By Grant Cohen, Head of Measurable Extension at Kochava
In recent years, connected TVs (CTVs) have transformed the way advertisers reach their audience. With so many ways to now interact and captivate potential customers, non-endemic advertising on CTV stands out as a new and innovative way advertisers can expand their reach.
In the earliest days of CTV advertising, the focus was on endemic marketers – meaning the brands whose products and services were directly available on the platform. For example, promotion of live sports, premium streaming apps, downloadable movies and more. Much the same as the early days of mobile advertising focused on ringtones and wallpapers, mobile apps, and games, but has expanded to cover all categories of non-endemic advertisers.
Non-endemic advertising consists of marketing products that aren’t traditionally available in the environments they are appearing in. For example, a provider of travel insurance might advertise its services on an online luggage store. While not directly available to purchase, it allows the brand to reach a new audience that may be interested in its products.
For brands and advertisers, the rise of CTVs presents a lucrative opportunity to reach a broader audience. The large screen and shared viewing environment of a TV provides a unique canvas for creating engaging and visually appealing applications.
This encourages innovation and allows developers to explore new formats that leverage the capabilities of modern smart TVs. Combine this with non-endemic advertising and advertisers will be able to reach audiences who may not have previously taken interest in a brand but are more likely to engage with it.
Merging CTV and non-endemic advertising will allow brands to align with content that resonates with target audience’s lifestyle or interests, even if the product is unrelated to the show’s subject matter. This is important for any company that is looking to broaden their audience reach and tap into a new customer base.”
By appearing in unexpected environments, non-endemic advertisements can capture the viewers’ attention more effectively. As a result, this can lead to increased brand awareness, as the ads stand out from the usual, more predictable content that is seen more regularly for viewers.
As a fairly new way of advertising, it is important advertisers understand there are, like all forms of advertising, barriers to reaching the correct audience. Cohen continued: “With advertisements becoming more regular, viewers are becoming desensitised or annoyed by irrelevant ads, therefore it is important to strike the right balance between effective targeting and overexposure. Doing so will ensure the users interest is maintained.”
As more viewers shift to streaming platforms, the reach of CTV will continue to grow. Brands that embrace non-endemic advertising on CTV will be able to gain a competitive edge in the advertising world by reaching out to new audiences that would have previously been looked over.
