Advertiser Focus on CTV Marketing to Jump this Year

BY Rachel Cagle
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CTV marketing is proving so effective that the majority of advertisers are planning on increasing its budget again. Is your client among them? If not, they probably should be.

Advertiser Focus on CTV Marketing to Jump this Year

CTV Spending is Increasing Yet Again

According to a report from Mediaocean, 56% of marketing professionals are planning to increase their CTV marketing spending in 2024. Another 36% plan to maintain their current CTV ad spending and only 8% plan to decrease their ad spend. But none of this is anything new.

Mediaocean reports that the majority of advertisers have been steadily increasing CTV’s portion of their ad budgets for years. In fact, it’s the third most increased portion of the budget three years running:

  • Social Media: 69% of marketing professionals will increase their spending for this media channel in 2024
  • Digital Display and Video: 65%
  • CTV: 56%

That means CTV spending beats out search, out-​of-​home, radio and audio, national and local TV AND print ads. And rightfully so. Mediaocean says that this budget increase for CTV “mirrors consumer engagement and time spent.”

The Importance of CTV

Mediaocean also asked marketing professionals what the most important consumer trends for 2024 are. CTV marketing is second only to generative AI:

  • Generative AI: 57% of marketing professionals say they’re keeping a close eye on this important trend
  • CTV and Streaming: 53%
  • TikTok and Social Video: 49%

Why? Probably because, according to a previous SalesFuel blog based on data from Digiday, CTV marketing:

  • Increases brand awareness: 55% of marketers agree
  • Improves ad relevance: 40%
  • Offers precise audience targeting: 39%
  • Is an engaging creative format: 37%
  • Increases brand engagement: 35%
  • Achieves higher conversion rates: 35%
  • Creates more repeat customers: 29%

CTV ads help get your client’s message in front of the right people in a way that engages them and encourages them to take action. And these consumers will likely continue to take action, making purchases from your client again and again.”

Additionally, these ads work even when the TV is off. A study by GroupM, highlighted in another SalesFuel blog, found a TV isn’t the only way to watch these ads. Impressions can also be delivered via dongles, gaming consoles, sticks, and smart TV apps.

Opportunity is Knocking

Brands may realize the power of CTV marketing. This realization doesn’t mean they know how to get the most out of it. 36% of marketing professionals share one of the largest areas of concern for media and marketing initiatives. Initiatives need to be able to attain adequate reach and frequency across CTV and digital channels, says Mediaocean. That’s where you come in.

The best way to start is by familiarizing yourself with the viewing habits of their target audience. Look up the audience’s profile on AdMall by SalesFuel to discover:

  • Which subscription or streaming services they use for TV programming
  • Which types of shows are their favorite to watch on TV
  • What news channels are popular among the audience
  • Their favorite sports to watch on TV
  • The average amount of time they spend streaming TV content on a daily basis
  • What percentage of this audience took action after seeing a CTV ad within the last year

Once you have this information, you can make more informed decisions about where your client’s ads should be placed. You can also discover who they should be targeting. Follow these tips to make your client’s CTV ads more effective.

Whether your client is a seasoned CTV marketing user or just breaking into the scene, consider initiative reach and frequency. They could use your help to make their efforts worth the time and cost.

Photo by: sq lim