A new study investigating the performance of the connected TV market has confirmed impressive adoption rates with the number of households benefitting from the technology set to increase by 82% by 2023.
On top of this, the proportion of households severing their connections to traditional cable mediums is forecast to increase by 44% over the same period, further accentuating the sectors cachet to advertisers.
Compiled by The Association of National Advertisers and Innovid the State of Connected TV Report 2020 analysed 60m interactive CTV impressions spanning 17 marketers to establish how the convergence of TV and interactive experiences is transforming measurement, creative and engagement.
This established three key takeaways for brands considering the utilization of streamed content delivered via an over-the-top device such as a TV, games console or plug-stick. These are the increased reach offered for extending linear TV campaigns; enhanced interactivity affording higher levels of engagement and the potential for advertisers to earn more of each viewers time.
The report read: “As consumer adoption of connected devices and the amount of time they choose to spend on them increases, marketers should begin looking at CTV in terms of how it can complement or even enhance linear and addressable TV strategies. The incremental reach CTV provides allows advertisers to accomplish this by increasing ad exposure to cord-cutters and cord-nevers during influential days and dayparts where TV viewers are more apt to absorb and engage with ads.
“Interactive CTV ad units put the viewer in the driver’s seat, which can substantially improve the customer experience. If brands are able to balance the right mix of education, action, creative, and clear calls to action, users will reward them with attention and engagement. Brands can earn incremental time to increase the likelihood of favourable business outcomes.”
A 2017 report from eMarketer found that streaming video services had already surpassed cable TV subscriptions among Millenials.