Did you know that 99% of US households now subscribe to at least one streaming service? And platforms like Netflix, Amazon Prime Video, and Apple TV+ are leading the charge.
(Source: Forbes)
Connected TV (CTV) removes the limitations that came with traditional television, offering instant access to shows, movies, and ads on streaming platforms.
This shift from scheduled programming to on-demand viewing has also been good news for digital advertising. And this in turn has created huge opportunities for businesses and brands looking for a high-engagement advertising channel.
With higher engagement, personalized targeting, and precise audience data, CTV is one of the channels that most advertisers use to maximize ad returns (measured as Return on Ad Spend, or ROAS) in today’s market.
For example, we worked with a pizza chain that wanted to target NFL fans with NFL-specific video ads on CTV. By leveraging live sports inventory, precise audience segmentation, and an omnichannel approach, we helped them reach 540K users and drive 10K total orders, including 3K on game days, leading to an incredible Cost Per Order of around $15. It’s a clear example of how the right CTV strategy can deliver measurable success.
CTV: The Must-Have Channel for Today’s Marketers
This surge in CTV adoption underscores the growing importance for marketers looking to reach a vast and engaged audience across demographics.
Connected TV offers a unique opportunity to enhance brand visibility, drive meaningful interactions, and deliver highly targeted ads, all of which contribute to maximizing ROAS.
In fact, recent statistics show just how critical CTV has become for marketers today:
•According to 65% of marketers, using CTV in addition to other paid channels enhances revenue for the company. (Source: Statista)
•Connected TV has emerged as the fastest-growing major ad channel in the US, with ad spending surging by 22.4% to reach $30.10 billion in 2024. (Source: EMarketer)
•The CTV ecosystem is rich with options, from device manufacturers like Roku and Amazon Fire TV to platforms offering access through DSPs or direct publisher deals.
With so many options available, it’s easy for things to get fragmented. That’s why advertisers need to stay sharp with their media planning to navigate this complex landscape effectively.
Why CTV Ads Matter for ROAS
As Connected TV continues to grow as a dominant advertising channel, it offers marketers the tools they need to not only reach large and diverse audiences but also maximize their return on ad spend.
CTV does a lot, but it does some things especially well:
•Tailored Ad Relevance: Precise audience targeting (goodbye zipcodes) at the household level and the ability to serve ads in various languages removes the guesswork from your customer journeys, and helps increase campaign performance.
•Incredible Reach: With the ability to target multiple publishers to serve ads to audiences that matter, you can reach vast swathes of audiences that matter.
•Analytics for Optimization: Real-time campaign changes, access to user behavior across platforms and more allows advertisers to optimize their campaigns for maximum impact.
But there are some common challenges with CTV ads as well; here’s how to overcome them
One of the biggest issues is ad fatigue. Viewers get frustrated when they see the same ad repeatedly, making it less effective over time. On top of that, data can get fragmented across different platforms, making it tough to get a clear picture of how a campaign is performing.
And if you are managing campaigns across multiple platforms, things can get chaotic and time-consuming. To make matters worse, there’s the risk of ad fraud, like fake clicks and views, that skews your results and wastes money.
So, what’s the best way to handle all of this? The solution is to use a unified DSP. With a single platform, you can easily control ad frequency, consolidate your data, and streamline your campaigns. Also, make sure you are working directly with trusted CTV publishers—avoiding the middleman. This all-in-one approach helps you run your CTV ads more efficiently and effectively.
CTV Advertising: The Key to Maximizing ROAS
CTV advertising comes with its challenges, like managing fragmented data or avoiding ad overload, but the opportunities far outweigh the hurdles. From highly engaged audiences to precise targeting and even using the channel to drive ROAS, it’s a game-changer for brands looking to make an impact.
With the right strategy, advertisers can tap into the full potential of CTV to bring the audience, the moment, and the message together perfectly—and see real, measurable results.
