What’s next for TV advertising? Four changes that will drive the industry forward

Despite the prominence of the internet in today’s society, television continues to be a major medium in many households, in the form of both live TV and streaming services. And with television and technology constantly evolving, TV advertising still remains one of the most effective types of advertising. 

There have been many shifts and trends within the TV advertising industry, especially with the huge success and popularity of streaming and over-the-top content in recent years. So with this advertising form continuing to thrive, the big question looms: What’s next for TV advertising? Here are four changes that will drive the industry forward. 

Advanced TV viewing – OTT

Television still remains a massive part of people’s everyday lives, as well as the advertising industry – but not just in the traditional manner. Nowadays, consumers tend to prefer viewing television and video content via over-the-top (OTT) devices such as smart TVs and Amazon Fire, and OTT services like Netflix. Although consumers do not often view as many TV advertisements on them on OTT platforms, advertisers are fully fascinated with the potential of targeted advertising and use of multi-screen viewing. 

By making homes and households more reachable via both linear TV and OTT devices, advanced TV aids marketing attribution for companies. 

Addressable TV

Addressable TV, which falls under the advanced TV framework, allows marketers to provide ad material to specific audiences directly. Traditional offline television providers expect that by increasing the number of addressable homes, they would be capable of competing with OTT solutions. Consumer audiences may be divided in a number of ways, including watching habits, purchasing habits, and fundamental demographics. As a result, TV will be more ideal for individualised marketing, in contrast to its traditional position as a vehicle of mass marketing. 

Data driven Ads

Consumer data is becoming more important in assisting advertisers in introducing a better degree of detail and precision to their TV advertising, and assuring data quality will be a primary priority in the coming future. Companies are also pursuing quantifiable options, such as CTV, since establishing campaign performance and delivering actual customer benefits is becoming more vital for TV advertising nowadays. 

Data driven TV advertising involves using automation and technology to automate and expand the distribution of ad communications to customers on a one-to-one basis. It considers all of the information you have about consumer behavior and uses it to more relevant and effective encounters. 

Programmatic buying options

Programmatic advertising consists of the use of artificial intelligence and machine learning to purchase advertising in real time rather than through human discussions and pre-set pricing. Advertisers would usually handle cable television and OTT ad purchases individually, but many marketers are now considering them simultaneously.  

The trend is obviously shifting toward all TV being distributed digitally. Consumers are investing greater more in automatic purchasing and programmatic assurances because they provide significant savings and the ability to use analytics to reach particular markets and audiences. 

Final Thoughts

So, what is next for TV advertising? Though we cannot see into the future, one thing is clear – the future of TV advertising is digital.