Over the past few years, more and more consumers are turning their attention away from traditional broadcast TV towards streaming services.
This shift in consumer behavior has opened up new opportunities for advertisers and given rise to OTT and CTV advertising.
OTT and CTV advertising are two of the most popular and effective digital ad formats available today.
They allow you to reach and engage your target audience on their favorite streaming platforms and devices, with precise targeting, measurement, and optimization capabilities.
But what are OTT and CTV advertising exactly, and how do they differ from each other and from traditional TV advertising? And more importantly, how can you use them to boost your business in 2023?
In this article, we will answer these questions and provide you with a comprehensive guide on how to use OTT and CTV advertising to achieve your marketing and sales objectives. Let’s get started!
What are OTT and CTV advertising and how do they work?
OTT and CTV advertising are two terms that are often used interchangeably or confused with each other. However, they have distinct meanings and implications for advertisers.
OTT stands for over-the-top, which refers to the delivery of video content over the internet, bypassing traditional cable or satellite TV providers.
OTT includes any device that can stream video content over the internet, such as smart TVs, gaming consoles, laptops, tablets, and smartphones.
OTT advertising refers to video ads that are delivered through an internet connection, either within or alongside the video content.
OTT advertising can be delivered through standalone apps like Netflix, Hulu, or Disney+, or through network apps like ABC, NBC, or CBS.
CTV stands for connected TV, which refers to any TV that is connected to the internet and can stream video content.
This includes smart TVs as well as TVs that use a device to facilitate the delivery of streaming video, such as Roku, Apple TV, Chromecast, or Amazon Fire TV.
CTV advertising refers to video ads that are delivered specifically to TVs that are connected to the internet, either within or alongside the video content.
CTV advertising is a subset of OTT advertising, as it uses the same technology and platforms, but targets a specific device and audience.
The main difference between OTT and CTV advertising is the devices they use to deliver video content.
OTT advertising includes all devices that can stream video over the internet, while CTV advertising only applies to TVs connected to the internet through a streaming device.
Another difference is the audience they reach. OTT advertising can reach a broader audience, including mobile and desktop users, while CTV advertising targets viewers who have cut the cord on traditional cable or satellite TV and prefer to watch video content on their TV screens.
What are the benefits and challenges of OTT and CTV advertising?
OTT and CTV advertising offer many benefits for advertisers who want to reach and engage their target audience on their favorite streaming platforms and devices.
Some of the main benefits are:
- They can help you increase your reach and exposure, by showing your ads to millions of viewers who are watching video content on various OTT and CTV platforms and devices.
- They can help you increase your relevance and engagement, by delivering your ads to the most relevant and qualified viewers based on their demographics, interests, behaviors, and intents.
- They can help you increase your performance and ROI, by measuring and optimizing your ad campaigns using data and analytics tools that track and evaluate your ad impressions, clicks, conversions, and sales.
However, OTT and CTV advertising also come with some challenges that advertisers need to be aware of and overcome. Some of the main challenges are:
- They can be more expensive and competitive than traditional TV advertising, as the demand for OTT and CTV inventory is high and the supply is limited.
- They can be more complex and fragmented than traditional TV advertising, as there are many different OTT and CTV platforms, devices, formats, and standards that advertisers need to navigate and integrate.
- They can be more vulnerable to ad fraud and privacy issues than traditional TV advertising, as there are more opportunities for malicious actors to spoof or manipulate OTT and CTV devices, platforms, and data.
What are the best platforms and tools for OTT and CTV advertising?
OTT and CTV advertising require different platforms and tools than traditional TV advertising, as they use different technology and methods to deliver and measure video ads.
Here are some of the best platforms and tools for OTT and CTV advertising that you can use to create, manage, and optimize your campaigns:
- OTT and CTV advertising platforms: These are platforms that allow you to buy and sell OTT and CTV inventory, either directly or programmatically, using various criteria and strategies. Some examples of OTT and CTV advertising platforms are:
- Adsterra: Adsterra is a global ad network that offers OTT and CTV advertising solutions for advertisers and publishers. Adsterra allows you to reach and engage your target audience on various OTT and CTV platforms and devices, with advanced targeting, optimization, and reporting features.
- Adctv: Adctv is a connected TV advertising platform that specializes in OTT and CTV advertising for brands and agencies. Adctv enables you to create, deliver, and measure dynamic ads across the OTT and CTV ecosystem, with creative and engaging formats, audience segmentation, and attribution capabilities.
- 1plusX: 1plusX is a data management, data clean room, and CTV platform that helps publishers and advertisers to take control of their first-party assets and drive business results. 1plusX allows you to leverage data and AI to deliver more relevant and personalized content and advertising on OTT and CTV devices, with real-time analytics and optimization features.
- OTT and CTV analytics tools: These are tools that allow you to measure and analyze the performance and impact of your OTT and CTV ad campaigns, using various metrics and insights. Some examples of OTT and CTV analytics tools are:
- Viant: Viant is a people-based advertising platform that provides OTT and CTV measurement and attribution solutions for advertisers. Viant allows you to track and evaluate your OTT and CTV ad campaigns across devices and channels, using deterministic data and identity resolution technology.
- Oracle: Oracle is a cloud-based software company that offers OTT and CTV measurement and attribution tools for advertisers. Oracle allows you to measure and analyze the impact of your OTT and CTV ad campaigns on your sales and conversions on various platforms, using data and technology.
- Lotame: Lotame is a data enrichment platform that provides OTT and CTV measurement and attribution solutions for advertisers. Lotame allows you to measure and optimize your OTT and CTV ad campaigns using first- and third-party data, with cross-device and cross-platform capabilities.
What are the best practices and tips for OTT and CTV advertising?
OTT and CTV advertising can be complex and challenging, especially for beginners. It requires a lot of technical knowledge, skills, and tools to navigate the OTT and CTV advertising ecosystem and execute successful campaigns.
That’s why it’s important to learn the best practices and tips for OTT and CTV advertising, such as:
- Do your research and understand your audience: Before you start your OTT and CTV ad campaign, you need to do your homework and understand your target audience, their preferences, behaviors, and intents. You also need to understand the OTT and CTV landscape, the platforms, devices, formats, and standards that are available and relevant for your audience and goals.
- Choose the right OTT and CTV platform and format for your goals: Depending on your objectives, budget, and audience, you need to choose the right OTT and CTV platform and format for your ad campaign. You can use direct or programmatic buying, in-stream or out-stream ads, pre-roll or mid-roll ads, interactive or static ads, and so on. You also need to consider the compatibility and quality of your ads across different platforms and devices.
- Design and write your ads to be eye-catching, clear, and consistent: Your OTT and CTV ads need to stand out and capture the attention of your viewers, while also delivering your message and value proposition clearly and concisely. You also need to make sure that your ads are consistent with your brand identity and message, and that they match the tone and style of the content they are placed in or alongside.
- Test and analyze your ad campaigns to improve your performance and ROI: You need to monitor and measure your OTT and CTV ad campaigns using the analytics tools and metrics that are relevant for your goals. You need to track and evaluate your ad impressions, clicks, conversions, and sales, as well as your reach, frequency, and engagement. You also need to test and optimize your ad campaigns based on the data and feedback that you receive. You can try different variables, such as platforms, formats, creatives, targeting, and bidding, and see what works best for your audience and goals.
Conclusion
OTT and CTV advertising are two of the most popular and effective digital ad formats available today.
They allow you to reach and engage your target audience on their favorite streaming platforms and devices, with precise targeting, measurement, and optimization capabilities.
In this article, we have provided you with a comprehensive guide on how to use OTT and CTV advertising to boost your business in 2023.
We have also covered the benefits, costs, and tips for each service, so you can make an informed decision and get the most out of your OTT and CTV advertising budget.
We hope this article has been helpful and informative for you. Thank you for reading and have a great day!