Among CPG advertisers, connected television (CTV)
devices accounted for over half (52%) of all video ad impressions last year — up from 44% in 2020, according to a new report from advertising platform Innovid.
CTV surpassed mobile
(37%), as well as desktop (11%).
The report analyzed more than 103 billion CPG video advertising impressions served on Innovid’s platform over a full year.
Looking at CPG
verticals, pet supply brands led CTV impressions share with 70%, followed by household cleaning and beauty (each at 62%), food (61%), household goods (60%), beverages (42%), over-the-counter (40%),
alcoholic beverages (39%), and personal care (28%).
More than half (53%) of CPG advertisers ran some kind of advanced
video creative, such as dynamic or interactive formats.
Brands that used advanced dynamic creative optimization (DCO) to guide and optimize creative elements and messages saw a video
completion rate (VCR) of 98.6% versus an average 93.9% completion rate for standard video, Innovid reports.
Length-wise, 30-second CTV ads performed best overall, with an
average completion rate of 95.8%.
Thirty-second ads (as opposed to 10- or 15-second ads) also drove the highest engagement rate when viewers were presented with choice-based ads (a choice between ad engagement or ad
breaks). However, 15-second ads optimized engagement with non-choice-based ads.
The report acknowledges CTV advertisers’ concern about ad duplication, although noting that some ad
repetition doesn’t necessarily result in oversaturation. A combination of factors plays into duplication, including the size of campaigns and number of publishers used.
However,
the CPG campaigns analysis found a modest duplication rate of 18% even for campaigns using six or more CTV publishers — meaning that 82% of overall reach was unique.
Volume-wise,
campaigns with 19 million or fewer impressions had an average duplication rate of just 5%, while those with more than 100 million impressions saw duplication under 30%, on average.
While over-frequency can occur due to consumers
watching content across multiple streaming platforms, CPG advertisers had an average campaign frequency of just 3.59. Seventy percent of campaigns had a frequency of only one to two exposures, and
only 7% had more than 10 exposures. Even campaigns with 100 million or more impressions had an average frequency of only 5.44.
The report notes that the greater risk of duplication with large
campaigns can be managed by using real-time, cross-channel measurement to monitor duplication and adjust frequency.
It also points out that CPG campaigns reached just 11.6% of
Innovid’s 95 million CTV households on average — exceeding the average household penetration of 9.23% by 26% — indicating “plenty of room for growth.”
