It might not surprise you that not everyone in our industry defines CTV the same way.
According to the Interactive Ad Bureau Digital Video Glossary: “Connected TV (CTV): A television set that is connected to the Internet via OTT devices, Blu-ray players, streaming box or stick, and gaming consoles, or has built-in internet capabilities (i.e., a Smart TV) and is able to access a variety of long-form and short-form web-based content.”
According to Amazon Ads: “Connected TV (CTV) refers to devices that are connected to the Internet and allow viewers to stream videos and music, and browse the web.”
According to eMarketer: “CTV advertising refers to digitally sold ads that appear on TV screens, including ads shown on smart TVs that have their own internal internet capabilities and external devices like Amazon Fire sticks, Blu-ray players, and gaming consoles. CTV ads may also appear on streaming devices and services, as well as traditional TV offshoots like YouTube TV and Hulu with Live TV. CTV does not extend to non-TV devices.”
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According to The Trade Desk: “CTV refers to premium content streaming through apps on smart TVs or over-the-top (OTT) devices. Ads can be served before content or during traditional commercial breaks.”
According to Nielsen: “Connected TV (CTV) — The method of streaming content or 'devices' that receive streamed content, which would include personal computers, tablets and mobile phones."
Does it matter that some only count TV ads in CTV, while others include any devices that streaming content is watched on? I think it does.
Conviva tells us that 23% of time spent viewing OTT content is on mobile, and its data has historically shown that about one-half of streaming video consumption in the U.S. was not on a TV, but on a PC, tablet or mobile phone.
Wow. That means if you were to compare Amazon and The Trade Desk’s CTV ad numbers for a similar campaign plan relative to the IAB and eMarketer, the impression numbers from the former would be twice as big as the numbers from companies that benchmark and set standards for ads. Nielsen, which measures ads, agrees with the sellers.
Is it a surprise that the companies with the doubled-up CTV numbers are ad sellers, and thus directly benefit from having streaming video ads on PCs, tablets and mobile devices counted as CTV ads? Don’t forget, CTV ads command a much higher price point than web video ads or mobile video ads -- and the more conservative definitions are from companies.
I’m not saying that Amazon or The Trade Desk are doing anything wrong. Maybe their definitions better fit what buyers might expect. Whether that's the case or not, I do think that our industry should get on the same page here. The gap between these definitions is enormous.
CTV ad buyers, do you know which definitions of CTV your suppliers operate under? It matters a lot.
If the above isn't bad enough, you've got sellers creating new marketing solutions with "TV" in their name to fool under educated buyers making them think they are getting CTV at unbelievable prices!
If the numbers sound to good to be true for CTV, they are probably very good reasons. A $12 CPM for something called XTV or YTV or ZTV is not CTV .... buyer beware!
This is bad for the industry at large and I wish companies who sell in our space would be far more responsible.
So true Gabe. It's crazy that there aren't folks in the market calling out this crap. Unbelievable.