As CTV Further Evolves for Both Consumers and Advertisers, Here are 3 Trends to Watch for in 2024
The dramatic transformation of the role CTV plays in our daily lives is one of the key consumer trends of our time. According to ComScore’s annual State of Streaming Report, there has been a 21% increase in the number of CTV hours per household watched. This has skyrocketed by almost two billion in 2023 and is predicted to continue its rise through 2024.
Similar to how smartphones transformed how marketers could directly reach consumers, CTV continues to evolve into a new channel of advertising as it revolutionizes the landscape of digital marketing and consumer engagement.
With the rate of change only accelerating and the viewing capabilities of the CTV ecosystem expanding, it is a major challenge for marketers to keep track of the constant change in consumer behavior. Generally, being able to adapt to this change and having the measurement tools in place to figure out what is working and what not will be crucial for advertisers. As we head into the new year, here are three trends I believe will impact the industry in 2024.
The fusion of content and commerce will redefine the viewer experience
Retail media will become a pivotal part of the future of advertising as consumers can make purchases directly off their TV screens. Perhaps one of the most obvious examples, cooking programs could seamlessly integrate with grocery delivery apps, allowing viewers to purchase ingredients straight off their screen to their doorstep. Sport aficionados will start to buy merchandise, while watching matches of their favorite teams on the big screen.
CTV will become the household’s central digital hub
In 2024 we’ll see CTV offering a transformative user experience that transcends traditional boundaries. Just as the smartphone revolutionized what can be done using a phone, the digitization of TV will do the same for television. CTV has the capability to transform the TV from a device for watching content to the central digital hub in every household. The convergence of stationary and social will not only elevate user engagement but also create more robust opportunities for advertisers to connect to consumers with many different interests.
Embracing sophisticated approaches to measurability will be crucial for standing out as a streaming service
FAST channels that want to be taken seriously by advertisers need to stand out with measurability. A move toward more advanced measurability will likely drive a standardization within the industry to ensure that metrics are comparable across different platforms and campaigns.
Brands and companies will increasingly move beyond simplistic attribution models and adopt multi-touch/cross-platform models to consider the full customer journey and understand how different interactions contribute to conversions and LTV.
As CTV continues to evolve and grow, there are challenges and pain points the industry must address and work through. Few, however, doubt the opportunities that lie ahead, or its tremendous potential for delivering ROI to businesses and offering an engaging experience to the consumer.
Gijsbert Pols, PhD, is Director of Connected TV & New Channels for Adjust.
[Editor's note: This is a contributed article from Adjust. Streaming Media accepts vendor bylines based solely on their value to our readers.]
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