OTT revenue could surpass $476 billion by 2027 as more businesses turn to over-the-top platforms. It's no surprise, as the average adult consumes over 38 hours of video content each month. As a result, 66% of viewers discover new products and services from OTT video content.
Another 65% look up product information on a second screen while watching videos.
On the fence about using OTT for your own business? Read on to discover the benefits of using OTT ad insertion to market your brand first!
1. Broad, Diverse Reach
Using OTT ads will allow you to reach a large number of consumers who have relevant interests. Many consumers are already using streaming platforms instead cable TV. You can reach audiences based on demographic and psychographic data to expand your reach online.
Reaching these consumers with OTT advertising will help you generate brand awareness. As people continue to see your ads, awareness can grow into recognition. Consumers will begin associating your company name with your offerings.
When they want to purchase your product or service in the future, they might remember your brand or ad. Then, you can turn that consumer into a paying customer.
Your ideal customers are already using streaming platforms like Hulu and YouTube. With OTT ads, you can leverage their current behaviors to boost your online visibility.
2. Precise Targeting
While OTT ad platforms can help you expand your reach online, you can also use precise targeting to appear in front of your ideal customers. These customers might already have an underlying interest in your product or service. You could have an easier time converting them into a lead or sale as a result.
Specifying your audience based on demo- and psychographic data can also help you create personalized ads. Personalization can help you better connect with customers based on their distinct interests.
If your ads don't match their interests, they might turn to another brand.
You can customize your campaigns based on the consumer's location, age, gender, or the topics they're interested in. You can also time your ads to appear at a certain time of day to ensure they appear in front of your target audience.
Precise targeting can make your campaigns more effective.
3. Engaging Ads
OTT ads are more engaging than traditional TV ads. A strong call to action can encourage consumers to learn more about your products or services. Since the experience is less disruptive, they're more likely to respond.
Since people are already paying close attention to the video content they're watching, they're more likely to pay attention to your ad, too.
4. Generate Leads
Since OTT ads aren't disruptive, consumers can click on your ad to find more information about your offerings, improving their user experience. A positive user experience means it's faster and easier for people to learn about your products or services.
Providing a simple user experience makes it easier for people to convert into leads and sales.
If your traditional ads aren't generating results, consider switching to digital OTT advertising instead. You can generate more leads and sales to boost your ROI.
5. Make Adjustments
With traditional ads, you can't make adjustments once they're printed and out in the world. Different types of OTT platforms give you the option to control and adjust your ads or campaign settings.
You can change the ad language, targeting, and your budget as you see fit. The ability to make adjustments to your campaigns can help you make the most of your budget.
If certain targeting parameters or ad language aren't working to generate leads, you can make changes to generate results.
6. Cost Effectiveness
OTT advertising services are more cost effective than traditional advertising options. You can use OTT ads to maximize profitability and improve your ROI.
In fact, OTT platforms are highly flexible, offering pricing options based on cost per thousand impressions or clickthrough rate.
You'll only pay for advertising if and when people view your ads.
7. Helpful Analytics
One of the top benefits of using OTT advertising is the ability to gather analytics.
With traditional print advertising, you can't always learn about who viewed your ads or who made a purchase after seeing an ad. With OTT advertising services, you can use advanced data feedback and analytics to make adjustments to your campaigns.
Adjusting your campaigns based on the data you gather can help you make informed changes, enabling you to improve your ROI.
For example, you can track consumer behavior, such as:
How long a viewer watches a show
The time of day they watch specific shows
What devices they use most
Your OTT platform will store this data for your revenue. The consumer data you gather can benefit your OTT campaigns and other digital advertising strategies.
Using this data, you can place the right ad in front of the right buyer at the right time. You'll have an easier time converting viewers into leads and sales as a result.
Without this data, you could continue making assumptions about your customers. You might struggle to personalize your ads based on their preferences as a result. About half of millennials and Gen Zers ignore communications unless they're personalized.
Meanwhile, 80% of consumers are more likely to make a purchase if companies personalize experiences. Leveraging your data to create personalized ads could boost your marketing ROI by eight times and sales by 10%.
Using the data you gather to make changes will ensure you make the most of your digital OTT ad budget.
Experience the Benefits of OTT Advertising Today
To recap, what are the benefits of OTT advertising? OTT ads can help you reach your ideal customers. You can appeal to their interests, make adjustments to your campaign using data, and expand your reach online.
Consider adding digital OTT ads to your marketing strategy for 2023.
Need help? An all-inclusive digital ads management platform can make advertising more effective and efficient.
Schedule a demo today to learn more!