"Over-the-top" (OTT) platforms and service providers deliver content to consumers over the Internet, instead of through traditional mediums like cable or satellite TV. OTT advertising is a crucial component in a cutting edge marketing strategy since so many individuals are using stand-alone OTT services exclusively or in combination with these other mediums.
If you haven't already incorporated OTT into your marketing mix, then you need to do so now. There are several advantages that you can gain by investing in OTT - including the assurance that your competitors won't leave your brand in the dust. Let's discuss a few reasons why OTT should be the next step in your marketing plan.
You're Not Seeing the Results You Want
Perhaps you're advertising on a variety of non-OTT platforms. You may be allocating many resources to such initiatives; but what if you're not seeing optimal results from your ad spend?
It could be that your reach across your target demographic is limited when dealing with more traditional channels, like cable or broadcast television, radio, or other mediums. Investing in OTT ads can greatly enhance your brand's reach. For instance, one study found that at the beginning of 2020, there were 164 OTT subscriptions per 100 households in the United States (a ratio of 1.64:1), and 132 subscriptions per 100 households in Canada. North America currently boasts the largest OTT market in the world - and no doubt your target consumers make up a significant percentage of that market or one of its segments.
Of course, investing in OTT advertising doesn't necessarily mean stepping away from other platforms. While OTT can certainly be a successful marketing medium in its own right, it often yields the best results when implemented in tandem with other platforms. In fact, research indicates that simultaneously launching streaming and traditional TV ads as part of a unified strategy can increase ad recall by as much as 34%.
You're Looking to Expand
On the other hand, you may already be experiencing positive results from your marketing plan. However, what if you want to expand your consumer base? Perhaps you've reached a point in your business where you want to focus on the acquisition of new customers. If that's the case, then OTT is an excellent option for expanding your brand reach.
Actually, investing in OTT marketing will not only expand your reach but will also do so in a sustainable way. The trend of "cord-cutting" will continue into the foreseeable future. It appears more and more individuals will exclusively access their content from OTT providers, thus driving the value of ad spots on such platforms ever higher.
You Want to Reach a More Targeted Audience
Another notable feature of OTT advertising is its enhanced audience targeting capabilities. Whereas in the past advertisers had to buy ad space on an "indexed basis," OTT platforms allow for a highly addressable marketing strategy. In other words, companies can target consumers most likely to buy their products.
Many OTT platforms enable buyers to customize their bids based on a variety of factors, including age, gender, interests, geographical location, etc. For instance, a company may decide to target consumers that watch both cooking shows and sports documentaries with ads that will appeal to their specific interests. Obviously, this is a marked advantage over traditional TV commercials that may reach a broad audience, but cannot be targeted towards high-value prospects versus their low-value counterparts.
You Need Solid Reporting
OTT platforms offer in-depth campaign analytics to help you measure the performance of your ads, and adjust as needed. In this regard, one key feature of OTT advertising is attribution. Advanced tracking capabilities can help you to gather hard data on which leads/conversions are a direct result of your most recent campaign, and which ones are incidental. This exceptionally accurate reporting power helps you and your marketing strategy.
Leveraging OTT for Sustainable Growth
As the above information demonstrates, you should definitely consider incorporating OTT into your marketing mix sooner rather than later. OTT advertising can yield optimal ROAS, help you to expand your reach, enable you to target consumers in a more segmented manner and provide unsurpassed reporting capabilities.
Of course, if OTT advertising is not one of your core competencies, then you can also seek the help of an experienced media partner who can guide you through the process. Regardless, when it comes to advertising OTT promises to be the "face of the future." Look for ways to leverage OTT for sustainable growth, and you'll no doubt benefit greatly from your efforts.