Strike Overview
- The benefits of CTV advertising are evident with U.S. ad spending on Connected TV projected to reach nearly $30 billion in 2024, indicating its significant market impact and expanding reach potential.
- Integrating CTV with existing social media strategies can lead to more cost savings and budget efficiency, with data showing a 4.72% reduction in CPM for campaigns that include platforms like Google TV and YouTube TV.
- Connected TV advertising provides greater flexibility than linear TV, allowing mobile and desktop advertisers to extend their reach beyond users’ personal devices. By incorporating CTV with your social media strategy, you can ensure consistent messaging across channels, improving the overall effectiveness of your marketing efforts without the excess additional costs.
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f you’re still deciding whether to incorporate CTV into your media plan, this article outlines the key benefits and considerations to help you make an informed choice for your next quarter or next year’s media strategy.
How Major Social Media Platforms Have Adapted to CTV Advertising
Advertising on CTV provides extensive capabilities to raise brand awareness and build recognition, prompting these social media platforms to swiftly expand their ad formats to cater to CTV audiences swiftly. But first, let’s take a step back and gather more information on Connected TV and how it has become a new method for advertisers to attract more attention to their ads.
What is CTV Advertising and How Does It Work?
Connected TV (CTV) advertising involves promoting your brand using video ads that are distributed when users stream content on smart TVs or internet-connected TV devices (hence the term “connected TV”). It functions similarly to ads delivered on desktop devices, but since Connected TVs are dedicated to TV distribution, the ads are tailored accordingly.
CTV ads vary across different platforms. For instance, how Connected TV ads appear on Roku may differ from those on Chromecast-connected TVs. Consequently, some CTV advertising formats are specifically tailored for TV distribution and streaming platforms.
For social media advertisers, the question is whether CTV advertising is suitable, especially if an existing social media advertising strategy is already in place. To assess if CTV advertising is right for you, see how major social media advertising platforms have incorporated CTV ads without disrupting their existing offerings:
YouTube
YouTube was primarily a video platform, initially for uploading video content, and now it is also a major platform for video advertising. With the growing popularity of CTV ads, YouTube has expanded to offer advertisers a new channel beyond the standard YouTube app and onto larger screens. By February 2024, YouTube TV had amassed 8 million paid subscribers, making it one of the largest CTV subscription providers in the U.S.
Utilizing the advanced technology behind Video View Campaigns and Video Reach Campaigns, targeted YouTube TV ads seamlessly integrate with related content, ensuring an uninterrupted viewing experience. In addition, this technology aligns the ads with relevant audiences and content, guaranteeing high-quality views and eligibility.
As YouTube’s parent company, Google quickly expanded into CTV advertising, offering new opportunities through Google TV. As of June 2024, over 125 channels have been added to the Google TV network, offering advertisers new opportunities for reach and awareness in video campaigns. Available through auction buys via Google Ads and DV360, brands can now access up to 20 million monthly active users of Google TV and other Android TV OS devices.
Currently, advertising formats on Google TV are limited compared to YouTube TV, with options available only for “Efficient reach” or “Non-skippable” campaign objectives. This includes 15-second non-skippable in-stream ads or 6-second bumper ads. Despite its limited formats, early campaigns incorporating Google TV ads alongside YouTube and video ad campaigns have demonstrated strong results, with a 4.72% increase in impressions in Q3 2024, following a promising start in Q2 2024.
Further Reading
YouTube TV vs. Google TV Ads: Differences and Similarities
Google TV offers a wide range of channels through its platform, including live sports, full-length shows, and movies. YouTube TV provides live programming from over 100 channels and an extensive selection of on-demand content. Which placement strategy aligns better with your goals?
LinkedIn is another newcomer to adding Connected TV advertising to its ad placement list, launching this April 2024. This move positions LinkedIn as a significant player in social media advertising for B2B marketers, demonstrating that CTV ads can effectively reach consumers, businesses, and brands.
Like Google TV, LinkedIn’s CTV ads have distinct ad specs and are currently available only for brand awareness campaigns. These ads will be distributed through LinkedIn’s partner networks, including NBCUniversal, Paramount, Roku, and Samsung.
A key advantage of CTV advertising on LinkedIn is its focus on B2B marketing. If your brand operates in the B2B sector, this is an opportunity to expand your market and be among the first to utilize CTV ad buys on this platform. Starting the customer journey with CTV ads on LinkedIn can help brands generate more qualified leads and views as potential customers progress.
What Are the Benefits of CTV Advertising When Integrated with Social Media Campaigns?
Connected TV ads may be relatively new to advertisers, leading to doubts and challenges when updating a long-standing social media strategy. To help you make a more informed decision, we’ve outlined the benefits of CTV advertising and how it can enhance your existing social media advertising strategy for better results:
1. Expansive Audience Reach
93% of U.S. households have Connected TVs, including smart TVs, Chromecast, streaming services, and more. With such widespread adoption, the question is not whether your brand is ready to advertise on CTV but when. With the height of the 2024 political ad spending season approaching, leveraging CTV allows brands to explore additional channels, optimize budget allocation, and identify the most effective avenues for reaching target audiences.
Here’s a snapshot of the reach offered by major social media platforms adapting CTV advertising:
2. High Engagement Rates
CTV ads are generally non-skippable, shown on larger screens, and viewed in a lean-back environment, leading to higher engagement rates than traditional digital ads. This increased viewer attention can enhance brand recall and improve conversion rates.
Yet, even in skippable campaigns, Connected TV ads show impressive engagement and viewer retention. For example, a major US insurance company that recently added Google TV ads to its strategy saw impressive results in Q1 and Q2 of 2024.
As shown in the data, viewer retention from 25% video view to ad completion is notably higher on Connected TV placements despite the skippable format, while other devices saw a higher drop-off in viewers by the end of the ad.
Depending on the length of your video ad, you can evaluate how effective CTV ad placement is for acquiring completed views from audiences:
3. Cost-Efficiency in Larger Screens
While social media provides detailed targeting and flexibility, competition for ad space can increase costs, especially during high-demand retail seasons like back-to-school, particularly for sought-after demographics or platforms. Ad costs can vary rapidly due to bidding wars and auction dynamics. Targeting specific audiences or locations can also drive up costs more than anticipated as you refine your desired viewers.
One of the benefits of CTV advertising is that it allows you to stretch your budget further when combined with existing social media strategies. Pacing your campaigns effectively and using precise audience targeting strategies results in lower ad costs.
Not only can this achieve lower cost benchmarks, but it can also help reduce overall expenses, as demonstrated by a campaign for a prominent fast-food restaurant chain that incorporated Google TV and YouTube Connected TV ads into their previously YouTube-only strategy.
Further Reading
What are the Cost Benchmarks for CTV advertising?
We’ve gathered insights from our campaigns that integrated YouTube TV and Google TV ads, offering key benchmarks for CTV advertising costs to help guide your media planning and optimize future campaigns.
4. Integration with Multichannel Strategies
With the advancements in CTV advertising, adding this medium to your social media strategy has become simpler for brands. This integration allows for broader reach without requiring a new platform’s separate budget or media plan.
CTV ads play a crucial role in the customer funnel, specifically during the brand awareness stage, particularly because CTV viewers are more receptive to ads on larger screens. 36% of viewers report that interactive ads enhance their big-screen viewing experience.
As new CTV ad formats continue to emerge and develop, the viewing experience on Connected TV is evolving, offering a distinct experience compared to personal devices.
Here are additional benefits of CTV advertising that can help you reach more potential customers and further optimize your overall marketing strategy:
- Consistent Messaging and Branding
- Since your ads will run on the same platform and use the same creative direction, such as in your awareness campaigns, there will be no deviation from your ad’s messaging and how your audiences perceive it.
- For example, as a makeup and cosmetics brand, your CTV ad audiences will see your new collection launch in a 6-second ad. As these viewers move to your traffic campaign on their mobile devices, they can view a longer version of your ad showcasing the products in the new collection. This creates a smooth flow across all your campaigns within the same social media ad platform.
- Since your ads will run on the same platform and use the same creative direction, such as in your awareness campaigns, there will be no deviation from your ad’s messaging and how your audiences perceive it.
- Ability to Use Existing Audience Data
- With an existing audience list or setup on YouTube or Google Ads, you do not need to create a new setup for your Connected TV audience. You can use the same audience data or leverage successful audience data for your CTV ad campaigns.
- The same applies to retargeting customers for your lower funnel campaigns. The data from your CTV ads will serve as benchmarks to improve results throughout the customer journey.
- With an existing audience list or setup on YouTube or Google Ads, you do not need to create a new setup for your Connected TV audience. You can use the same audience data or leverage successful audience data for your CTV ad campaigns.
How Strike Social Simplifies CTV Ad Integration
If you’re facing challenges in scaling your advertising strategies while expanding into Connected TV advertising, having a team to help merge your efforts can be the solution. Strike Social provides a comprehensive solution for brands that integrate CTV marketing with existing social media strategies. Here’s how Strike Social makes this process easier:
Unified Dashboard
Strike Social’s unified dashboard is designed to simplify the management of multiple ad platforms and formats. Our media buyers can oversee CTV ad campaigns alongside social media and other digital efforts with a single interface. This centralization eliminates the need for multiple logins and platforms, making launching, monitoring, and optimizing your campaigns easier.
For instance, the dashboard displays different YouTube campaigns for the brand’s customer funnel journey. It eliminates the need to switch between windows, saving time and providing a clear view of which campaigns perform well and which require further optimization.
Our dashboard also aggregates performance metrics for Connected TV and social media campaigns in one place, facilitating better analysis and optimization of overall marketing efforts. This holistic approach helps identify the most effective channels and where adjustments may be needed. For example, our media buyers can see the budget allocation and share of views by device during the current campaign flight.
Campaign Optimization
With over a decade of experience running successful social media campaigns globally, Strike Social combines advanced technology with expert media buying. Our team monitors campaigns 24/7, making real-time adjustments to ensure continuous optimization and optimal results.
Our Pacing Dashboard lets us view how the campaign runs compared to the expected results. In this campaign, we can see that while we may be slightly overpacing, we are still on track to deliver the required CPV and the budget will be consistently distributed towards the end of the campaign.
CTV Advertising Wins
Strike Social has a proven track record of facilitating successful CTV ad integrations with ongoing social media advertising campaigns, as demonstrated by our work with clients.
We recently released our benchmark report on YouTube TrueView Instream Skippable Campaigns for Q2 2024, highlighting trends in campaigns integrated with Connected TV ads and showing how these integrations have led to improved results and more efficient costs:
Download our Q2 2024 YouTube Benchmark Report
With Strike Social’s proprietary AI tool, we examined YouTube campaigns from April to June 2024, providing you with up-to-date insights on the latest trends in YouTube advertising. Explore the evolving patterns and key metrics from Q2 2024.
Making CTV Ads a Part of Your Social Media Strategy Is Easier Than You Think
While it’s not without its complexities, integrating CTV ads should enhance rather than complicate your existing strategy. As highlighted throughout this blog, CTV advertisers who have adopted this strategy have experienced increased reach, higher engagement rates, and cost efficiency.
Adding Connected TV to your ad placements offers greater brand visibility in an engaging environment, improving brand recall and reaching a broader audience without significantly increasing your budget. The key is to augment CTV advertising with your current social media strategy, amplifying your results while preserving the effectiveness of your current approach.
Connect with our team to discover how Strike Social can seamlessly integrate CTV ads into your current campaigns and drive even greater results for your brand.
