CTV: How to Tackle Top Challenges
CTV: How to Tackle Top Challenges

CTV: How to Tackle Top Challenges


Sheri Cosgrove

May 17 2024

Did you know that 88% of households had at least one internet-connected TV device in December 2023? In total, statistics showed that there were more than 110 million CTV users within the millennial and Gen Z demographics at that time, too.

For marketers, being able to take advantage of CTV audiences can be the key to a successful ad campaign with conversions that boost their brands. However, knowing how to get your ads in front of the right people and being aware of the challenges CTV poses is essential to building the best marketing campaign for this advertising option. 

An Overview of CTV and Its Benefits

CTV, which stands for “connected TV,” is an abbreviation that represents any kind of device that connects to a television and supports video content streaming via the internet. Both embedded and external devices, such as gaming systems that connect to a television and the internet, fall into this category. 

There are several different types of CTV that you would recognize, including:

-Apple TV
-Amazon Fire TV

For marketers, CTV advertising involves creating ads that users see while watching streaming  videos, such as movies or television shows. This kind of digital advertising has benefits for advertisers because it allows them to reach their audiences as they view their preferred content in multiple spaces. For example, someone using a gaming console to access the internet may view ads on a website, but they could also see an ad come up during a video they’re watching on Apple TV. 

Overall, CTV video advertising allows advertisers to place their content in unique places, such as within news streams, Twitch livestreams, or premium TV shows outside of the linear (cable) TV market. 

Common Challenges Marketers Face With CTV 

It’s no secret that CTV has its own challenges. Some disadvantages of CTV include that:

1. Ads may not be clickable on all platforms.
2. Not all generations or demographics are easy to reach via CTV platforms.
3. Consumer dissatisfaction can be linked to ads that seem to “butt in” during the content they actually want to see.

    Despite these negatives, marketers can still take advantage of CTV and make the most of their marketing efforts.

    How? To start with, it’s not necessarily a requirement to build a clickable ad. For awareness campaigns, CTV can work effectively. Using a QR code that the audience members can take a picture of with a smartphone, for example, can also help override issues with non-clickthrough ads. 

    As for the generational divide? It’s getting smaller. All generations use CTV, and those who are 50 or older account for approximately 39% of streaming time as of the first quarter of 2023. Technology is becoming less of a hurdle, too, and 70% of people between 55 and 64 turn to digital video content on a device connected to the net at least once per month. So although younger audiences are more likely to use CTV, that will change as older generations learn more about this technology and younger generations age up.

    Finally, it’s possible to get around consumer dissatisfaction with disruptions during streaming videos. One key to resolving this problem is to hone in on your target audience and to build content that audience members want to see. Targeted content feels personalized, and it doesn’t cause as much of a negative reaction. This strategy can lead to more clicks, better engagement, and possibly a higher return on investment (ROI).

    Targeting Your Audience More Easily With CTV

    It’s complicated to target an audience through CTV, but several strategies will help. Consider:

    -Targeting by demographic to reach a specific age or gender
    -Funneling down to a specific geographic area where the ad is most effective
    -Keeping in mind your audience’s interests to build personalized content
    -Using cross-device targeting to give audiences multiple touchpoints        
    -Retargeting to your audience to remind viewers of the products or services they may want from your business

    To target audiences more effectively with CTV, consider two other key strategies. Leverage artificial intelligence (AI) to enhance audience targeting by using robust data sets to understand household viewers better. This knowledge allows for the creation of more targeted ads. Also, adapt your advertising approach by using shorter ads and story-driven campaigns. These formats are particularly effective at engaging busy viewers by concisely telling compelling stories. Forecasts suggest that CTV will be the fastest-expanding media channel in 2024, making this the perfect time for marketers to capitalize on its growing viewership. Leveraging CTV audiences could be the key to launching ad campaigns that significantly enhance brand visibility. However, it’s crucial for marketers to understand how to effectively place their ads and to recognize the challenges that come with CTV advertising. While navigating these obstacles may require time and possibly a rethink of your marketing strategies, the effort to reach CTV’s engaged audience is undoubtedly worthwhile.

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