TV convergence gains momentum as first party data use grows exponentially
Advertisers are increasingly comfortable using first party digital targeting data on linear TV campaigns with nearly 150% growth this past year.
A recent report by Videology, a software provider for converged TV (CTV) notes that the rapid adoption of advanced data targeting grew quarter over quarter from Q1 2017 to Q2 2017 with 50% more advertisers using first part data since 2016, a number that has tripled when compared to 2015. The report looked at 1.9 billion total impressions between April 1 and June 30, 2017.
Additionally, an increasing number of advertisers used their own first-party data for targeting, with 25% of campaigns having utilized advertisers' own first-party data over the past six months. In fact, ad requests have also grown quickly in the last three years, with a 300% increase in the number of ad requests for CTV.
The number of advertisers running a campaign exclusively on CTV is 21% higher than those who did so in all of last year. Further, 93% of campaigns utilized some type of cross-screen approach, and over half of all digital video campaigns included a CTV component.
"We are seeing clear movement this year in advertisers' use of advanced TV campaigns, as well as greater interest in tying data sets across devices. Quantitatively, this is reflected within our platform," said Scott Ferber, founder and CEO of Videology. "Our vision of a converged TV and digital video world where planning and buying flows seamlessly across screens has progressed from an evolving concept, to the reality of today's TV advertising ecosystem."
The report also learned that most advertisers bought campaigns on a TV-like guaranteed basis, with the top criteria including geographic targeting (86%), followed by behavioral targeting (63%). Other targeting criteria included skippability, frequency caps and postal codes.
Further, the majority of digital video campaigns were optimized toward view-through rate (VTR) at 60%. Viewable rate was the second most used objective at 41%, while 53% of advertisers used view-ability in conjunction with another campaign objective.