What is connected TV (CTV)?
The definition of connected TV (CTV)
Connected TV (CTV) refers to any television that is connected to the internet and allows users to consume television content. This can include smart TVs, set-top boxes, TV sticks, and gaming consoles. The viewing experience often takes place in a living room or household setting, and the device is connected to a single household.
What is OTT and how is it different from CTV?
Over The Top (OTT) refers to streaming services that deliver content via the internet, which is delivered over the top of another platform. Examples of OTT services include Netflix or Hulu for video and Spotify for audio. OTT content can be consumed on any device with an internet connection and a screen, including connected TVs.
In short, while CTV refers to the device itself, OTT refers to the content and the way it is delivered over the Internet.
What types of CTV advertising are there?
Based on the search results provided, it appears that there are actually three types of CTV advertising: pre-roll ads, mid-roll ads, and out-of-band ads.
Pre-roll ads are advertisements that run before video content, such as before a TV show or movie. Mid-roll ads are advertisements that run in the middle of the content and look more like ads shown during a commercial break on linear TV.
Out-of-band ads can be categorized into two main types: client-side and server-side. In client-side settings, the streaming media viewport loads ads before episodes or movies are shown. Server-side ad insertion does not allow you to block ads because they are seamlessly integrated into the frame of the media.
If you are looking to rewrite app marketing content based on the types of CTV advertising, it would be important to distinguish between these different types of ads and tailor your messaging accordingly.
For example, if your app supports pre-roll and mid-roll ads, you could highlight this feature in your marketing content and emphasize the benefits of reaching a large audience through CTV advertising. On the other hand, if your app supports out-of-band ads, you could emphasize the seamless integration of ads into the media and the ability to reach viewers who might otherwise use ad-blockers.
It's worth noting that there are other types of advertising channels available beyond CTV advertising.
For example, businesses can use film as a channel to advertise their products in two ways. They might display their brand in the film or they might show advertisements before a film starts at a theater.
Additionally, print media allows companies to circulate marketing content through physical publications. However, if you are specifically interested in CTV advertising, understanding the different types of ads available can help you create more effective marketing content for your app.
What are the main CTV ad formats?
In addition to standard video ads, there are six other formats available:
Dynamic overlay: This format involves leveraging existing video content and personalizing it for the viewer by adding an "overlay" to the video.
Choice-based: This format empowers users to choose which ad they want to see.
Shoppable and actionable video: This format is interactive and designed to connect users to products and brands within the ad. These ads can include educational content, external links, and even the potential for click-to-buy capabilities from within the ad itself.
Voice-integrated video ads: These ads enable users to use their voice to follow on-screen prompts by speaking into the remote.
Sequential CTV creative: This format tells a story over a sequence of multiple ads, rather than during a single ad slot.
Creative extensions and end cards: These are short-form content pieces served either before or after existing CTV creatives.
To serve these ads to users, marketers can utilize demand-side platforms (DSPs) to bid on ads and optimize ad performance based on key performance indicators (KPIs) such as effective Cost Per Clicks (eCPC) and effective Cost Per Miles (eCPM).
What are the benefits of CTV advertising?
Connected TV (CTV) advertising offers several benefits to businesses looking to reach their target audience. One of the primary benefits is the high number of American consumers who consume OTT content on TV, making it an ideal platform for advertising.
According to our report, 63% of users access OTT services most often on TV, with mobile users in second place with only 11.6%.
In addition, mobile users watch OTT content longer than average, which makes them strategically important to OTT services and should be noted when considering campaigns. It is also essential to understand the journey between CTV and the app, as it is a key touchpoint for users.
CTV advertising enables businesses to deliver targeted ads to viewers who watch streaming content using internet-connected devices.
Addressable TV provides advertisers with 1:1 targeting in a traditional TV environment, enabling them to segment and deliver ads to selected, internet-connected linear TV and OTT/CTV audiences. By delivering personalized ads to viewers on CTV, businesses can increase their chances of conversion and improve their return on investment.
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