Driving growth in today’s changing scenario is a challenge as CMO’s have to keep pace with evolving channels or technologies. Audiences too are multiplying at a rather astonishing pace across platforms. A growth oriented executive should pay more attention to the advent of OTT audiences that have emerged as a major segment of advertising views on video.
The Evolution of TV viewing with OTT –
Presently in our place-shifting era, consumers are observed to pick a device and consume OTT content anywhere, as long as they are connected to the web. Some reports have suggested that 78% of internet households have OTT content subscriptions and are spending more time consuming this content. Other video networks have announced their intention to expand their OTT content with local affiliates, which only validates the mainstreaming of OTT. Yet another prediction is that within the next 5 years, video viewership of of live streaming OTT video would overtake the viewership of traditional television. It is noted that a large percentage of viewers prefer watching long form live streaming content on big screens. And these numbers don’t just include millennials, but viewers in in the age group of 25-55, which amounts to a total viewership of 90 million.
Consumers are proven to be spending more time watching OTT content, although advertising here is an emerging frontier. So how can marketers make sense of all this?
Highly fragmented but great potential:
OTT does blend television advertising to the precision of digital media, but in an era where rules are getting formed slowly. This form of advertising is highly fragmented although some OTT ad inventory is sold as a part of TV packages along-with broadcast ad time. Inventory is sold by service providers and platforms of OTT ads and in some cases ads are purchased by advertising tech middlemen. Moving more money towards OTT advertising begins with helping advertisers navigate this new space with simplified processes.
A road-map for effective OTT media purchasing:
To reach rapidly growing regional audiences who watch much lesser traditional TV requires intense work with OTT content providers. Rid yourself of the fragmentation plans by picking a OTT partner who would streamline the media purchasing process across providers and platforms in a smooth transaction.
Reaching Premium viewers on scale:
Reaching these viewers is a great approach for brand safety and marketers should make easy the job of advertisers being able to buy media at scale. Buying premium ad content on OTT platforms addresses brand safety and view ability. One must ensure the ads run on trusted platforms and are shown to authenticated viewers.
As a marketer, one must take control of the brand and work alongside partners who are able to provide the confidence that shows exactly where ads would be appearing. Providers may offer low CPM rates and simultaneously add a significant amount of other short-form products in the mix or user generated content to keep costs at a low. Be wary if you want long-form content to keep your brand safe.
For consumers and marketers alike, OTT advertising is an exciting game. As consumers have more TV viewing choice, marketers who leverage OTT ad buying strategies in media plans will reach a more relevant and engaged audience, and this is just the beginning.