CTV is for Both Linear and Programmatic TV Buyers

October 31, 2019

The large installed base of streaming video apps on phones, televisions, and computers has significantly changed consumers’ television viewing habits. Viewers now watch much less linear television from broadcast or cable and prefer to stream video across a variety of devices, when and where they want.

With new technologies, formats, and device types for CTV advertising, linear TV buyers and programmatic buyers both have the opportunity to connect with travelers as they watch what they like, when they like, and how they like. In our latest eBook, Connected TV: The Emotional Power of TV and the Precision of Programmatic, we dive into the benefits for both. Here are some highlights: 

Defining Linear and Programmatic TV

Linear TV is also known as traditional television which is accessed with a subscription to cable or satellite services.  Viewers are restricted to watching scheduled content via a specific channel at a designated time. Linear TV advertising targets demographics according to ratings and time of day. Advertisers pay for viewership based on viewer ratings, but actual viewership is estimated and not definitive.  Rates are based on ratings; in turn the ratings are based on estimates and projections of probable viewership at that specific time.

Connected TV is defined as any TV that can be connected to the internet and access content beyond what is available via a cable provider.   When it comes to advertising via Connected TV, advertisers can target customers using a range of data variables, like location, demographics, and past ad exposures. Advertisers pay for ad impressions or ad views as rates are based on CPM, which is in contrast to paying for linear TV’s estimated ratings and projections.  What’s most exciting, is that advertisers can track their programmatic ads with real-time reports, giving them the ability to monitor and optimize during the ad campaign.

The Challenges of Linear TV and Programmatic TV Buyers

For linear TV buyers, advertising continues to increase in digital media, including digital ads intended for cell phones, tablet-style computers, and online radio stations. Digital advertising can be done without an advertising sales agent; in some cases, it can be done through a software application or search engine program. TV advertisers are moving a small percentage of their money to programmatic TV advertising, however, these budgets are used to test and learn vs. making the switch from linear to digital.  There is certainly some friction between the converged future for video and it’s evident in the way media teams are currently structured and how they’re preparing for the future. 

For programmatic TV buyers, unlike online ads that can be tracked with clicks, determining the engagement rate of TV ads is more challenging. The industry is constantly changing meaning advertisers have to keep up with the growing number of TV formats – digital TV, streaming services, video-on-demand services like Netflix, etc.

How Linear and Programmatic Buyers are Using CTV

How can linear and programmatic solve those problems? With CTV! 

Linear buyers can use CTV to complement their client’s linear TV advertising, allowing them to expand their addressable market, and reach travelers they wouldn’t have been able to otherwise. Their cross-channel efforts create continuity and efficiencies for their clients, as CTV lets them use the same creatives used for linear TV.  The value of cross-channel advertising is being proven quickly as studies show viewers who see an ad on CTV have a higher brand recall. Advertisers are also impressed with the level of relevance, lower cost, flexibility of messaging, and the ability to reach new customers. CTV works well for linear TV buyers who are keen to differentiate themselves in the fast-changing Industry.

Programmatic buyers use CTV to expand their client’s reach beyond banner ads with a highly engaging creative format. They can create an integrated approach, using the same creatives across programmatic video and CTV to help their brand promote their campaigns. Programmatic buyers can use real-time intent signals and behavioral online data to focus CTV ads—to sequentially target and retarget those viewers who show a higher engagement and intent. CTV works well for programmatic buyers who are eager to implement cutting edge technology to improve reach and relevance.

Interested in learning about connected TV for travel marketers? Read more in our eBook, Connected TV: The Emotional Power of TV and the Precision of Programmatic


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About Stephanie Duran-Schaefer

Stephanie is a Product Marketing Manager at Sojern. She is passionate about developing marketing, brand and go-to-market strategies while taking into account the customer experience from beginning to end. Striving to make a difference, she enjoys helping others and making a positive impact one day at a time. Stephanie loves cooking, traveling and spending time with her family.

Stephanie Duran-Schaefer About the author

Stephanie is a Product Marketing Manager at Sojern. She is passionate about developing marketing, brand and go-to-market strategies while taking into account the customer experience from beginning to end. Striving to make a difference, she enjoys helping others and making a positive impact one day at a time. Stephanie loves cooking, traveling and spending time with her family.