July 21, 2022
It was only 10 years ago there was one way to buy television advertising. You reach out to your broadcast and cable stations in the market and buy :15, :30 or :60 commercials. You are buying programming that's easy to understand -- major network programming from ABC, CBS or NBC, cable programming and local news.
As we approach 2023, it's not so much how you buy as what you buy.
One of the biggest obstacles business owners are facing when it comes to traditional advertising is fragmentation. There are so many options to choose from, but the bottom line is that you want to grow your customer base and reach the right individuals. What we should be focusing on is the audience we are trying to reach and finding the most effective mediums and platforms to do so while ensuring there is appropriate reach and frequency of messaging.
The Difference Between OTT and Linear (Traditional TV)
The biggest difference is the way content is delivered. For OTT, content is delivered over an IP (internet) network. For TV, content is delivered from a cable and broadcast system through cables/wires in your home. Smart TVs are both televisions and connected TV devices.
There are a lot of newer terms here, so let’s start with some definitions!
CTV – Connected TV
This is the device used to watch OTT content with internet services. Some examples include: Smart TV, Apple TV, Roku, PS4, Xbox, Tivo, Nintendo, Vizio, Philips, Samsung, Sharp, Microsoft, LG, Sanyo, Toshiba, Sony
OTT – Over-the Top (streaming)
- Streaming Video Content
- Example OTT Channels: Netflix, Hulu, ESPN, Amazon Prime, HBO Now, Showtime, MLB.TV, Sling, DIRECTV
The Cord Universe
- Cord Shaver – a person who cuts back pay TV subscription and channels
- Cord Cutter – a person who canceled their pay TV subscription
- Cord Never – a person who never had a pay TV subscription
- Cord Loyalist – a person with a pay TV subscription
- Cord Stacker – a person with a pay TV subscription and one or more streaming subscription. Fastest growing bucket!
Different Messages for Different Platforms
With new platforms and ways to consume content, it’s important that the message work with the medium. Traditional TV is still tied to appointment viewing – take for example Jeopardy or your local news – and you will have a captive, sitting audience. With on-demand programming and streaming content, users are likely watching and using their second screens to view additional content. An effective message needs to catch the viewer’s attention and direct them to the primary screen. One way some advertisers are doing this is by incorporating interactivity, like scanning a QR code for additional information or an offer.
All Hands on Deck
Working with an agency that has a holistic approach to media buying and creative messaging can serve you well when it comes to make the right decisions. An agency is a one-stop-shop for creative, social media, website, traditional media, streaming, OTT and more. By having this under one roof, we can get direct feedback from the social media team on what messaging is resonating with our online audience and take that into consideration when we refresh our OTT/streaming ads or radio creative.
How do I know if people are seeing my message when streaming content? With OTT you can measure the results of your campaigns with both digital and traditional metrics, including the completion rate for videos. OTT provides the same value that TV delivers with TV-like impressions (15 or 30-second spots) but with significantly higher, trackable engagement. CTV provides you the best of both worlds: the benefits of traditional television combined with the targeting of digital.
It can be confusing with every cable, broadcast and radio representative trying to sell you an OTT solution but not all OTT and CTV is the same. If you're ready to review your options, give us a call and we will simply it for you and find what works best to grow your business