For some time, streaming services have won the war against linear TV. Many experts believe traditional TV forms such as cable (linear TV) are nearing the end of their lives.
And the more views there are, the more revenue will be generated by advertising. Therefore, CTV (connected TV) advertising is booming, and brands recognize its importance.
Using a CTV advertising platform is virtually mandatory today, and advertisers who aren’t using at least one of these platforms are selling themselves short.
It is unfair to compare linear TV advertising with CTV advertising. A linear TV ad has no interaction, is static, and cannot be customized to appeal specifically to specific personas. CTV ads accomplish all of that and more.
Let’s take a closer look at how and why linear TV advertising is being replaced by connected TV advertising at an unprecedented rate.
What is Linear TV?
Television programming has traditionally used linear TV as its broadcast style. This system allows viewers to watch scheduled TV programs on traditional television networks. Viewers can access the content through a cable or satellite subscription or over-the-air broadcast.
The content is consumed linearly, hence the name “linear TV.” It is only possible for viewers to watch programming at its scheduled time and on a specific channel. Using a DVR, you can record programming for later viewing.
The Benefits of Linear TV Advertising
Advertisers can leverage linear TV’s unique benefits to reach their campaign objectives, despite being a traditional format.
Live event advertising
Streaming linear TV usually includes live events like sports, live shows, and news updates. For example, linear TV offers a massive marketing opportunity during the Super Bowl.
Recruit an older audience
In the US, only baby boomers watch linear TV in significant numbers. However, compared to Gen Xers, millennials, and Gen Z adults, older adults spend more time watching cable content than watching any other platform.
Channel and airtime segmentation
By carefully choosing channels and air times, linear TV allows you to reach specific audiences or marketing segments. For example, you can target particular demographics through specific media to market your product.
What is CTV?
CTV refers to smart TVs or devices that can be connected to a TV and facilitate OTT services. Some examples of CTV are gaming consoles like Xbox and PlayStation, Chromecast, Roku, and Amazon Fire Stick.
In addition, streaming capabilities are available on most modern TVs, and many are directly connected to streaming services.
Therefore CTV is the new TV, and consumers have a wide selection of streaming and subscription services. The following are among them:
- Apple TV+
- Hulu
- Netflix
- Amazon Prime Video
- Disney+
- HBO Max
- Peacock
- Paramount+
The Benefits of CTV Advertising
In addition to reaching a broad audience, connected TV advertising has several other advantages.
Audiences that are highly engaged
There is a high level of activity among CTV consumers. As a result, they consume a lot of content, including advertisements, and they are highly engaged with it.
Advertising is at the heart of CTV
Subscriptions to lower-cost options usually include ads that cannot be skipped, as do the premium bundles.
Targeted precisely
Personas can be created and marketed ideally using first-party data. Such targeted marketing is not possible on any other platform.
Cost-Saving
Traditional television advertising is much more expensive, but CTV advertising is more effective.
Flexible options
Compared to traditional TV advertising, CTV ads can take on a variety of formats, lengths, and styles.
A singular brand message
Integrated omnichannel marketing encompasses all digital channels in which a brand message is delivered. With CTV, you can reach a large and personalized audience and effectively convey your brand’s message.
Types of CTV Ads
CTV ads fall into three broad categories, though each type can be tailored to your specific needs.
In-stream video ads
In-stream video ads appear before, during, and after streams and cannot be skipped. Therefore, the best way to reach your audience is with CTV in-stream video advertising. Thus, the ad will not irritate your audience and will be exciting and engaging.
Interactive ads
Some CTV ads are designed with interaction in mind, particularly toward the end. Visitors can click on these ads and be directed to a specific website or landing page.
Home Screen ads
Before a show begins, these ads are usually discreet and straightforward. There is an option for viewers to ‘learn more, and a landing page or website will be directed to them.
With CTV becoming more popular than linear TV, CTV advertising campaigns are becoming increasingly crucial to any brand’s marketing plan.
While linear TV advertising might still have certain benefits in terms of live events and older demographics, this is changing rapidly. If your brand isn’t using this versatile and highly effective tool, you’re missing out!
