A recent Emarketer report reveleaed CTV's thriving digital advertising presence. The connected TV industry was aided by accelerated cord-cutting trends and programmatic CTV inventory availability. "Prior to the pandemic, we’d had high expectations for CTV ad spending in 2020, but they were exceeded," the researcher said.
The researcher has estimated CTV market investments to have grown year-over-year by 40.6% in the US to over $9 billion. Growth will continue this year as spending rises to $13.41 billion, which is projected to double by 2025. Some of the top trends in the CTV market include personalized content that showcases relatable experiences.
With cord-cutting and OTT video on the rise, advertisers have followed consumers' path, leading to advertising rate growth and expanded availability of programming offers as compared to linear TV. A November Interactive Advertising Bureau report indicates that approximately 60% of advertisers decided on CTV and OTT as opposed to linear TV. Though linear TV is expected to grow this year, it isn’t likely to bounce back completely from its 12.5% decline, much less pre-pandemic figures.
CTV's user base is expected to reach 213.7 million people per month, compared to pre-pandemic forecasts of 208.1 million. Pay-TV households are now estimated to reach 76.8 million as opposed to 74.0 million.
Prior to the pandemic, we’d had high expectations for CTV ad spending in 2020, but they were exceeded.” Emarketer