Connected TV 10 Min Read

Your Guide to Connected TV Advertising

Written by Tim Edmundson

Connected TV is a big opportunity for advertisers, and there’s a lot to learn if you want to be successful. We’ve assembled a quick primer on exactly what you need to know about Connected TV. With this in hand, you should be able to start launching Connected TV advertising campaigns in no time.

We’ll cover:

  • What is Connected TV?
  • How does Connected TV advertising work? 
  • The case for Connected TV advertising
  • Connected TV audience targeting
  • Connected TV ad reporting
  • How Connected TV ads drive performance 
  • How to prepare ad assets for Connected TV

Think you know enough about Connected TV to get started? Request a demo today.

What is Connected TV?

If you’re going to learn all about Connected TV, this is a good starting point. Connected TV is television content streamed over apps and smart TVs, mobile devices, or over-the-top (OTT) devices. 

Want a quick primer on Connected TV jargon? Check out our Connected TV Terminology Cheat Sheet

Viewer-adoption of Connected TV is high, and continues to grow. As more viewers cut the cord from cable and satellite and begin to rely on streaming for their TV entertainment, advertisers will get more access to audience which they can serve highly relevant, targeted ads.

How Does Connected TV Advertising Work?

Connected TV combines the technical capabilities of digital advertising with the user experience of television. 

Advertisers can target specific audiences using first and third party data (just like digital advertising) to serve ads to viewers; this gives a lot of creative leverage as advertisers can then customize their message to whoever they are trying to reach. Connected TV takes the “broadcast” out of television, and instead allows for precision-targeted ad campaigns. 

Similarly, Connected TV leverages digital capabilities when it comes to measuring ad performance. Advertisers can track ad-side metrics such as ad completion rates, as well as the actions viewers take after seeing the ad like website visits and conversions. 

These advantages explain why ad dollars are pouring into the space, with ad spend expected to double by 2023. 

The Case for Connected TV Advertising

“Connected TV is the next big digital channel, and quite frankly, it’s going to be the largest digital advertising channel ever.”

  • Mark Douglas, President & CEO of SteelHouse

By advertising on Connected TV, advertisers get access to a new performance channel that carries a big impact with audiences. Viewers are making the shift away from cable, and in a way playing right into advertisers’ hands. By changing viewing habits to Connected TV, viewers are watching in an ecosystem that supports targeted advertising, and measurable performance metrics.

77% Of Viewers Who Primarily Watch Connected TV Cut the Cord Due to Cost
The days are numbered for oversized cable subscriptions stuffed with channels no one watches. Viewers are cutting down on costs for content they never use, and are making the shift to affordable, ad-supported streaming that gives them more control over when and what they watch.

Connected TV Represents Incremental Growth
Viewers who watch ad-supported content watch over four hours less of traditional TV per week when compared to the average viewer. Couple that with tens of millions of cord cutters, and it represents a unique way to connect with consumers you may otherwise be unable to reach.

Connected TV Audience Targeting

You can target based on first and third party data to help find the exact audiences you want to reach. For example, SteelHouse Performance TV leverages countless third-party audiences from the Oracle Data Cloud, as well as enabling you to retarget website visitors with Connected TV ads.  

A Sample of Connected TV Targeting

  • Website visitors
  • CRM
  • Income
  • Geographic
  • Intent
  • Age & Gender
  • Demographic
  • And more

Convinced Yet? If so, request a demo today.

Connected TV Ad Reporting

Connected TV ad reporting provides insight into metrics that digital marketers are familiar with. Detailed reporting enables advertisers to know their ad’s impact on delivery, as well as the actions viewers take afterwards. 

A Sample of Connected TV Ad Metrics

  • ROAS
  • Site Visits
  • Performance by device
  • Cost per Completed View
  • Completion Rate
  • Performance by Geo
  • Cost per Visit
  • ROAS
  • eCPA

One important thing to note, however, is that when it comes to reporting not all Connected TV ad platforms are created equal. For example, SteelHouse Performance TV gives insight into network-level reporting due to it using its own dedicated ad server – this is a metric that is not commonly found with other solutions. It’s also fully integrated into Google Analytics, meaning advertisers can monitor their performance right alongside the rest of their performance campaigns. 

It’s a Performance Marketing Channel

As viewing habits change, so too does the TV landscape. But too many advertisers see Connected TV advertising as a solution for tomorrow and not today. That’s just plain wrong — it is generating strong results for brands right this second, and anyone not advertising on this channel is missing out.

Thanks to its technical capabilities, performance marketing is possible on Connected TV. SteelHouse Performance TV embodies that, and makes performance-oriented goals the centerpiece. The case studies below are just a sample of the performance marketing campaigns that brands of all verticals have launched to great success.  

Learn more about SteelHouse Performance TV

Mattress Retailer Drives 16:1 ROAS with Connected TV 
Leveraging advanced targeting and accurate measurement, this leading online mattress brand drove immense amounts of site traffic and conversions. 

CPA | $54.17
Site Visit Rate | 0.61%
Completion Rate | 98%

Subscription Software Brand Drives 2X Higher ROAS vs. Retargeting
By using geo-specific targeting to pinpoint valuable audiences, and excluding previous site visitors to ensure they would only reach a new audience, this leading language software brand drove better returns that display retargeting. 

ROAS | 2:1
Reach | 932, 410
Completion Rate | 97%

Top-3 Travel Booking Site Generates 5.28% site visit rate
The travel site saw enormous return on their investment with SteelHouse Performance TV, generating a 3X higher ROAS when compared to their display retargeting efforts, with only a $0.51 CPA.

CPA | $0.51
Reach | 420,598
Site Visit Rate | 5.28%

Oh man, look at those performance metrics. Want to get in on that? Request a demo today.

How to Prepare Ad Assets

Viewers are making the switch to Connected TV and advertisers are reaping the rewards. Don’t get left behind — here’s what you need to do launch your own Connected TV ads. It’s easier than you think.

1. Check Your Existing Video Assets
Many brands don’t realize they already have the right video assets to run Connected TV ads. Not a video expert? No problem, show these specs to your video team and they can confirm if you’re good to go, or make the appropriate edits to get them ready.

Video Specs

  • Size Ratio | 16:9, 1920×1080
  • Length | 30 seconds max, 15 or 30 second slots
  • File Format | .mp4 or .mov
  • File Size | Max size 200MB
  • Frame Rate | Must be constant; 23.98, 25, or 29.97 FPS
  • Bit Rate | Greater or equal to 2500 KBPS

Audio Specs

  • Overall Mix Level | 10db to -14db
  • Dialogue | -12db to -15db
  • Music | -18db to -22db
  • Sound Effects | -10db to -20db with occasional spikes up to -8db

2. Be Ready with 15 and 30 Second Spots
Ads run for 15 and 30 second durations, and depending on your brand or message, one runtime may drive better performance. Don’t have a 15 second ad? Edit down your 30 second version so you can test each length and determine which is best for you.

3. Ensure You’re Following Creative Best Practices 
While every brand has their own style and approach, there are a few creative elements that will help improve your ad’s performance. 

  • Because viewers can’t click to visit your site, you need to include a visual or audio call to action at the end of your ad. 
  • Keep your logo and URL persistent throughout so they know who you are and where to go.
  • The ads will always have sound, so make use of a voice over to ensure you capture your viewer’s attention.

4. Work with a Platform to Make Life Easier
The Connected TV landscape can be fragmented and confusing if you don’t know the lay of the land. Working with a platform like the SteelHouse Advertising Suite gets you access to premium networks and inventory all in one place, allowing you to run ads run alongside quality content without having to take a piecemeal approach. 

Get Started Today

Connected TV advertising has a lot going for it. Adoption rates for streaming television are through the roof, the targeting and analytics allow brands to drive serious performance, and the ad channel is really only just getting started. So what are you waiting for? Request a demo for SteelHouse Performance TV, and get started today.