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What is Streaming TV Advertising?

Photo by Glenn Carstens-Peters on Unsplash

Streaming TV may have started as a way to avoid the frequent ads on cable TV but now most streaming services have an ad-supported tier of streaming for their viewers. Streaming TV advertising has emerged as a powerful marketing tool in the digital era, enabling businesses to reach a highly targeted audience through popular streaming platforms.

In this blog post, we will explore the fundamentals of streaming TV advertising, including the compelling reasons why businesses should consider incorporating streaming TV ads into their marketing strategies.

What is Streaming TV Advertising?

Streaming TV advertising refers to the practice of delivering advertisements through streaming platforms to promote products, services, or brands to viewers. When people think of streaming, Netflix often comes to mind. Initially, the popular streaming platform did not feature advertising, but it has recently introduced a new payment plan that includes advertisements.

Most streaming services have a similar strategy offering a lower-cost payment plan that includes advertisements. According to Mountain.com, a report revealed that 71% of viewers expressed their willingness to opt for a lower-cost subscription plan supported by ads instead of paying a premium fee for an ad-free experience.

NEXT: How To Advertise on Streaming Services

CTV and OTT

Connected TV (CTV) and Over-the-Top (OTT) are often used interchangeably, but they are two different things. CTV refers to the devices that are connected to the internet, allowing users to stream content like a Smart TV or a Chromecast. OTT, on the other hand, encompasses all of the streaming content that gets delivered over the internet, regardless of the device used. In other words, it is the content that is being streamed.

AVOD vs SVOD

Streaming TV advertising can be categorized into two primary models: Advertising-based Video on Demand (AVOD) and Subscription Video on Demand (SVOD). AVOD platforms, such as Amazon FreeVee and Tubi, offer free or discounted content supported by ads, while SVOD platforms, like Apple TV Plus and Prime Video, require a subscription and are ad-free.

Why You Should Consider Streaming TV Ads

Streaming TV advertising has emerged as a valuable avenue for marketers to connect with their target audience in the digital age. With the rapid growth of streaming platforms and the increasing number of viewers who have transitioned away from traditional television, streaming TV advertising offers a unique opportunity to reach consumers in a highly engaged and targeted manner. Incorporating streaming TV ads into your marketing strategy can yield several compelling benefits.

  1. Precise Targeting: Streaming TV advertising enables you to target your ads based on demographics, interests, and viewing behavior, ensuring your message reaches the right audience.
  2. Increased Reach: With the wide reach of streaming platforms, advertising on streaming TV allows you to extend your viewership beyond traditional television and connect with a broader, digitally-oriented audience.
  3. Measurable Results: Streaming TV advertising can give advertisers robust analytics and reporting tools, allowing you to measure the effectiveness of your campaigns in real-time and make data-driven optimizations.
  4. Cost-Effective: Compared to traditional television advertising, streaming TV ads can often be less expensive, enabling businesses with varying budgets to engage in targeted advertising.

The Emergence of Streaming TV Advertising

As streaming TV continues to gain popularity, businesses have a valuable chance to capitalize on this emerging advertising platform. With precise targeting capabilities, increased reach, measurable results, and cost-effective options, streaming TV ads offer an effective way for brands to connect with engaged audiences. To maximize results, focus on understanding your target viewers and work with streaming ad partners to craft compelling, relevant messaging.

NEXT: How To Advertise on Streaming Services

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