Connected TV (CTV) is now delivering superior returns compared to linear TV, while costing far less, according to data from measurement platform Incrmntal.
The research – based on almost $2 billion in ad spend from more than 50 brands across gaming, fintech, SaaS, and ecommerce – shows that CTV generated 10 times more conversions than linear TV, despite using just 60% of the spend.
In addition to outperforming linear TV, the research reveals that CTV also often delivers better ROI than YouTube. The video-sharing app accounted for two and a half times more spend than other CTV platforms, but only delivered two times the conversions, suggesting that some advertisers are overvaluing the scale of the hugely popular platform.
“CTV is no longer just delivering reach, it’s reliably converting media investment into measurable business outcomes,” said Maor Sadra, CEO of Incrmntal. “This isn’t a test phase anymore; CTV is performing at every level of the funnel. The numbers speak for themselves: it’s no longer an emerging channel; it’s the performance engine of modern advertising.”
CTV is at its most mature in the US, which accounts for 76% of global CTV ad spend, achieving a 1:1 ration of spend to conversions in the process.
Fintech brands saw CTV drive 12% of their total conversions, while gaming brands were found to still be heavily skewed toward linear TV.
The research also found that, interestingly, CTV sees its highest conversion rates in December, compared to other channels where conversions peak in December and January.
Furthermore, advertisers that committed larger budgets to CTV were found to have achieved disproportionately higher returns, showing that performance scales with investment.
“With CPA variance ranging from 0.5x to 5.5x depending on execution, advertisers who treat CTV as a marginal test channel are leaving serious performance on the table,” added Sadra. “CTV has proven it can scale with impact and it’s where marketers should be placing confident bets in 2025.”
