Why the Advertising Comeback is Anchored in Local OTT
Addressability and Attribution are priorities
“In recent weeks, consumers have accelerated a change that was underway in the streaming world. CTV/OTT has become THE universal form of media consumption and more consumers are embracing ad-supported streaming TV options.”–John Vilade, head of sales, Premion
With the nation’s attention turned to the reopening, advertisers are considering how quickly to pivot their messaging and determining the right media mix to prepare for the restart. They also have to shift to a local marketing approach in response to the phased state-by-state reopening for retail stores, restaurants and other businesses. To underscore that notion, a recent IAB study found that more than a third of advertisers are already adjusting their in-market tactics to increase audience and connected TV (CTV)/ OTT device targeting. With local campaigns reigning over national ad buys, the combination of OTT and local linear is proving to be invaluable for advertisers to execute locally for the comeback.
In recent weeks, consumers have accelerated a change that was underway in the streaming world. CTV/OTT has become THE universal form of media consumption and more consumers are embracing ad-supported streaming TV options. An IAS ‘Streaming Wars’ report finds that nearly nine in 10 consumers have access to a CTV device; 76% are willing to see ads in exchange for watching free streaming video, and 55% plan to watch free video streaming services in the next 12 months. At the same time, more viewers are tuning in to their local newscasts as the trusted news source and those newscasts are also attracting a younger audience, per TVB’s analysis.
As consumers have grown accustomed to contactless, remote and digital behaviors in their day-to-day lives, brand messages will be important to convey how businesses are adopting new safety practices as they reopen. According to The Harris Poll Covid-19 tracker, pent-up demand is building ‘revenge spending’ among consumers who are planning for major purchases once things return to a semi-normal state, albeit with a focus on safety across the customer journey. A CivicScience study finds that half of consumers are ready to resume life and prefer not to see ads that talk about sheltering in place. As consumers emerge from being home-bound, they are also more receptive to entertaining and uplifting messages. As such, brands that tap into the resiliency of local communities with campaigns that are engaging, informative and hopeful will resonate with their audiences.
Here are three advertiser priorities as we enter the reopening phase: