Connected TV to maintain TV’s relevance as linear continues to decline
New video platforms continue to emerge, but the TV set remains the favourite way to consume content. How do we harness these in 2020 and beyond to ensure TV (in all formats) remains relevant to marketing plans.
Linear TV is in decline, that is undeniable. However do not let the statistics trick you into thinking that this means “TV” is dead, or at least dying, because the physical TV set is still as prominent in the lives of many as it perhaps ever has been. True, there are many video services now competing with linear for attention across a multitude of physical platforms. However, as video services they are best enjoyed on the big TV screen, and audience preference confirms this. Giraffe Insights’ Kids and the Screen (KATS) research indicates that over 70% of video viewing for 2-12 year olds still occurs on the main TV set.
With the proliferation of services however, how do we define them from a media perspective (not a consumer one, for audiences nearly unanimously still refer to them as TV), and how do we make the most of them as advertisers?
Acronyms such as SVOD (Subscription Video On Demand), AVOD (Ad-funded), BVOD (Broadcaster), TVOD (Transaction), OLV (Online Video) and POLV (Premium Online Video) are all becoming commonplace. However in essence they are all, or at least all can be, considered Connected TV (CTV) services – “video content consumed on a TV screen, delivered via an internet connection” (IAB Changing the Channel).
CTV is already a prominent part of the UK media landscape, accounting for 38% of all viewing time for 2-12 year olds. Netflix accounts for half of this, with other SVOD services such as Disney+ and Amazon Prime Video accounting for a further 9%. However advertiser friendly solutions now command a 10% share of viewing, and this is only set to grow as new services find their way onto Connected TV platforms offered by Samsung, LG et al.
Compared to linear TV advertising, CTV services do come at a slight premium. However there are many advantages to using them, for example:
– Increased Share Of Voice – fewer ads per “break”.
– Data led targeting – for non-kids audiences.
– No BCAP restrictions – place licensed product next to content.
– Growth – we have reached a tipping point which sees linear TV in potentially irreversible decline.
Where cost effective to do so, we encourage advertisers to take advantage of CTV services this A/W. However with the vast array of choice available, we have launched GM On Demand, our new “programmatic” service to navigate the CTV marketplace. The reality is that no single channel in the CTV landscape has the scale required to deliver the reach and frequency required of brand campaigns. Working in combination however, they do. GM On Demand will use contextual data provided by KATS to select the most relevant content for your brand across the plethora of services, be that CITV Hub, Ketchup TV, Kidoodle or pocket.watch (to name but a few).
Connected TV will ensure that the TV set outlives the “death” of linear, and continues to form part of our media strategies for years to come.
Source: Giraffe Insights Kids and the Screen, IAB Changing the Channel