The Inevitable Dominance of Connected TVs
As we enter a new decade, marketers are faced with a dramatically different TV landscape. For the first time in history, advertisers could reach more than 84 million households via connected, streaming TV services, and this trend is not going to reverse: Connected TVs (CTV) are at the heart of this shift.
In this new age of television, prime time is anytime. Advertisers are recognizing these trends and reallocating their ad budgets toward digital streaming services at remarkable rates, and 43% percent of brands identified CTV as the number one channel for brand storytelling in 2021.
Furthermore, Gen Z TV viewers' consumption patterns show just over half (51 percent) spend three or more hours a day watching streaming content. These tech-savvy digital natives account for 40 percent of consumer buying power in the U.S., according to a report by Business Insider Intelligence.
To put it more simply, an 18-year-old does not watch television. Linear television would be a complete waste of time for them and the majority of their friends. Although Gen Z viewers may be at the forefront of this revolution in TV viewing, the same trends are present across age groups and are accelerating year over year.
Even more good news for Connected TVs
Data-driven solutions also bolster measurement capabilities, as CTV measurement is exponentially more effective than similar tools offered through linear TV.
Pioneering marketers are embracing this shift and are starting to leverage the power of applying data to their massive TV ad campaigns for the first time: They can measure their video campaigns at a granular level, targeting specific audiences effectively; they can manage the consumer experience more precisely, across channels and devices; they can adapt and customize campaigns on the fly, and they can experiment with innovative new ad formats.
For these marketers, building brand loyalty with today’s digital-first consumer is a radically different, data-driven process compared to traditional advertising. Because of this, 95 % of marketers reported CTV achieved desired key performance indicators!
