The pandemic has changed the way users consume television. People shifted from traditional cable to connected TV or CTV. A recent study shows that almost 40% of adults watch videos daily on CTV while 60% do it weekly.
With a rapidly growing audience, CTV presents incredible opportunities for building brand awareness and boosting conversion rates. Today, we’ll deep dive into the inner workings of CTV advertising and learn more about its benefits.
What is CTV Advertising?
Connected TV or CTV advertising is a form of programmatic advertising that uses internet-based television, smart TVs, and interconnected devices to reach an audience. Unlike traditional broadcast and cable television, CTV provides access to streaming platforms, over-the-top content, games, and other video subscription services.
Access to a wealth of entertainment options led to its increased popularity, especially during the pandemic. By March 2020, Nielsen data found that 76% of U.S. households had at least one connected TV.
But what does this mean for advertisers? Simply put, CTV enables them to strategically serve video ads while you are watching your favorite movies or television shows. But, more on that later.
Advantages of CTV Advertising
More Dynamic Advertising Formats
CTV platforms enable advertisers to create more engaging and diverse advertising content. Plus, clickable and unskippable ads allow for an immersive experience. CTV ads typically come in three different formats:
- Interactive ads – clickable ads that prompt viewers to click or make an action, i.e., answering surveys or playing a mini game.
- In-stream video ads – typically displayed at the beginning and end of a video. It often lasts for 30 seconds and is sometimes unskippable.
- Home screen placement ads – ads flashed on the home screen of a CTV device. They usually come in static images, short videos, or graphic formats.
Most Smart TV and CTV platforms allow advertisers to create a more personalized ad experience by asking for user data like geographic location, watching behavior, email address, language, and more. You can use this crucial information to optimize ads and create more personalized messaging that piques the viewer’s interest and encourages them to take action.
Tracking ad performance is crucial to the success of your campaign. With CTV, advertisers can monitor their ads to identify whether they’re on track with achieving their targets. Likewise, it enables them to determine which types of ads are effective and which aren’t.
Below are the three important metrics offered by CTV:
- Impressions – the number of times users see an advertisement
- Completion rate – the number of times a video was played and viewed to completion
- Total reach – the total number of users who have seen your advertisement
CTV advertising offers a cost-effective alternative for small and medium size businesses that cannot afford advertising through expensive TV commercials. What’s great is that CTV is just as effective, but you’re only paying a fraction of the cost.
Harness the Power of CTV Advertising
Increase your brand’s reach with Sievers Creative’s comprehensive CTV advertising services. We can help you create a targeted campaign that ensures your ads are served at the right time to the right audience. Our creative team of web designers can also assist you with video creation and implementation.
Give us a call at 651-300-4932 to request a free quote today, or click here to set up a free consultation.