By James Hill, Chief Commercial Officer, EXTE
The streaming age is here to stay. More and more consumers are switching to on-demand content and, as a result, Connected TV (CTV) is becoming central to the future of digital advertising.
In 2024, CTV ad revenue is projected to reach £30.3 billion ($38.3 billion), representing a 20.1% year-on-year increase. What’s more, in the UK, 79% of the population accesses CTV, with 69% tuning in daily. So, it’s clear that brands are increasingly acknowledging the opportunity presented by the medium. However, an important question remains – how can these brands make their content stand out in a competitive space amidst all the noise across video streaming platforms such as Netflix, Disney+, and Amazon Prime Video?
CTV excels as an advertising medium because of its vast scope and holistic approach, combining advanced targeting, consistent message delivery, and exclusive ad spaces to ensure brand effectiveness and safety. Technological advancements are enabling new, visually appealing formats, real-time regional customisation, and dynamic creatives that deliver personalised messages based on specific events or occurrences. However, it is crucial that advertisers are innovative with their strategy if they want to harness these possibilities and make a lasting impact on viewers.
One of the key advantages of CTV is that ads achieve +92% noticeability because they don’t compete for attention with other content. This unobstructed visibility significantly enhances their effectiveness. As CTV ad capabilities expand, brands must incorporate creative, data-driven strategies to elevate their content and stay ahead of the curve. By leveraging interactive content, immersive experiences, and cross-platform integration brands will have an edge in competition for consumer’s attention. For example, ads shown on larger TV screens have 2.2 times higher unaided recall and 1.3 times higher purchase intent, which underscores the importance of leveraging CTV’s strengths to maximise impact.
Targeting audiences with contextual relevance
An advertiser’s first consideration should always be their target audience. Serving ads to uninterested viewers wastes ad spend and diminishes campaign success. But, advanced contextual targeting ensures brands deliver the right message to the right user at the right time, which is crucial in the competitive CTV advertising landscape. CTV combines the broad reach and brand halo effect of traditional TV with the precise targeting and user insights of digital, enabling advanced segmentation and more effective advertising. This approach enables them to serve relevant, aesthetic, and engaging ads that connect on a personal level.
Relevance can be enhanced further by leveraging artificial intelligence (AI) to tie in real-time factors that might influence campaigns – such as weather, live sports events, and geolocation – to expertly optimise campaigns in flight.
Creating immersive, engaging experiences
Relevance alone won’t be enough to engage consumers. Content must also align with the purpose of its medium which, in the case of streaming platforms like Netflix and Amazon Prime Video, is to entertain all viewers. It is not simply a case of finding the right person to pitch a product to, it is about how you pitch it.
Advertisers should explore innovative ad formats such as immersive 3D and always consider supporting video with animated display to increase brand awareness and attention, along with QR codes. These fun, engaging formats are capable of boosting engagement and interaction levels considerably above standard formats, because they stand out amongst the noise by encouraging consumers to interact.
By leveraging inspirational stories that resonate on a human level, brands can create a deeper connection with audiences through these ads, ensuring the creative isn’t just relevant but also immersive. CTV provides the perfect opportunity for brands to reach audiences and do so in an environment they’re already engaged in. However, advertisers need to be willing to go beyond the typical, producing ads that are creative, relevant, and form a lasting impression on the user.
To fully capitalise on this emerging form of advertising, brands must be creative, relevant, and leave a lasting impression. Success in CTV advertising requires a unique vision and a willingness to take risks – boring, basic content simply won’t cut it. The future of CTV advertising is bright, and with creativity, brands can reap its rewards.
*EXTE is a client of Bluestripe Communications, owned by Bluestripe Group, publisher of NDA
