Why more Canadian businesses should be taking advantage of Connected TV
In a space that has become increasingly cluttered, digital marketers are always looking for new and innovative ways to reach customers. So, what does that look like in 2021, one year into a global pandemic?
For decades, TV has reigned supreme with its unique ability to reach mass audiences and deliver messages from a trusted source. But a lot has changed in TV over the last few years. Technological advances and on-demand streaming have transformed the ways we tune in. Consumers are watching whenever and wherever they want, and businesses should be taking notice.
What do you get when the consumer demand for digital convenience meets a traditional medium?
Connected TV.
WHAT IS CONNECTED TV?
Connected TV (CTV) can be defined as a “device that can connect to a TV to deliver streaming video content at a viewer’s convenience”. This includes devices such as gaming consoles, Amazon Fire TV, Apple TV, and so on. In basic terms, it’s what allows your TV to connect to the internet to access video content.
ADOPTION
While the term ‘cord cutter’ feels like an overused buzzword at this point, the numbers can’t be ignored. People across all demographics are migrating away from traditional/linear TV and towards smart/connected devices. According to eMarketer, 63% of Canadian households already own a CTV device and it is estimated that CTV households will grow to 82% globally by 2023. 82 PERCENT! HELLO OPPORTUNITY!
TARGETING & TRACKING
Not only are massive audiences flocking to CTV, but for advertisers, there has never been an easier time to break down and target consumers. With CTV, you can run on the open exchange or layer in first and third-party data to your media buys to create highly focused targeting segments.
Want to target an audience based on demographics? No problem. Retarget based on past behaviours? Sure thing. Avoid showing your ad to viewers who have already seen it? You got it.
The choice is yours. You can continue purchasing an ad spot at 8:30 pm on Global Canada and hope your target market is watching that specific show at that specific time. Alternatively, you can deploy your ads when and where your key audience is confirmed to be tuning in. Furthermore, with the ability to analyze ad data in real-time, CTV allows for faster and better campaign optimization.
Targeted, trackable, cost-effective, and easy to optimize — if you’re a Canadian business, does CTV have your attention yet?
ENGAGED AUDIENCES
“OK, so it’s trackable, but people still hate TV ads, and they’ll do whatever they have to do to avoid them”. Right? Not necessarily.
What makes CTV ads different than normal linear TV ads is that the viewer is more engaged. They’re not laying on the couch channel surfing at 2 am half asleep. The consumer, regardless of the time or place, is actively engaged and in a better state to be marketed to. Additionally, CTV viewers are more receptive to ads because they view them as being in exchange for a better viewing experience. According to a SpotX report, “4 out of 5 CTV viewers in the U.S. and 7 out of 10 in Europe prefer to watch free-to-view programming versus paying to watch the same content without ads.” What this means is the majority of users prefer to watch free content with ads (think ads at the start of a stream) instead of paying a premium for ad-free content.
IT’S NOT ALL OR NOTHING
While Connected TV has been blowing up south of the border, the opportunities in Canada are really only starting to take off. With cost-effective options and limited competition in the space, Canadian businesses should be taking a hard look at Connected TV as a viable option in their marketing mix—a true multi-channel approach. For marketers, Connected TV should be viewed as another tool in your toolbox to complement your digital strategy, gain insight, and reach customers.
