The popularity of on-demand programming has caused OTT viewership to skyrocket in recent years. OTT platforms are a great place for marketers to run engaging and relevant ads that truly resonate with audiences. If you've yet to take advantage of OTT advertising, here's what you've been missing.
Reaching Your Target Audience Easily
OTT streaming has increased by 115% in just a year's time. Another study highlighted by eMarketer found that the average adult devotes over 62 minutes each day to OTT video content. It might be as high as 70 minutes by next year!
By the study's estimates, this means that viewers will be watching over two hours of digital video content across all platforms. With so many consumers flocking to OTT, there's a good chance that your audience currently subscribes to one. Forbes found that 70% of households have at least one OTT service, but the average household uses three or more!
In addition to a wide reach, OTT platforms naturally have more engaged audiences. It's true that many people still watch television, but this platform tends to attract more idle viewers. You have to be more strategic with TV commercials, running them at times when your audience is most likely to watch.
In contrast, the majority of OTT viewers specifically subscribe to get access to certain programs. As a result, they're more receptive to a brief ad that plays before or during the show. As long as you know which shows and OTT platforms your target enjoys, you're guaranteed to attract new leads.
Finding an Engaged Audience Across Multiple Channels
OTT publishers gained more followers on social media, with a 24% rise in engagement. The ad impression rate on OTT platforms also jumped by 13% in four months, and more 15-second ads were implemented for increased success. As OTT viewership continues to rise, conversion rates from advertisements on these platforms will do the same.
While the potential is there, you still have to plan your OTT ads as carefully as you would any other ad. Ask yourself some questions: are you showcasing the products or services that your audience wants to see? Is the content of the ad memorable and engaging? Did you include a clear CTA?
OTT ads are sometimes more successful because they have interactive elements, which streamline the customer journey. For example, you can have links within the ads that lead to a specific product or contact page. If the viewer is watching on a mobile device, they can click those links and start engaging with your brand immediately!
Once you've placed an ad on OTT service, it's time to enhance the customer experience even further. You'll probably experience a surplus of followers on social media, so start making positive interactions! When a customer feels welcomed by a brand on social outlets, they'll develop a stronger loyalty towards it.
You can also repurpose your OTT ads as television spots. Don't let fears of cord-cutting customers scare you away: TV commercials still reach over 95% of consumers! You'll save more of your advertising budget and increase brand recognition at the same time.
Getting More for Your Ad Spend
Recent OTT statistics prove that ad revenue across all of its platforms will reach $119 billion by 2023. Considering the steady growth of OTT, experts say that OTT ad revenue will be doubled by 2026. Even more amazing, OTT isn't just successful from a national standpoint! Local OTT advertising is currently expected to hit a value of $1.2 billion this year.
Although OTT advertising has excellent potential for big ROIs, you still have to use your advertising budget wisely. If you're looking to save time hunting for ad spots, consider buying them with programmatic media software. Its data-driven AI approach ensures that you're still reaching your target, with less effort on your part.
Instead of only trying to reach new leads, consider dedicating some of your ad dollars to retargeting. These ads will appear to viewers who have previously interacted with your brand before on social media or your website. Oftentimes, retargeting is just the push viewers need to take action.
For example, say a customer has been passively shopping for furniture online. Now they're finally ready to make a purchase decision, so they put on Hulu or YouTube while they shop. If your furniture ad is the first thing they see, there's an excellent chance they'll visit your website first.
Enjoying the Advantages of OTT With a Media Partner
OTT ads generate the highest ROI with careful targeting, engaged audiences, and frugal ad spend. Since OTT is still a relatively new platform, it can be hard for inexperienced marketers to implement it into their current tactics. A media partner can help you get started, providing insight into the latest OTT trends and how to make the most effective ads for your unique audience.