Why are advertisers turning towards streaming?
The evolution of TV and a rising pool of business opportunities.
Today’s world is crisscrossed by digital transformation. TV is one of the many industries that were, and continue to be, affected by the advances made in technology.
Almost leaving behind the days where cable was dominant, streaming has made its way and positioned itself as the new TV business format of the modern world.
As you may find in previous articles from our blog, this new spectrum gave birth to a variety of business models that offer flexibility to businesses in the OTT market:
- TVOD (Transactional Video on Demand): a one-time fee that users pay for the content they are interested in watching.
- SVOD (Subscription Video On Demand): The viewer pays a monthly or yearly plan to have unlimited access to all of the content.
- And finally, AVOD (Advertising Video On Demand): an Ad-supported platform where consumers can access the content for free but are exposed to advertisement.
This last model is attracting more and more brands interested in reaching their target audiences. Why?
- Multi-screen outreach: There are no screen-type frontiers when it comes to OTT video streaming. The brand can make its way across TVs, smartphones, tablets, laptops, desktops, etc.
The scope of possibilities for a brand to send its message is wide and flexible.
- Agility: It’s easier to follow and manage the development of the campaign. It is a more spontaneous and direct process in which straightforwardly advertisers may intervene and modify any of its stages, supported by data-driven measurements where you can track and optimize ads in a simpler and more dynamic way.
- Cost friendly: Setting aside the fact that streaming ads have a higher level of target awareness, when it comes to setting costs, streaming is a much cheaper option.
- Spot on targeting: Under this system, the information is collected and categorized according to the personal tastes and interests of each user, directly pointing at the target that the brand wants to attract. Streaming segmentation, thereby, provides a higher rate of receptivity and effectiveness.
- Control over content: customer-centric advertising that formulates a message specifically designed to line up with the experience that the user would like to be offered.
Trends, devices, and new methods are upgrading themselves regularly. The future is digital and the need for reinvention is constantly knocking at our door.
Advertising strategies, in order to captivate their audience and be competitive, need to adapt to today’s modus operandi.