5 Things You Didn't Know About Connected TV | Adtaxi

5 Things You Didn’t Know About Connected TV


Jennifer Flanagan

Sep 25 2018

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Introductions to traditional television changed history, and connected TV has the potential to change television’s history — especially when it comes to advertising. While it may still be finding its footing, there are plenty of benefits to connected TV, and understanding them may be one key to helping the platform take off.

1. More Mature Audiences Watch CTV

The average connected television (CTV) user is older than advertisers might think, and almost 70 percent of these users have children.

Though older Americans grew up watching program favorites on traditional TV sets, they aren’t reluctant to try new forms of entertainment. Actually, mature audiences are shifting away from cable and broadcast television to watch programming over the internet in increasing numbers.

This new trend offers marketers opportunities to reach multiple household members — 2.6 viewers on average are being reached with connected TV advertising alone. Better still, connected TV ads provide access to decision makers and influencers within households simultaneously. This lays the groundwork to develop and deliver the right messaging at favorable times.

2. Audience-Based Targeting Has Potential

Connected TV targeting is advanced, seamlessly combining traditional TV and digital marketing. This allows advertisers to guide ads toward targets by demographics, interests, and geography. Advertisers can even narrow geographic targeting down to a ZIP code.

For example, viewers who use CTVs are required to log in with email addresses or universal identifiers via social media profiles. With the use of third-party data, a user’s profile is completed based on device, geolocation, interests, online behavior, language, and more.

Specific audience segmentations are used to deliver relevant messages to brand-receptive audiences as well. Throw in sophisticated targeting, and advertisers find high-value audiences they can serve connected TV ads to through their IP addresses or device IDs.

The general idea is to build an audience segment of qualified users who have been exposed to the brand’s CTV ad. Once achieved, these users are then served with related ads across multiple digital channels. Consistent messages across different channels and devices drive site traffic and profits.

In the end, success is possible for advertisers who have developed well-defined target audiences using data-driven algorithms — those outside of traditional TV buying parameters. Similar technology is applied to optimize the price paid to reach that high-value audience.

3. Less Is More in Advertising

With traditional TV, three to five commercials run consecutively, which effectively overwhelms viewers. More importantly, the viewer is likely to ignore or forget the commercials altogether.

Unlike its predecessor, connected TV commercials appear at a much lower rate, with only one ad shown at a time. When casual or TV binge watchers aren’t besieged by an onslaught of commercials, they’re more attentive. Viewers not only see an interesting ad, they also remember the brand behind it, and perhaps even engage. An action may not occur right away, but showing an interest is favorable since the viewer may become a future customer.

4. Lights + Camera = Action With Digital Video Ads

High-quality videos aimed at the right viewers in prime environments is a surefire success strategy. It’s the future of video advertising, with enormous opportunity and relative acceptance among consumers.

Placing video ads on streaming service providers to reach an audience you wouldn’t otherwise through broadcast TV is a no-brainer. It merely involves networking with companies that buy CTV ads from ad tech companies like MediaMath or The Trade Desk. Check out the local market too.

Let’s say you want to broadcast a message to viewers highlighting a private school in a major metropolitan area. Using video ads comprised of aspiring student testimonials or scholastic achievements is likely to garner the attention of parents. Ads such as these placed on premium outlets like CNN and local news channels are viable media sources for consideration.

What are some other facts to consider?

●      Less fraud, since CTV is a closed, controlled ecosystem

●      Advanced targeting, enhanced survey, audience analysis capability, and dynamic ad insertion

●      Full-screen TV experience on large entertainment devices, along with co-viewing

●      Wider reach of cord-cutters

●      Closer digital format to TV commercials

●      Support for third-party ad serving and measurement

5. Digital Audio Ads Are Hidden Gems

You might think the audio market is irrelevant or antiquated. Surprisingly, it’s the underdog that’s poised to be the next big marketing combat zone. In fact, radio has a broader reach than TV and mobile devices, reaching an estimated 228.5 million adults.

Why not make an audible appearance on music streaming services such as Pandora, SoundCloud, Spotify, or local radio stations?

To get the biggest slice of this marketing pie, know your audience. Audio ads aren’t limited to basic demographic details, so get specific about lifestyle preferences, location, and age. Knowing the audience gets advertisers closer to ideal choices in stations, markets, and time-of-day broadcasts during the targeting phase.

Since the audio medium differs greatly from video and digital, you not only have to harness creativity, but also choose words with caution. Another important factor is monitoring real-time campaign insights — always be in the know about when and where ads run to receive proper airplay.

For a broader reach across multiple stations, a marketing agency is a go-to aid to position digital audio messages on a variety of channels.

Connected TV advertising gives viewers the ultimate branding experience by allowing people to consume digital video content on TVs from the comfort of home, work, or play. When considering adding connected TV ads to your marketing mix, use them as an extension of traditional television buys, or as a complement to digital advertising to better manage campaigns across CTV and other devices at the household level.

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