As the demand for video streaming surges, so, too, does the opportunity for advertising.
Think Hulu, Amazon Prime Video, Sling TV, Roku, YouTube TV, Netflix, Apple TV, and HBO Now. These “over-the-top” (OTT) platforms are becoming prime real estate for TV advertising. According to the Video Advertising Bureau, the number of households using only OTT streaming has tripled since 2013. And while the market share may still be in favor of cable and satellite providers, the trend toward OTT advertising platforms is expected to continue.
It’s a perfect example of traditional advertising merging with digital media—but OTT advertising offers much more than a new and growing audience. We’re seeing clients invest in this channel for:
Visibility on Multiple Devices
Brands are now able to consistently and reliably reach consumers who are streaming video content on multiple devices, compared to only getting in front of someone if they’re at home watching TV when your ad happens to air. Mobile and video streaming go hand in hand, as over half of all video content is viewed on mobile devices.
Through direct buys from network apps, advertisers can choose which networks they would like to have their commercials appear on (CNBC, USA, ESPN, etc.). OTT advertising isn’t a matter of forfeiting TV stations for new platforms; it’s a means of finding new inroads where those stations are being viewed in the digital age.
Enhanced Tracking & Targeting
As homeowners cancel their TV subscriptions and move toward the internet to view their favorite shows, advertisers gain the ability to further track and measure the results of their ad campaigns. The ads also have a longer lifespan when paired with remarketing. If a user is served your ad, you can essentially follow them through their streaming experience to remain top of mind.
Better yet, you can also create your own location zone, rather than having to choose a cable preset zone. Not only does this allow you to reach your exact audience geographically, it also helps you avoid unnecessary spending by omitting those who are outside of your area.
Live Streamed Sports
The sports world is moving to live streaming as well. In Google’s Sports Viewing Survey, 30 percent of sports fans said they had live-streamed sporting events to their mobile devices. An example of the opportunity in sports streaming for advertisers is the 2019 March Madness NCAA Basketball Tournament. Because many games took place during business hours, millions of viewers streamed the action while at work using their computers, smartphones and tablets. OTT advertising isn’t just the new way to reach a workday audience; it’s the only way.
Cable and satellite providers sell ad space based on available time slots. For instance, there may be 12 available commercials during your favorite TV show. Each advertising spot is served to everyone within that particular zone during that time period. If there are 10,000 people watching the show, your ad is displayed to 10,000 people.
Through streaming video, ads are sold by the impression (typically by the thousand) rather than to everyone within a particular zone. Advertisers only pay for the amount of times their ad is shown. And while a TV provider with 12 spots will have to turn advertisers away when those spots are filled, digital media dramatically increases the availability of ad space.
Unprecedented Flexibility on OTT Advertising Platforms
Perhaps best of all, OTT advertisers receive live data, and have the ability to modify, increase or pause their ads in real time.
So, are you ready to put OTT advertising to work for your business? Netwave can help with your OTT strategy, creative messaging, implementation and ongoing ad management. Contact us to get started.