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Connected TV Advertising: What Local Ad Sellers Need To Know

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In the ever-changing world of advertising, staying ahead of the curve is essential for local advertising sellers who want to effectively reach their target audiences. One channel that has gained significant traction in recent years is Connected TV (CTV) advertising. At Spotlight Media in Fargo, we understand the transformative power of CTV advertising for local sellers. Let’s explore why CTV advertising has become a must-have for local advertisers and how it’s revolutionizing ad strategies.

The Rise of Connected TV Advertising

Connected TV integrates internet-enabled features into traditional TV sets, allowing viewers to stream content directly on their TVs. This shift in consumer behavior has ushered in a new era of advertising, with CTV emerging as a powerful and targeted channel for reaching local audiences. The numbers speak for themselves: 78% of U.S. households can now be reached via programmatic advertising. If you’re still on the fence about adding CTV to your media mix, here are some compelling reasons to dive in.

Cable TV Isn’t The Only Option Anymore

As more consumers opt for on-demand and streaming services over traditional cable TV, advertisers have had to rethink their strategies. Connected TV bridges the gap between traditional TV and digital streaming, allowing advertisers to tap into the growing audience of cord-cutters and on-demand content consumers.

CTV Offers Precise Targeting Capabilities

One of the biggest perks of CTV advertising is its ability to deliver highly targeted messages. Unlike traditional TV ads that cast a wide net, CTV lets local advertisers tailor their campaigns based on demographics, interests, and location. This precision ensures that ads resonate with the intended audience, boosting engagement and conversion rates.

CTV Ads Are Interactive and Engaging

CTV advertising goes beyond traditional TV commercials by offering interactive and engaging content. Viewers can interact with ads through clickable overlays or interactive features, providing a more immersive experience. For local advertisers, this means creating compelling, interactive campaigns that capture the attention of their target audience.

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Why Local Ad Sellers Should Embrace CTV

It’s easy to think that CTV viewers prefer paid subscription-based platforms like Netflix and Amazon Prime, but that’s not the whole story. A recent study shows that 80% of American viewers regularly watch free ad-supported streaming TV (FAST), and 63% prefer this model. Plus, 45% of users have canceled at least one ad-free streaming TV service due to high costs. Clearly, CTV ads can be a smart investment. Here’s why:

Localized Targeting

One standout feature of CTV advertising is its ability to deliver localized messages. With the right platform, local ad sellers can tailor their campaigns to specific geographic regions, even down to the zip code level. This ensures that the message resonates with the local community, making it especially effective for area businesses.

Cost-Effective Solutions

CTV advertising is a cost-effective alternative to traditional TV advertising. Local sellers can optimize their budgets by targeting specific audiences without the high costs associated with broad TV campaigns. Our data shows that adding CTV to an omnichannel mix can triple conversion rates and cut the cost per conversion by up to 50%.

Enhanced Engagement and Interactivity

CTV advertising lets local sellers create more than just traditional commercials. With interactive features and engaging content, advertisers can deliver memorable experiences for viewers. Platforms like Frequence empower local sellers to design and deploy interactive campaigns, increasing engagement and strengthening the connection between brands and their audience.

Measurable Impact

One of the biggest advantages of CTV advertising is the ability to track performance accurately. Unlike traditional TV ads, where it’s a guessing game to know how many people saw the ad, CTV provides robust reporting metrics. These include:

Impressions: Total number of ads served

Geographic Performance: Impressions per zip code

Network/Platform Performance

Household Site Visits/Website Attribution: Using tracking pixels, it’s possible to see how many people viewed an ad and then visited the advertiser’s website

This level of measurability allows advertisers to assess and adjust their strategies in real-time, ensuring continuous improvement and a higher return on investment.

Spotlight Media and CTV Advertising

Connected TV advertising is quickly becoming a cornerstone of local advertising strategies, offering unparalleled opportunities for local sellers to engage with their target audience. At Spotlight Media in Fargo, we provide local advertisers with the tools and expertise needed to harness the full potential of CTV advertising.

Using comprehensive platforms, local advertising sellers can optimize their campaigns, reach specific audiences, and achieve measurable results. The rise of CTV advertising represents a transformative force in the advertising landscape. At Spotlight Media, we’re here to help local sellers navigate this evolution with confidence and success.

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