertising have taken the marketing world by storm, providing brands with a powerful new tool to reach their target audiences. With many advantages over traditional TV advertising, CTV and OTT have become a popular choice for businesses of all sizes. In this guide, we will cover everything you need to know about setting up and measuring CTV ad campaigns, from how it works to the key considerations for advertisers.

The shifting trends in media consumption have altered the media landscape in recent years. Streaming services have become increasingly popular, and more and more people are cutting the cord on cable subscriptions and satellite TV. As a result, advertisers have had to adapt to these changes to remain competitive. Connected TV advertising has emerged as a cost-effective and highly targeted solution for reaching audiences.

CTV is delivered on large-screen devices, like the TV in the living room, and is often delivered within streamed content through services like Netflix and Disney+. It can also be streamed through smart TVs, Blu-ray players, and game consoles like PlayStation and Xbox. CTV provides significantly better targeting capabilities than traditional TV, boosting efficiency and amplifying ROI. It is immensely popular, reaching 204.1 million worldwide viewers in 2022, according to Insider Intelligence.

OTT, on the other hand, is delivered on smaller-screen devices like tablets and smartphones, and it connects advertisers with fewer people. Both CTV and OTT can also include video-on-demand (VOD) services. Linear TV, or traditional television programming delivered by satellite or cable, is generally only available on larger screens in the living room, den, or bedroom. Programming is consumed linearly, meaning viewers watch episodes as they air and in the order they air.

The benefits of CTV advertising include cost savings via programmatic buying, powerful targeting capabilities, improved engagement, increased reach, access to detailed campaign metrics to inform future advertising decisions, high-quality delivery of visual ads, enhanced opportunities for interactive campaigns, and easy integration with new platforms.

Setting up a CTV campaign requires specific steps, starting with understanding your target audience. CTV advertising lets you connect with almost any segment and helps you broaden your reach. You should also consider how others will receive your ads within the viewing group. Next, define your goals, such as whether you want viewers to purchase a product or service, learn more about your offering, or connect with your brand elsewhere. Choose your platforms with care, considering the type of content your audience gravitates toward and how each platform handles ads.

Creating effective video campaigns is essential for capturing the attention of CTV audiences. Your content has to match the quality of premium content that is broadcast on these platforms. Today’s sophisticated audiences expect company-produced content to be polished and professional. Various ad formats will be essential to help capture different types of screen sizes, but making a storytelling video that’s “ready for primetime” is probably your biggest hurdle.

To measure CTV effectiveness, primary KPIs to include in your dashboard are reach, impressions, viewability, ROI, completion rate/viewer engagement, frequency, and conversion rate. CTV ads will likely produce more view-through than first-time click-through conversions, so it’s important to give your audience time to absorb and catch up with your brand across all your placements. Your advertising metrics can create audience segments and guide your campaign’s performance, allowing for clear attribution and precision.

As more and more people shift away from cable and satellite to streaming platforms, CTV advertising looks set to continue its rise in popularity. However, not all platforms are created equal, and advertisers should dig deep to determine which streamers best suit their connected TV efforts. They should then create evocative ad campaigns based on actionable, meaningful goals supported by KPIs to measure progress and success. By taking

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