The global pandemic may have temporarily shut down Hollywood and live experiences, but it hasn’t dampened consumer appetite for entertainment. Streaming video in particular has surged in popularity as audiences stayed home, with consumption up 60 percent across connected TV and other digital streaming services.
This new wave is taking place at a time when consumers were already rethinking their media habits. Users are leveraging devices and connected TV, or CTV, to pair with or even enhance what they’ve traditionally watched in a linear environment, challenging marketers and content creators to find the right media mix to meet the changing needs of their audiences.
Still, the accelerated pace of change does not mean brands and marketers need to cut the cord on traditional TV spend altogether. Television audiences are more fragmented than ever and will tune into different video channels and formats depending on the situation. For example, they might stream a show on mobile while bored on public transit, then turn on cable news at home. To reach these viewers wherever they are, advertisers are investing in CTV as a complement to their linear TV ad spend. In fact, more than half of buyers are shifting ad dollars from broadcasting (53 percent) and cable (52 percent) to CTV, according to the IAB U.S. 2020 Digital Video Advertising Spend Report.
The reason for the growing interest in CTV? It brings the seamless planning, precise audience targeting and advanced measurement capabilities of programmatic to TV campaigns, allowing marketers to activate campaigns quickly and provide nimble optimization capabilities. That’s especially important as we approach an upfront season like no other.