As the world of entertainment and advertising continue to shift, more consumers are turning to streaming services to watch their favorite TV shows and movies. This trend has resulted in the growth of connected TV (CTV) and over-the-top (OTT) advertising. This blog post will discuss the implications of this shift and what it means for brands and advertisers.
Connected TV (CTV) is the delivery of television content through the internet, while OTT refers to the delivery of video content over the internet without the need for a traditional cable or satellite TV subscription. Together, CTV and OTT offer brands and advertisers a way to reach consumers on the platforms where they’re increasingly spending their time.
According to eMarketer, CTV and OTT ad spending is set to reach $8.04 billion in 2021, up 35.8% from 2020. This rapid growth is being driven by the increasing number of households cutting the cord and turning to streaming services, as well as the growing number of streaming services available.
So, what does this mean for brands and advertisers? It means that it’s becoming increasingly important to have a presence on CTV and OTT platforms. This could include buying ads on streaming services like Netflix, Hulu, and Amazon Prime Video, as well as advertising on CTV platforms like Roku and Amazon Fire TV.
One of the main advantages of CTV and OTT advertising is the precise targeting capabilities they offer. Unlike traditional TV advertising, CTV and OTT advertising allow for more precise targeting based on factors like age, gender, and viewing habits. This means that brands and advertisers can reach the right audience at the right time, increasing the chances that their ads will be seen and remembered.
In conclusion, the growth of CTV and OTT advertising presents a significant opportunity for brands and advertisers to reach consumers on the platforms where they’re spending more and more of their time. By understanding the shift in consumer behavior and utilizing the precise targeting capabilities of CTV and OTT advertising, brands and advertisers can effectively reach their target audience and maximize the ROI of their ad spend.