TV viewership has dramatically changed. With declining linear TV audiences, and an industry shifting its focus towards Over-The-Top (OTT) and Connected TV (CTV) streaming services, advertisers are reallocating budgets to dive into this growing platform. Not only are more people using CTV, but time spent with this medium is also increasing. There have never been more options for what to watch and how to watch it.
Non-pay TV viewers will soon outnumber pay TV viewers. By 2024, 123.8m people will view pay TV, versus 143.6m who will have cut the cord, instead streaming content and watching live TV on distributors like Hulu + Live TV and YouTube TV. These shifts in viewership are opening up different ways for advertisers to target and reach TV watchers.
In this blog, we’ll cover everything advertisers need to know about YouTube TV (if you’re a viewer looking for more info on YouTube TV, go here) and how to leverage YouTube TV ads through Digital Remedy as part of your OTT mix.
We’ve all heard of YouTube, but what is YouTube TV? First launched in April 2017, YouTube TV is a subscription streaming service—known to advertisers as a vMPVD (Virtual Multi-Platform Video Distributor)—that provides an alternative to traditional cable. Available nationwide, YouTube TV lets subscribers watch live TV from 100+ broadcast, cable, and regional sports networks (in English and Spanish), in addition to video-on-demand (VOD) shows, YouTube Originals, and trending YouTube videos. Subscribers can upgrade their viewing experience with premium networks, sports, Spanish, and 4K plus add-ons for an additional monthly cost.
As of July 2022, YouTube TV has more than 5m accounts — making it the U.S.’s biggest internet-based pay TV service. In addition, it’s the fifth-biggest U.S. pay-TV service (after Comcast Xfinity, Charter Spectrum, DirecTV, and Dish).
YouTube TV service currently does not have an ad-free version, so all subscribers see ads. YouTube TV advertising is a form of OTT (over-the-top) advertising. OTT advertising is delivered directly to viewers over the internet through streaming video services or devices. With YouTube TV, advertisers can tap into one of the most premium CTV inventories to reach target audiences at scale, with robust data, optimization, and transparent reporting.
Not everyone who watches YouTube on their TV is a subscriber of “YouTube TV.” The YouTube app is already baked into or available for free download across many Smart TVs and streaming devices. The YouTube app enables viewers to watch all their favorite content on the largest screen in their house at no cost, while “YouTube TV” requires a paid subscription.
YouTube TV currently supports two types of ads:
This platform’s most significant advantage over cable TV is its Artificial Intelligence, which recommends content depending on the user’s preferences. Through advanced targeting, users can easily be targeted by:
Topic targeting lets brands reach people interested in content related to their products and services, whether travel, food, music, or something else. Topic targeting applies to non-skippable in-stream ads, and bumper ads served on YouTube TV.
With YouTube TV, ads can show up in a few different places:
This allows ads to be placed in relevant slots for target consumers as they already engage with the YouTube environment.
YouTube TV has become a valuable channel for advertisers looking to connect with the right audience at the right time and boost awareness among new consumers. YouTube TV advertising:
For more information, check out our Why YouTube TV video.
With YouTube TV, Digital Remedy offers advertisers and agencies of all sizes the ability to play within the walled garden and get the most out of their streaming campaigns. To learn how to get started, speak to a team member today.
Reaching nearly $20b in revenue worldwide this year, the direct-to-consumer (DTC) market is expected to continue growing, with no signs of slowing down. Driven by the surge in over-the-top (OTT) content consumption via streaming services in recent years, advertisers are increasingly shifting media budgets to this growing channel to deliver their brand messaging to the right consumers at the right times in an engaging ad environment—but many DTC brands have yet to make the move to OTT. DTC marketers who are not spending on CTV/OTT, run the risk of missing out on reaching valuable customers where they are consuming media. While social has long been the go-to media channel for DTC brands, roughly 70% of DTC consumers say they spend more time watching streaming TV each week than they spend on social media.
In July of 2021, Digital Remedy partnered with Dynata, the world’s largest first-party data platform for insights, activation, and measurement, to field a custom survey targeting U.S. DTC marketers—with the goal of gaining a deeper understanding of the role that connected TV (CTV) and OTT play in their media mix, current practices, expected ad spending and top priorities for 1H 2022, and “must-haves” when choosing a media partner to execute OTT campaigns (including a full explanation of the streaming world).
For full insights from the study, download the 2022 DTC + CTV/OTT Advantage Report.
Whether you’re a DTC marketer just getting started in the CTV/OTT space or looking to take your campaigns to the next level, Digital Remedy is here to help. Flip, our Award-winning proprietary performance CTV platform, connects the dots between CTV ad views and real-world results, providing a full picture of the consumer journey and ensuring marketers get the most impact out of their budget. To find out more, visit www.digitalremedy.com/flip or schedule a free custom demo.
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