Linear and OTT TV Advertising is Gaining Share from Google and Facebook
As businesses of all sizes begin to realize the value of top-of-funnel advertising, they are turning away from digital giants such as Google and Facebook, and instead turning their attention to linear and OTT TV. This shift in focus is due to the fact that top-of-funnel advertising leads to lower costs per customer acquisition, and higher lifetime value (LTV) customers. In this post we will explore why this shift is happening, and how it can benefit your business.
What Is Top-of-Funnel Advertising?
Top-of-funnel advertising refers to ads that appear at the beginning of a potential customer’s journey. This type of advertising typically takes place on platforms such as linear or OTT TV, which have large audiences with high levels of engagement. The goal of top-of-funnel advertising is to get people interested in your product or service before they even begin searching for it online. These early adoptors become brand advocates with their new discovery.
Benefits Of Linear And OTT TV Advertising
Linear and OTT TV advertising offer several benefits over digital platforms such as Google and Facebook. First, they are less expensive than digital ads—the average cost per thousand impressions (CPM) for linear or OTT TV ads is much lower than those on digital channels. Additionally, these two types of television advertising reach a much larger audience—according to Nielsen data, 92% of US households watch linear or OTT television every day. Finally, these ads also generate more brand recognition than other forms of advertising—nearly 80% of people who view an ad on linear or OTT television remember the brand afterward.
How To Leverage Linear And OTT TV Advertising
The key to leveraging linear and OTT television for your business lies in understanding your target audience’s viewing habits. Once you know what shows your potential customers watch most often, you can create an ad campaign that speaks directly to them. Additionally, you should consider running A/B tests on different versions of your ad so that you can determine which one performs best with viewers. Finally, be sure to track the performance of your TV ads by using a Multi Touch Attribution vendor to understand the effectiveness of this channel beyond last click attribution that typically favors Google and not what led them to Google.
Take advantage of a Buyer’s Market
Advertisers and agencies can reap the rewards of the lucrative potential of a buyer's market by prioritizing flexibility in their media buys. Through scatter deals, one can purchase only those networks or dayparts that offer value for them at any given time instead of being locked into long-term 'upfront' contracts. This has left traditional ad platforms with little choice but to accept whatever rate advertisers will pay for access - giving brands unprecedented negotiating power over what content they choose to feature alongside their promotions!
Linear and OTT TV advertising are becoming increasingly popular among businesses looking for cheaper ways to acquire new customers with higher lifetime values (LTV). These two forms of television advertising offer several benefits over digital platforms such as Google and Facebook—they are less expensive than digital ads, reach a wider audience, and generate more brand recognition than other forms of advertising. By understanding your target audience’s viewing habits and tracking key metrics like viewership numbers and return on investment (ROI), you can leverage linear and OTT TV advertisements to maximize their impact for your business.
