​​OTT, SVOD, AVOD, CTV… so many terms for ad techies to learn, but these aren’t just terms that can help ad tech professionals. They are all terms related to media buying, and some of them are for advertising that might be a great idea to add to your marketing campaign. OTT advertising comes with many benefits if you know how it works and how to measure results. But is OTT advertising right for you?

What Is OTT Advertising?

OTT stands for “Over The Top,” and it is a way of delivering ads through streaming media that viewers can subscribe to via the internet. Streaming means that you don’t have to use other, more traditional avenues such as broadcast, satellite TV, and cable. The most popular OTT streaming services include FuboTV and Roku.

How OTT Ads Differ from Traditional Cable and Broadcast Advertising

According to Statistica, 83% of consumers reported using video-on-demand subscriptions in 2023, which is up over 10% in just five years. Nearly 70% reported that they wanted digital content via their smartphones, while 59% said that they used a smart TV. And 16% of the time that they spend streaming video content is done using their mobile and smartphones.

The main concept of OTT advertising is that it provides viewers with the ability to bypass television providers. This means they don’t have to be concerned with geographic issues and limitations or broadcast schedules. Viewers can see what they want, when they want. 

OTT advertising also allows you to use advanced targeting to reach a specific niche market via computers, smart TVs, and mobile devices due to their detailed analytics for measuring results. And OTT advertising isn’t limited to television; it can run on any mobile device that has the ability to connect to the internet.

Why Is OTT Advertising Gaining Popularity?

Marketers are starting to recognize the value of OTT ads because they deliver ads to viewers via streaming services and devices. Ads can be seen on devices such as connected TV or CTV, smart TV, laptop, or tablet. That allows:

Reaching a More Specific and Targeted Niche Market

Traditional broadcast TV caters to a very broad audience, while OTT can reach a very targeted and specific audience. When you use OTT advertising, your budget goes much further because you can single out your niche market with less money.

Increasing Consumer Engagement

When you add OTT advertising to your overall marketing, it is a great way to re-target your audience through OTT audio ads, your website, social media, and any other channels that you already employ. That allows increased engagement across various channels.

Reducing Ad Budget Waste

With OTT advertising, your budgeting dollars go further and you can reduce spending waste. Because you can target the audience you actually want, you don’t waste time and resources on people who will most likely not buy your product or service.

What Are OTT Advertising Best Practices?

The main thing to focus on when using OTT services is to ensure that the ads you use connect with your intended audience. To do that:

Keep It Short

Who sits through a long ad? Pretty much no one. If you want to minimize the potential that people will press “skip ad,” keep your advertising message and content short. Anything over 30 seconds will probably have people checking out; 15 seconds is ideal.

Watch the Formatting

Since the formatting will have to accommodate from big-screen televisions to smart phones, make sure that the content formats well across all devices.

Keep It Relevant

Keep your content both current and in tune with your intended audience. It is important to investigate so that you understand your audience. That way, you can create content that will resonate with them and you have a greater likelihood of building trust.

Conclusion

OTT is gaining popularity for a reason; viewers are tired of the disadvantages that come from subscribing to traditional cable and broadcast television. If you are looking to stretch your advertising budget, target your specific niche market with better results, and cut spending waste, OTT advertising might be a great solution. At A Digital Media Company, we are leaders in the media buying industry. Our team has perfected it in broadcast and cable, and we’re taking that expertise to the streaming realm. Contact us to better target your audience today!