The evolution of media consumption has given rise to Connected TV (CTV), transforming how brands engage with their audience. Integrating CTV into marketing strategies has become essential to maximize reach and campaign effectiveness.
In the context of growing internet penetration in LATAM, notably in countries like Chile, Costa Rica, Uruguay with rates of 86%, Argentina with 80%, and Brazil with 75%, Connected TV is positioning itself as the new channel for advertisers to connect with their audience. And that's not all.
CTV presents encouraging numbers as an effective communication channel for advertisers:
9 out of 10 CTV viewers remember being exposed to ads.
CTV ads have much higher engagement rates than ads on other channels. CTV has a Viewability Completion Rate (VCR), i.e., the percentage of people who watched a video ad to completion, of 94%, compared to 74% on PCs and 69% on mobile devices.
92% of Mexicans consume streaming TV every week, followed by Brazil at 91% and Argentina at 81%, according to Human Connections Media research via Magnite.
- In Brazil, 70% of respondents, according to Nielsen and MetaX Software research, use their mobile phones while watching Smart TV, and 49% take some action after being impacted by ads (searching the internet, researching on social media, or reading the news).
Global spending on CTV is forecast to grow by 40%, and by 2025, CTV advertising's share of total marketing spending is expected to increase to 6.9% as advertisers reallocate funds from other channels.
How to Integrate CTV into Marketing Strategies:
Define Clear Objectives
Before incorporating CTV into their strategy, brands must have clear objectives in mind. Do they want to increase brand awareness, generate leads, or boost direct sales? Defining these objectives will allow brands to align their approach and measure the success of their efforts.
Identify the Audience
The key to success in CTV lies in precise segmentation. Brands must define their target audience based on demographic characteristics, interests, and behaviors. This will enable them to deliver relevant ads to the right people.
Collaborate with Platforms and Providers
It's crucial to choose the right platforms and providers for ad distribution on CTV. This can include popular online streaming apps, specialized CTV advertising networks, social media platforms offering CTV advertising, and Connected TV adtech that provides technological tools to manage when, how, and where brands are viewed to stay relevant. The choice will depend on the target audience and campaign objectives.
Utilize Advanced Segmentation
One of the major advantages of CTV is advanced targeting. Brands can use behavioral, location, and preference data to deliver ads to specific audiences. By combining digital platform data with CTV, brands can personalize ads and increase relevance for the viewer.
Measure and Continuously Optimize
Real-time metrics are essential for measuring campaign success. Brands should track metrics such as impressions, complete views, and conversions. Using this data to continuously optimize the campaign, adjusting the strategy as needed for the best results.
Advertising on CTV presents a more sophisticated and precise solution than other channels, like traditional TV. Thanks to Track TV technology, user actions across various platforms can be measured after viewing an ad.
Harness the Visual Experience
CTV offers high-quality ads on larger screens, increasing the likelihood of capturing the viewer's attention and effectively conveying messages. Video ads on CTV can be immersive and emotional, contributing to a better connection with the audience. The variety of formats allows CTV to adapt to the intended audience.
Align with Other Marketing Strategies
CTV should not be an isolated entity in the marketing strategy. It should align with other online advertising initiatives, social media, content marketing, and more. Consistency in messaging and design will strengthen the brand's presence across multiple channels.
Experiment and Learn
Given the fast-changing technology and trends, brands should be willing to experiment with new ideas and learn from the results. This could include experimenting with different types of ads, exposure frequencies, and distribution platforms.
Synergize with Other Digital Channels
CTV viewers often hold devices while interacting with what they are watching; browsing and using messaging apps are common, making navigation more important.
CTV integration does not exist in a vacuum, and its success often depends on how it complements other digital channels. Synchronizing the message across channels like social media, search, and email reinforces the viewer's exposure to the brand's message, increasing the likelihood of conversion.
The predominance of Connected TV represents a natural evolution in television viewing, and advertisers increasingly recognize its value. Connected TV marketing offers a unique combination of digital goals and measurement capabilities with the immersive and engaging power of television.