The numbers speak for themselves, since 2021, TV streaming has surged by 71%. What started as a handful of ad-free subscription services has transformed dramatically. Major platforms such as Netflix and Disney+ have embraced ad supported tiers, many of the main UK broadcasters have developed their own streaming services and a new offering seems to be launching every week. For advertisers, this represents significant opportunity – but like any emerging channel, it comes with complexities worth understanding before diving in.
Streaming is changing the way the nation watches TV
Remember when we all gathered around the TV at 8pm sharp? Appointment-to-view TV (with some notable exceptions) is becoming less and less common. Streaming allows today’s viewers to curate their own content schedule, selecting programming that matches their mood, interests and timetable. This transition delivers advertisers an important commodity, a consistently engaged, attentive audience.
This heightened engagement can translate into better ad performance but it’s worth bearing in mind that viewers who have specifically chosen ad-free content (where possible) may be particularly resistant when they do encounter it elsewhere.
What makes streaming and CTV so great for advertisers?
Connected TV advertising offers the ability to reach exactly the right person, at exactly the right time, with exactly the right message.
Moving far beyond broad demographic segmentation, today’s CTV platforms harness rich user data to enable targeting based on viewing behaviour, purchase history, lifestyle interests, and contextual relevance. Want to reach interior design enthusiasts who live in urban areas and have recently browsed new sofas? CTV makes it possible.
Advanced programmatic capabilities take this further, we can now access tools that enable:
Addressable targeting that delivers different ads to different households watching the same program, ensuring your message reaches your ideal customer, not just anyone with eyeballs.
Contextual relevance that places your brand alongside content that naturally aligns with your values and offerings, creating seamless integration rather than jarring interruptions.
Frequency control that prevents ad fatigue by capping how often viewers see your creative, maintaining impact without becoming background noise.
Real-time optimisation that shifts budget toward high-performing inventory as campaigns run, maximizing every pound of your media spend.
There has also been a rise in the number of shoppable ads as advertisers realise the potential of being able to deliver a streamlined buying experience that leads the customer from ad to purchase in just a few clicks. This format also has the advantage of showing clear attribution, making it easier for advertisers to understand the relationship between their advertising and their sales. This transparency transforms CTV advertising into a full-funnel performance medium.
What do brands need to be cautious of when considering advertising on CTV?
The CTV remains fragmented. Multiple platforms and inconsistent measurement standards mean achieving true cross-platform reach and attribution can be challenging.
Data accuracy also varies significantly between platforms, and sophisticated attribution models sometimes struggle with household level targeting when multiple people share the same account.
Cost can also be a consideration. CPTs typically run higher than traditional, linear TV. Whilst advanced targeting can justify the price premium in some cases advertisers need to interrogate every channel and platform to ensure they are achieving an efficient, cost effective schedule. For some campaigns the mass awareness delivered by traditional broadcasters will always be the best value option.
The bottom line
Streaming and CTV represent more than just another advertising channel – they’re a fundamental evolution in how brands can use TV to connect with consumers. The combination of precise targeting, engaged audiences, innovative formats and measurable results create huge opportunities that advertises should not ignore.
At AJ we help advertisers navigate the evolving media landscape by providing honest advice and experience-backed insight. If you’d like to learn more about our approach to TV advertising read here. Want to chat through your TV advertising options with impartial experts? Get in touch and find out how we can boost your business.