Already, more than half (55%) of consumers use at least one free ad-supported streaming TV service (FAST), according to Hub Entertainment Research, and connected TV (CTV) ad spending has more than doubled in the past two years and is expected to top $20 billion in 2022, per the IAB.

The 2022 CTV/OTT survey conducted by Advertiser Perceptions found that advertisers are already shifting budgets toward CTV advertising. More than half using CTV/OTT will increase spending by an average of 22%. Moreover, 56% of advertisers have said the ability to precision target audiences is the top reason for increasing CTV/OTT spending this year.

For marketers, the advent of new CTV targeting capabilities is bringing new opportunities and more flexibility for optimizing ad spending to meet changing consumer habits as local market dynamics evolve.

How brands are winning with new CTV targeting approaches

Advertisers across multiple categories are embracing streaming ads for both brand-building and performance marketing.

Digital and mobile marketers have turned to CTV for effective targeting in the wake of IDFA privacy changes, and both traditional TV and digital buyers are leveraging behavioral targeting capabilities and measuring CTV effectiveness with outcomes-based performance. Furthermore, they’re using brand lift studies to analyze ad recall, favorability and brand awareness.

Beyond the ability to target by location, interests and behaviors, CTV advertisers have access to tailored targeting strategies to meet defined brand goals — whether it’s driving brand awareness with demographic or contextual targeting, reaching in-market shoppers with intender targeting or taking a more sophisticated persona-based targeting approach that aligns with their brand.

Marketers are driving brand awareness with demographic and contextual targeting

For top-of-the-funnel brand awareness campaigns, many advertisers are reaching a significant potential buying audience at scale with demographic or contextual targeting. Traditional (linear) TV buyers are well accustomed to this broader targeting approach as it’s best suited for reaching the largest audience possible with pricing efficiencies.

Reaching precise in-market audiences with CTV targeting capabilities

The advancements in CTV targeting allow advertisers to reach precise, in-market audiences. Advertisers can combine mass reach with in-market intender targeting to reach viewers throughout the funnel or find relevant audiences by specific behaviors and interests, such as in-market auto intenders or travel enthusiasts. With this approach, advertisers are using precise data options to find their intended buying audience.

Additionally, advertisers can work with providers to leverage an advertisers’ first-party data for targeting, such as a political agency’s voter list affiliated with a specific candidate, political party or issue, which was especially valuable for political advertisers during the midterms.

Applying sophisticated audience-first targeting to streaming campaigns

For advertisers interested in reaching audiences …read more

Source:: Digiday

Author: Aaron