CTV AD INDUSTRY ADVANCES AMID STREAMING GROWTH

A recent Nielsen report reveals that the TV advertising industry has profited from the rise of SVOD platforms, indicating that approximately 142 million adults across the United States consume connected TV ads, totaling to 30 billion streaming minutes this year among all consumers.

The 13.5 billion increase from 2018 suggested that the industry may reach approximately $27.5 billion by 2025. This year’s projections have reached $13.4 billion. In Europe, more than half of advertisers have grown their digital video presence over the last year. With an increasing number of streamers in the region, eMarketer forecasts that over-the-top (OTT) subscribers in Western Europe will increase from 133 million in 2019 to 159 million by 2023.

In the first quarter of 2021, video streaming in the U.S. accounted for 25% of total TV use per day. The larger streamers, Netflix, Hulu, Amazon Prime, and Disney accounted for 12% of the figure. “While the streaming wars began in the ad-free paid subscription realm, newcomers, as well as many traditional media companies, have staked new claims in the ad-supported space as a means to go where the viewers are while using lower (or no) cost as a competitive advantage," Nielsen wrote.

At this year’s upfronts, most streamers presented their digital platforms will available ad slots to advertisers. The shift is projected to continue as ad-supported and linear streaming platforms grew to account for 34% of streaming among streaming-capable homes in the U.S. as of January 2021, a six-point increase. “Setting the opportunities aside, the CTV space can be complicated for the unfamiliar. As we discuss in our new CTV guide for marketers, it’s not uncommon to see “OTT” and “CTV” used interchangeably. Knowing how to evaluate the opportunities in the space hinges on understanding the nuances amid a vast and complicated ad-buying landscape.”