Ad spend is following new consumer habits and will flow to OTT and CTV faster than expected.
Most media planners have by now realized that effective TV buys must consider CTV and OTT as many desired audiences are increasingly hard, if not impossible, to reach via traditional TV. The shift in budgets from linear to digital will kick into high gear over the next year. CTV advertising in particular will grow rapidly in the US and European markets, while mobile adoption in Asia will encourage increased OTT spend. 50% of advertisers. and 100% of agencies in the EMEA region cite CTV or addressable as the key growth areas for digital video through June 2021
Traditional TV is still over-invested: Brand advertising budgets have only begun to budge f rom traditional TV, even as viewership stalls and new channels like OTT and CTV see rapid growth. This mismatch between consumer behavior and budget allocation is overdue for a correction. Now that advertisers understand how to activate data for efficient audience targeting while still achieving scale in OTT, we’ll see more advertisers recalibrate their media plans towards digital.