OTT or over-the-top TV is all the craze right now in the entertainment consumer sector. The OTT video market size accounted for USD 238 billion in 2021 and is expected to cross the USD 450 billion mark by 2027. Reportedly, more and more linear TV viewers are switching to subscriptions for OTT channels and smart TVs with the Internet. As a result of this consumer dynamic shift, the advertising world has also undergone significant changes. Advertisers are now looking at OTT advertising strategies as a crutch to their existing strategies. Some have entirely shifted to OTT advertising and have abandoned the traditional methods of TV advertising. 

If you are on the brink of deciding whether you should opt for OTT advertising, we are here to nudge you in the right direction. We will also give you an ultimate beginner’s guide to starting your own OTT advertising journey.  

Ready? Let’s go. 

Why OTT Advertising? 

There are quite a few compelling reasons for switching from traditional linear TV advertising to OTT advertising. We will review the most influential ones. 

Precision Audience Targeting 

OTT offers a multi-faceted approach to audience targeting. You can easily obtain data and statistics from the platform you opt for, combine them with your own research, and develop your advertising strategy accordingly. In other words, with the help of layered audience data, you can easily design your campaigns to reach your target audience. Besides, with a multi-channel approach, you can also target and re-target the same consumer base across multiple channels and screens. 

Wider and Richer Audience Engagement 

Since OTT platforms can be accessed through a number of different appliances, you can aim to target not just smart TV users, but also those with smartphones, tablets, and PCs. It has been estimated that around 98% of OTT devices watch ads because like conventional TV, not many platforms allow the ad-skip option without a premium subscription. This automatically enhances viewer engagement with ads being showcased on OTT channels. 

Real-time Optimisation 

The advent of new technologies allows OTT ad performance to be monitored on a real-time basis. This in turn helps you make on-the-spot decisions about budget allocations. You can easily analyze and understand which ad is performing optimally on which platform and adjust your financial allocation for underperforming ads. 

Better Safety and Privacy Protection 

To ensure brand safety in OTT advertising, precision targeting, and real-time reporting are essential. Contextual targeting and transparent reporting are key factors. Advertisers can refine targeting criteria by combining contextual data and categories, avoiding inappropriate ad placements and associations with unsuitable content. With privacy changes affecting performance marketing, advertisers seek new solutions to maintain targetability. TV screens, unaffected by cookie deprecation, become crucial in this privacy era. 

Also Read – Understanding OTT vs CTV advertising

The Ultimate OTT Advertising Strategy 

Every OTT advertising strategy depends on the objectives you want to fulfill and the audience you want to target. The best way to go about this is by consulting with experts. Having said that, you can also be your own agency and launch an effective campaign. Here’s a fundamental framework for building OTT advertising strategies to help your business grow. 

Campaign Planning

Research, research, and research! 

Every campaign is designed with a specific goal in mind. To formulate a proper goal or an objective, it is imperative to invest resources in research. Your research must give you vivid insights into the current market trends, consumer behavior, competitor behavior, consumer characteristics, consumer demographics, and the current perception of your customers towards your brand. With this data at your dispense, you can easily figure out which particular data you want to target and enhance to improve your business.  

Audience Filtering Funnel 

Based on the research conducted in the first step, you should now have a goal in your hand. Depending on the goal of the campaign, you should now narrow down your target. This can be on the basis of any parameter or any combination of parameters. For instance, you may choose to target a specific demographic of the audience who reside in a particular location and mainly watch sci-fi shows/movies. You can also decide to target a specific age group, who you understand are more likely to take positively to your potential campaign. 

OTT Platform Selection 

The next important step is to figure out which OTT platform would be the best channel to deliver your message to your target audience. Again, this would mainly depend on the type of audience you want the campaign to reach. Each OTT platform attracts different types of viewers. For instance, Hulu’s subscribers majorly consist of the younger crowd, while HBO has an older audience. Hence, the demographics and characteristics of your target audience should primarily be the deciding factor when picking an OTT platform. 

Ad Content Creation

Once you define your goal and target audience and pick out the OTT platform of your choice, it is time to set the wheels in motion. You will have to come up with intriguing and captivating ad content. Keep in mind that OTT ads are not very long. Hence, your aim will be to communicate the message of your campaign impact fully and within a short amount of time. It should have a lasting impression on the viewer and therefore should be memorable from the very beginning.

Also Read – OTT to Linear TV to CTV the journey so far 

Purchase Ad Spaces 

Now that your ads are ready, it is time to show the world what you have! There’s just one step before that. You will have to buy ad spaces on the platform you aim to launch your campaign on. There are different ways to go about it. You can directly purchase spaces from the vendors of the OTT platform. Or, you can ask any agency, like 9MediaOnline, to bid for spaces on your behalf. From a cost-effective perspective, it is better to go through the agency route rather than buying spaces directly from the platform vendors. 

Set a Schedule

Once you have locked down your ad space, you will need to structure a schedule to launch and re-launch the campaign, whenever an opportunity presents itself. This can also be done with the help of an agency that can help you set down a schedule, more appropriate to your campaign. You will also have to regularly monitor the performance of your ads and keep a check on how your customers are responding to them. Based on the performance you can see if your campaign is achieving all your KPIs or not. You can then modify some features and parameters to ensure your campaign outdoes its current metrics. Here too, an agency can help you bring out the best in your campaign. 

Also Read – Brands Yelling, “I Want It The CTV-Way!”