Advertising through OTT gives your brand access to people while they are spending time with their families. This is a great opportunity to reach more people in creative and innovative ways. Companies of all sizes can use this type of advertising to extend their audience reach.
Many companies of all sizes use OTT advertising to reach more people in interesting and innovative ways. Advertising through OTT allows your brand to access the living room, where families spend time together, often without paying attention to what's on TV at the moment.
People, especially young people, are watching less traditional TV and more content that is streamed. This includes streaming services, streaming devices, and apps that you can watch on your TV. In addition to this growing trend, over-the-top marketing platforms are becoming more sophisticated. They can target people better and track what they do after watching an ad.
What is OTT
OTT stands for "Over the Top" and refers to films, TV shows, and other digital content delivered through a streaming service (like Netflix) as opposed to regular cable or satellite TV. Any device that can stream video through an internet connection (like computers, phones, tablets, Smart TVs, gaming consoles) can deliver OTT content. This means viewers have more control over what they watch and when they watch it - instead of traditional television where the networks decide what's on, viewers using a streaming service can choose what they want to watch.
OTT vs. TV
Many people, especially young people, are moving away from traditional TV services and using streaming services like Netflix and Hulu. Many viewers like the "on-demand" aspect of these services. Also, streaming services are often cheaper than traditional cable or satellite TV, so more people are switching. When it comes to advertising, the main difference between traditional TV advertising and OTT video advertising is the number of ways you can target your audience.
Why you should invest in OTT
OTT advertising is similar to Broadcast TV commercial advertising, but it is delivered through streaming services like Hulu, Sling, Peacock, and a growing number of new streaming apps. As users gradually shift towards streaming and away from traditional television, the potential for OTT video marketing has become much greater.
OTT advertising is data-driven. This means that traditional TV advertisers can only show a single commercial at a time. Advertisers on OTT platforms can target audiences by almost any data point that the audience generates. For example, streaming platforms allow advertisers to show ads to people based on demographics, location, device usage, interests and behaviors, past purchases, and more. Advertisers are also able to re-target OTT viewers on other platforms and sites, including other digital marketing avenues.
Many people watch streaming content on their mobile devices. Quality, personalized video advertising that addresses people's needs can result in an immediate response. Unlike traditional television, the conversion process for OTT advertising can be practically instant. In addition to conversion metrics, brands are also able to measure their success according to a wide range of performance indicators.
Companies that have a strong online presence are using OTT advertising as part of their marketing strategy. They are doing this because of the great targeting potential, the increasing popularity, and the growing number of places to advertise through OTT.