Personalize for engagement.Learn more
Resources > The Fundamentals of CTV Advertising
Connected TV advertising has grown exponentially and is expected to top $27 billion by 20251. With CTV advertising top of mind for marketers, it’s crucial to master the basics — starting with the lingo. While it’s common to hear OTT and CTV used interchangeably, they actually refer to completely different things. Keep these distinctions in mind when devising your omni-channel advertising strategy:
1eMarketer, U.S. Connected TV Ad Spending
With various devices, streaming services, buying methods, and ad tech platforms to consider, the current CTV advertising landscape can be quite intimidating. Let’s break it down layer by layer, starting with the basics.
In general, CTV ads can be sold directly, which involves manual negotiations between people, or programmatically, which involves using software that automates the buying and selling process.
Advertisers may choose to use either (or both) for a number of reasons, but here are the main benefits of each:
There can be many ad tech partners involved in the programmatic buying and selling of CTV ads, including demand-side, supply-side, data management, and measurement partners. With so many in play, it’s important to consider the following when vetting ad tech partners:
The term ‘walled gardens’ has recently entered the CTV advertising conversation, but what does it mean? A walled garden is a closed ecosystem in which all operations are controlled by the ecosystem operator (think Google and Facebook).
Similar to what took place in the digital landscape, publishers are trying to differentiate their offerings not only through content but also through audience and measurement solutions. As the walls around their inventory and data continue to rise, advertisers are forced to buy, execute, and measure campaigns across multiple publishers.
The emergence of walled gardens has made the CTV landscape more fragmented than it already was and has made it nearly impossible for marketers to get a holistic view of their CTV efforts. It’s more important than ever that marketers work with independent, media-agnostic partners who can serve as a source of truth and enable marketers to accurately measure the success of their CTV advertising campaigns.
CTV embodies the best of linear TV and the best of digital; it brings the sight, sound, and motion that engages audiences but also the targetability, interactivity, and measurability that allow advertisers to capture the ROI of their campaigns.
Personalization is now possible on the biggest screen in the home. With CTV, advertisers have access to enhanced first- and third-party audience targeting that allows them to reach a much more relevant audience than they could reach on linear TV.
From interactive video elements like photo and video galleries to dynamic overlays that make personalization at scale achievable, advanced creative in CTV ads enables advertisers to push past standard impression metrics to capture engagement, time earned, and other metrics that matter.
Though still evolving, CTV measurement capabilities already far exceed those of linear TV. Advertisers no longer have to rely on just gross rating points (GRPs); the data and technology now exist for advertisers to execute sophisticated planning and in-flight reach, frequency, and media-efficiency optimizations.
Despite CTV advertising’s exponential growth, there’s still so much untapped potential. As marketers become increasingly confident and allocate more media dollars to the channel, they’ll be able to maximize reach, leverage advanced creative features to their fullest, and unlock the true potential of the biggest screen in the home.
Personalize for engagement.Learn more
Deliver ads on your terms.Learn more
Measure every channel.Learn more
Want to Learn How We Can Make Your Advertising Easier?