The benefits of utilizing the emerging trend of Connected TV (CTV) advertising, in conjunction with linear TV advertising initiatives or as part of your digital video strategy, are on the rise. In fact, according to a recent study done by eMarketer digital video ad spend is due to nearly double over the next four years.

Ad Spend TV and Digital

And while it is unknown if CTV watchers will ever surpass linear tv subscribers, the gap between the two groups is forecasted to tightly close over the span of the next two years.

Connected TV Viewership on the Rise


Connected TV has the opportunity to be the convergence point between TV and digital video, with the potential to deliver the best of both worlds. But as with all emerging trends in digital, there are challenges to face and obstacles to overcome.

Current challenges in CTV advertising include:

  1. Fragmentation – diversity amongst platforms and their business models make it tricky to understand all of the intricacies around buying ad space in this market. Sellers come in the form of streaming services, smart TVs, content aggregators, linear TV networks and more.
  2. Scale – Linear TV markets have established target audiences in the tens of millions but these same audiences are still being carved out in the CTV advertising market place.
  3. Standardization – think of the multitude of devices you, as a consumer, have and actively use to steam video. Factor in profiles on your various Netflix and other streaming accounts. Due to the lack of currency around tracking device IDs, ads can be difficult to track. There is currently no measurement tactic, like being cookied on a website when using a desktop.
  4. Frequency – how many times do you notice, unhappily I might add, seeing the same ad over and over again while binging a show on Hulu? In this case, advertising with Connected TV can actually be a disservice to your company rather than a benefit. You can mitigate ad exhaustion by using multiple creative sets to break up the monotony.
  5. Programmatic – growth within the Connected TV advertising arena has been stunted due to the way it is sold. However, the lack of real time buying can work in your favor, specifically around precious ad space sold on network sports apps like NHL, ESPN and NBC Sports.
  6. Ad-Free platforms – popular apps like Netflix, Amazon Prime Video, and HBO Now are all ad free at this current stage in the game. While there is chatter around some of this changing, in their current iterations, that is a loss of 254 million view this year alone based on an eMarketer estimation.

As digital marketers, we strive to create one-to-one, personalized experiences when it comes to all marketing related activities. Advertising in the space of Connected TV has some maturing to do before that becomes easily attainable. However, early adoption with a trusted media partner can help overcome these obstacles, to take advantage of infancy stage short comings (like that ad space during the big game) and work to integrate CTV ads into an existing or developing marketing plan.