Streaming TV and Connected TV: Advertising Trends and Opportunities

Key Definitions

Digital distribution of video content through devices with an Internet connection.

- Connected TV (CTV): Devices used to view streaming content, such as smart TVs or game consoles.

- Over-The-Top (OTT): Term that refers to how content is distributed over the Internet, without traditional cable or satellite providers.

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Evolution of Media Consumption

During the COVID-19 pandemic, contrary to expectations, traditional television lost an audience in the United States, while the consumption of content on Connected TV grew significantly.

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Advertising on CTV

CTV advertising is a form of digital advertising that appears within streaming content. It includes:

• Announcements during TV shows or live broadcasts

• Interactive ads aimed at specific audiences.

• In-stream or online video (OLV) ads on websites.

Advantages

1. Extended range to cord-cutters and cord-nevers.
2. Presence in premium content and live streams.
3. Programmatic purchase of ads for optimization.
4. High video termination rate (VCR).
5. Improving the brand lift and brand reach.
6. Potential to increase online visits to product pages
7. Massive and specific reach simultaneously.
8. Advanced segmentation (location, purchase intent, age, gender, interests).
9. Potentially lower costs than traditional audiovisual advertising.

Key Metrics

• Video Termination Rate (VCR)
• Cost per completed view (CPCV)
• Brand and audience reach
• Brand lift
• Statistics for new customers of the brand
• ROAS (Return on Advertising Investment)
• Performance by ad, location and device
• Cost per visit
• Generated web visits

Publicitaria

According to an Advertiser Perceptions survey:

• 52% of advertisers planned to increase investment in video marketing by 2021.
• 77% of brands that increase budgets say that advertising in digital audiovisual media is growing faster than other formats.

Performance-Focused Strategies

The CTV allows:

• Enhance branding and product presentation.
• Focus on online conversion and sales.
• Monitor relevant KPIs to evaluate campaigns.

Data Science Applied to CTV

• Creating your own audiences with First Party Data for retargeting.
• Predefined audience segments based on third-party data.
• Integration with tools such as Google Analytics for attribution.

Featured Platforms

• SteelHouse: Provides detailed insights into campaign performance.
• Amazon Fire TV and Amazon Prime: They offer advertising inventory on CTV.

Additional Benefits

• Integrated shopping experience with calls to action (CTA).
• Proactive information for customers without interrupting their entertainment experience.
• Diversification of channels to cover all stages of the customer journey.
• Improved engagement and increased sales through frequent, multichannel impacts.

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Conclusion

Connected TV is positioned as a key platform in brands' media plans, offering a unique combination of mass reach, precise segmentation and advanced measurement capabilities. Its continuous growth and the evolution of technological capabilities make it an attractive option to improve both brand awareness and online conversions.

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