In the era of digital revolution, traditional television has taken a backseat as consumers are now turning to Over-The-Top (OTT) streaming services for their entertainment needs. Whether it’s binge-watching their favorite series on a connected TV or catching up on the latest movies on a tablet, OTT has become the go-to platform for content consumption.
With cord-cutting on the rise, the number of households ditching cable and satellite TV is projected to skyrocket in the coming years. This presents an unprecedented opportunity for brands to tap into a growing audience by harnessing the power of OTT digital marketing.
Stay tuned to discover how streaming TV advertising can unlock new possibilities for businesses and connect with cord-cutters, cord shavers, and cord nevers like never before.
Contents
- 1 ott digital marketing
- 2 What Is OTT Digital Marketing?
- 3 Popular Devices For Accessing OTT Content
- 4 The Rise Of Cord-Cutting
- 5 Projected Number Of Cord-Cutter Households In 2020
- 6 Predicted Growth Of Cord-Cutters By 2024
- 7 Harnessing The Power Of Streaming TV Advertising
- 8 Understanding Cord Shavers And Cord Nevers
- 9 Expanding Audience For Brands Through OTT Marketing
ott digital marketing
OTT digital marketing refers to the practice of advertising and promoting products or services through streaming media content delivered over the internet. With the rise of cord-cutting, where viewers opt for streaming services rather than traditional cable or satellite providers, OTT marketing has become an essential strategy for brands to reach a growing audience.
Connected TVs are the most popular devices used to access this content, and a projected 6 million households were expected to cord-cut in 2020, reaching a total of 31.2 million cord-cutter households. By 2024, the number of cord-cutters is projected to reach 46.6 million.
In addition to cord-cutters, there are also cord shavers, who reduce pay-TV plans while still using streaming services, and cord nevers, who have never paid for TV subscriptions. Incorporating streaming TV advertising into marketing strategies enables brands to tap into this expanding market segment.
Key Points:
- OTT digital marketing involves advertising and promoting products or services through streaming media content delivered over the internet.
- Cord-cutting is the trend of viewers opting for streaming services instead of traditional cable or satellite providers.
- Connected TVs are the most popular devices used to access OTT content.
- The number of cord-cutting households is projected to reach 31.2 million in 2020 and 46.6 million by 2024.
- There are also cord shavers and cord nevers who reduce or never pay for TV subscriptions.
- Incorporating streaming TV advertising allows brands to reach and target this growing market segment.
Sources
https://www.forbes.com/sites/forbescommunicationscouncil/2021/02/08/what-is-ott-advertising-and-why-is-it-a-trend/
https://advertising.amazon.com/library/guides/what-is-ott
https://tinuiti.com/blog/ott-over-the-top-ads/ott-advertising-guide/
https://www.brid.tv/ott-marketing/
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💡 Pro Tips:
1. Use targeted streaming TV advertising to reach cord shavers and cord nevers, in addition to cord-cutters.
2. Leverage streaming TV ad formats, such as skippable and interactive ads, to engage viewers and increase brand awareness.
3. Utilize data-driven insights to understand viewers’ preferences and behaviors, allowing for more personalized and effective ad targeting.
4. Collaborate with streaming platforms and content creators to develop branded content or sponsorships that align with your brand values and resonate with OTT audiences.
5. Experiment with different ad placements within streaming TV content, such as pre-roll, mid-roll, and post-roll ads, to optimize visibility and reach for your advertisements.
What Is OTT Digital Marketing?
OTT digital marketing refers to the use of streaming media content delivered over the internet, bypassing traditional cable or satellite providers. As more viewers turn to online streaming services for their entertainment needs, brands have recognized the importance of incorporating OTT marketing strategies into their overall marketing plans.
This form of marketing allows businesses to reach a growing audience of cord-cutters, cord-shavers, and cord-nevers who are increasingly consuming content on connected TVs and other devices.
OTT digital marketing encompasses various tactics that enable brands to advertise and promote their products or services to this streaming audience. Advertising on connected TVs, mobile devices, and streaming platforms is one common approach.
Additionally, product placements within streaming content and partnerships with content creators are also popular methods to reach and engage viewers in a more organic way.
To effectively leverage OTT digital marketing, brands must understand the devices through which viewers access this content, the trends driving the rise of cord-cutting, and the projected growth of this audience in the coming years.
Popular Devices For Accessing OTT Content
One of the key factors driving the success of OTT digital marketing is the accessibility of streaming media content on a wide range of devices. Viewers can access OTT content on smartphones, tablets, computers, and gaming consoles.
However, it is connected TVs that have emerged as the most popular devices for consuming OTT content.
Connected TVs offer a seamless and immersive viewing experience, allowing viewers to enjoy their favorite shows and movies on a larger screen. The convenience of using a single device to access multiple streaming services has contributed to the rising popularity of connected TVs.
They enable viewers to access content from platforms such as Netflix, Amazon Prime Video, Hulu, and Disney+, among others, all in one place.
As a result, brands looking to maximize their exposure and engagement with OTT audiences should prioritize advertising on connected TVs. Developing targeted and compelling ad campaigns specifically designed for the big screen can help capture viewers’ attention and generate better results.
The Rise Of Cord-Cutting
Cord-cutting, the practice of canceling traditional pay-TV subscriptions in favor of streaming services, has rapidly gained momentum in recent years. Consumers are no longer willing to pay for expensive cable or satellite packages that offer numerous unwanted channels and limited flexibility.
The rise of cord-cutting can be attributed to several factors. First and foremost, the increasing availability and affordability of high-speed internet connections have made streaming services a viable alternative to traditional TV.
Additionally, the accessibility and convenience of on-demand content offered by streaming platforms have changed viewers’ preferences and expectations.
Changing demographics also play a role in the rise of cord-cutting. Younger generations, such as millennials and Gen Z, are more likely to prefer digital media consumption over traditional TV.
They prioritize flexibility, personalized content, and the ability to watch on multiple devices, all of which are offered by OTT platforms.
Furthermore, the ability to save money by switching to streaming services is a significant motivator for many consumers. By cutting the cord, viewers can reduce their monthly expenses while still accessing a wide range of content.
Projected Number Of Cord-Cutter Households In 2020
In 2020, it was projected that approximately 6 million households would cut the cord, bringing the total number of cord-cutter households to 31.2 million. This represents a substantial increase in the adoption of streaming services and highlights the shift towards a streaming-dominated media landscape.
As more consumers become aware of the flexibility, cost-effectiveness, and vast content libraries offered by OTT platforms, the number of cord-cutters is expected to continue growing. This trend poses challenges to traditional TV providers but provides unprecedented opportunities for brands to reach their target audiences through OTT digital marketing.
Predicted Growth Of Cord-Cutters By 2024
The trend of cord-cutting is forecasted to intensify in the coming years. By 2024, it is projected that the number of cord-cutter households will reach 46.6 million.
This significant growth underscores the fundamental shift in consumer behavior and preferences for streaming media content.
The predicted increase in cord-cutters highlights the importance of OTT digital marketing as an essential component of brands’ overall marketing strategies. To stay ahead of the curve and effectively engage with this expanding audience, businesses must embrace creative and innovative approaches to reach viewers through streaming platforms.
Harnessing The Power Of Streaming TV Advertising
Streaming TV advertising is a powerful tool for brands looking to reach the growing audience of OTT consumers. By incorporating OTT advertising into their marketing strategies, businesses can capitalize on the shift towards streaming platforms and engage viewers in a more targeted and personalized manner.
Advantages of streaming TV advertising include:
To make the most of streaming TV advertising, brands should invest in high-quality creatives that grab viewers’ attention and deliver a compelling message. Tailoring ads to match the preferences and interests of the target audience is crucial for maximizing the effectiveness of these campaigns.
Understanding Cord Shavers And Cord Nevers
In addition to cord-cutters, there are also two other categories of viewers to consider: cord shavers and cord nevers. Cord shavers are individuals who reduce their pay-TV plans but still rely on streaming services as their primary source of entertainment.
This group represents an opportunity for brands to engage with viewers who still have some ties to traditional TV but are open to consuming content through OTT platforms.
On the other hand, cord nevers are individuals who have never subscribed to traditional TV services. They have grown up in an era dominated by digital media and have never felt the need for cable or satellite subscriptions.
These younger viewers are more receptive to OTT advertising and represent a valuable target audience for brands looking to maximize their reach.
Understanding the differences between cord-cutters, cord shavers, and cord nevers allows brands to tailor their messaging, targeting, and strategies to effectively engage with each segment of the OTT audience.
Expanding Audience For Brands Through OTT Marketing
OTT digital marketing provides brands with unparalleled opportunities to expand their audience and reach potential customers who are actively consuming streaming media content. By leveraging the popularity of streaming services, brands can tap into a growing market of cord-cutters, cord shavers, and cord nevers.
To succeed in OTT marketing, brands must stay abreast of the latest trends, technologies, and strategies in streaming media advertising. Investing in high-quality creatives, targeting specific demographics, and leveraging the capabilities of streaming platforms are essential steps towards achieving success in this dynamic and rapidly evolving landscape.
As the number of cord-cutters continues to rise and the demand for streaming content grows, brands that master the strategies of OTT digital marketing will be able to connect with their target audiences on a whole new level, capturing attention, driving engagement, and ultimately, achieving business success.