Although connected TV (CTV) impressions continue to grow -- now comprising 17.9% of time spent viewing in 2024 versus the year before -- CTV advertising spend is only 7.4% of total media spend, according to eMarketer.
Proponents of CTV say not only could
spending be higher, but brands should have more benefit from better reach.
Innovid, the Mediaocean-owned ad-technology platform, says the use of CTV platforms could be much higher when it
comes to national TV advertising campaigns.
It estimates, for example, that the average campaign reach across Innovid’s 95 million TV households was just 19.64% -- leaving a lot of room for campaigns to do more.
In addition, Innovid says, although CTV ad impressions grew 18% versus the year before, the average frequency per campaign dipped to 7.09 versus 7.42 the year before. Larger campaigns could see a higher frequency of advertising messaging -- at ten or more.
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Campaigns of 200 million or more impressions can get to a reach of 43%, while media schedules between 100 million and 199 million average 25%, and brand campaigns of between 40 million and 99 million average 15%.
Innovid touts that CTV platforms can offer better control when it comes to specific reach and frequency issues for specific brands. For example, automotive CTV ad campaigns are at the highest average frequency -- 12.03 with an average reach of just 6.45%.
On the other side of things, consumer packaged goods come in at a 6.3 average ad frequency -- getting 28.9% average reach.
After CPG brands, technology (17.2%) and finance/insurance (13.2%) get the best CTV reach.
Wayne, if you think that 19% average brand's household "reach" is bad imagine if they converted it to an average consumer---it would probably drop to 12%. And those frequency levels--make them consumer frequencies and they are 50% lower; make them attentive frequencies and they are another 50% lower.