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Are You Down For OTT?

Understanding OTT and its place in advertising:

Nearly everyone is streaming TV through OTT (or over-the-top) these days. As such, it is worth knowing what this is and how it can be of use when it comes to advertising. Some examples of these internet-based channels are Hulu, Netflix, Xbox, PlayStation, and Amazon. All of these and more are examples of OTT channels. It has been estimated that this year, OTT advertising spend is expected to hit $9 billion in the US. So now is the perfect time to utilize this platform for your business and understand its usefulness.


Over the top advertising

What is OTT marketing?

In short, OTT marketing is the delivery of ads through online video streaming. As mentioned earlier, this includes connected TV advertising (or CTV advertising), which allows for running video ad interruptions, banner ads, sponsored content, and more. This has revolutionized traditional TV advertising in that over-the-top marketing allows companies to bypass traditional TV providers and dynamically insert a business’ commercial on tv. Prior to this, you’d have to go to a cable network or broadcast station to get an ad on the air.

One of the fastest-growing sectors of the COVID-19 pandemic has been e-commerce. As streaming services becoming standard, OTT marketing has started overtaking cable TV commercials. Nearly 83% of consumers have access to at least one paid streaming service. Brands can now choose how and when to air their marketing campaigns to hit certain demographics. Take, for example, auto dealers. Instead of spending on generic ads, they can target their precise audiences with smart TV commercials just like online.
OTT marketing can minimize ad spend waste.

As we know, running TV and social media ads round the clock isn’t the best use of a brands’ time or budget. It’s yet another reason marketers increasingly prefer targeted ads over traditional video advertising. The way digital OTT commercials work is by unleashing precise targeting that eliminates wasted runs. For example, if you’re interested in a BMW, Jaguar, or Land Rover, you’ll likely see relevant ads by brands in this category while watching smart TV. The same is true for lawnmowers and grills. Not only does this OTT marketing tactic help increase awareness of the brand, but is more likely to turn the viewer into a paying customer. The most common ad durations for OTT are 6, 15, 30, and 60-second videos. They typically are designed to build interest and move you toward the purchase. The best part is, these ads are non-skippable and 100% viewable on screen. As a result, completion rates tend to exceed 90%.

OTT marketing doesn’t end with TV.

Another benefit of OTT advertising is its built-in tools that allow brands to retarget viewers through web and mobile traffic. In marketing, this is known as closing the cross-channel loop, which allows a campaign to follow the consumer around the web. In short, marketers can effectively retarget a viewer who’s seen a certain smart TV spot with promoted ads on other websites later on. It’s the gift that keeps on giving and ensures you not just get seen but stay in front of your customers.

When you buy advertising on OTT platforms, you can serve your ad in a number of different formats that include display, video, and\or audio. The ability to track metrics as well as the audience recognition capability ads to OTT being a wonderful marketing tool. You get the benefit of precise targeting and increased ad relevance. This becomes very apparent when compared to traditional television.
It’s clear that OTT ads need to be part of your marketing strategy. Make the ads relevant to your audience and the intent clear. Get to know your audience so you can be sure to create engaging and personalized experiences for them that will both build trust and turn viewers into customers.

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About Author

Matthew Little

Matthew Little has been photographing professionally since 2005. Initially his focus was on the automobile. His interest in cars and work with the Pittsburgh Vintage Grand Prix led to being published in a number of automotive magazines. Matt now serves on the Operating Committee for the Pittsburgh Vintage Grand Prix and continues to write for several automotive magazines.

He has done a number of commercial shoots and has begun work in video. In his free time, Matt enjoys spending time with his wife and their three kids as well as pursuing his love of vintage cars.