Digital Marketing
Connected TV - A Beneficial Investment
•lritchie

08/16/21
More and more people are subscribing to online streaming services over traditional TV. In 2021 alone, there were an estimated 214 million streaming service customers. These services continue to become the favored way of watching both TV and Movies for all demographics, making Connected TV a beneficial investment
Some of the streaming services are subscription-based, but many are free to consumers or have a reduced subscription with advertising. These free and reduced subscription services like Hulu, Crackle, and Sling include advertising that looks just like traditional TV commercials. Consequently, marketing companies are now budgeting for Connected TV (CTV) ads along with, or in place of, traditional TV ads to take advantage of the many benefits of Connected TV advertising.Yes, the largest benefit of CTV advertising over Traditional TV is the DVR, or more accurately, the lack of one.
Before ‘cutting the cord’ became a rising trend, recording and watching shows later was a standard practice. Many people would record shows and watch them later for the primary purpose of being able to fast forward through the commercials.
Additionally, since commercials were usually shown in blocks, if a viewer was watching live TV, the commercial breaks were used for just that, a break. That is when viewers could get up, grab a bite, or attend to other matters until the show came back on.
With CTV ads, it is common that only 1-2 ads are shown at a time, making the habit of getting up to do something else much less convenient. Plus, even if a “Skip Ad†option is present, the viewer is required to see at least part of the ad before being allowed to skip the rest, which means your initial message will be viewed.
In fact, the average Completed View Rate (CVR) for Connected TV ads is 95%.Â
That means over 90% of people watched the entire ad.Another benefit is that CTV advertising allows you to select households with:
- Specific Demographics
- Demonstrated Interests
- Purchasing Behaviors
- Hulu
- Crackle
- Sling
- Vudu
- Xbox One
- Chromecast
- And many more…
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