This comprehensive guide on streaming video advertising is here to help modern marketers.
Streaming video advertising is a vital channel for brands looking to connect with customers in the digital age
In the ever-evolving landscape of digital marketing, the prominence of streaming video advertising has emerged as a transformative force. With a seismic shift in consumer behavior toward on-demand content through streaming services, marketers are presented with an unprecedented opportunity to engage with their target audience in a dynamic and measurable way.
This article delves into the crucial role of streaming video advertising for digital marketers, and the advantages it offers. From precise audience targeting to the ability to measure key metrics and optimize campaigns, streaming advertising stands as a powerful conduit for brands to not only reach their desired viewers but also to create personalized and impactful connections.
As the marketing industry undergoes continual innovation, understanding and harnessing the potential of streaming video advertising is no longer just an option but an imperative for those seeking to thrive in the digital era.
Defining Free Ad-Supported Streaming Television (FAST)
The era of streaming presents a myriad of entertainment options, ranging from subscription-based platforms to video-on-demand services. A rising trend in this landscape is Free Ad-Supported Streaming Television (FAST), offering diverse content without subscription fees. Leading platforms like Samsung TV Plus and IMDb TV provide ad-supported content, bridging the gap between traditional linear programming and modern on-demand streaming. Registration is usually unnecessary, and viewers can enjoy a continuous stream of varied content hassle-free.
FAST's appeal lies in its accessibility, cost-effectiveness, and the absence of mandatory registrations. Major media players, including Warner Bros. and Amazon Freevee, have entered this space, expanding the content library. FAST's counterpart, Advertising Video-On-Demand (AVOD), offers flexible on-demand content but lacks the linear programming experience.
The remarkable growth of FAST, with 58% of viewers engaging in Free Ad-Supported TV in 2022, is attributed to its ad-supported model, providing cost-effective alternatives. The familiarity of linear programming enhances the viewing experience, attracting audiences and benefiting over-the-top (OTT) providers. Advertisers also capitalize on the opportunity to reach a large and engaged audience, making FAST a significant player in the evolving streaming landscape. The sector is anticipated to achieve a revenue of $7.2 billion in 2023, solidifying its place in the streaming industry.
Read more in our explainer, “What is Free Ad-Supported Streaming Television (FAST)?”
Best FAST Services
FAST services, including popular ones like Tubi, Plex, Vudu, Amazon Freevee (formerly IMDb TV), and The Roku Channel, offer viewers a vast array of content without requiring a paid subscription. Supported by ads, these platforms have seen significant growth, with millions of active users opting for the ad-supported model.
Tubi, owned by Fox, stands out with its extensive library of over 200,000 movies and TV shows, attracting 74 million monthly active users. Notably, Tubi's commitment to original programming sets it apart, providing users with exclusive content. Plex, another player in the FAST space, offers a diverse range of on-demand content, including over 300 free TV channels and live sports from Fubo Sports Network, accessible on various devices.
Vudu, owned by Fandango, simplifies access to ad-supported content through well-organized categorization. Amazon Freevee (formerly IMDb TV), boasts an extensive collection of popular movies and original shows, compatible with various smart TVs and streaming devices. The Roku Channel, a widely accessible ad-supported service with over 80,000 movies and TV shows, offers exclusive content, though some users note concerns about inconsistent video quality. Despite this, The Roku Channel's inclusion of live news channels adds value to the overall streaming experience.
Go more in-depth with our article, “The 5 Best Free Ad-Supported Streaming Television Services.”
Streaming Video Advertising Companies
As viewers increasingly turn to streaming services and connected TV devices, companies offering streaming video advertising provide a potent means of delivering interactive and personalized video ads. Notable among these are:
- YouTube: Boasting over two billion monthly users, YouTube is a major player in the OTT landscape. It offers diverse advertising options, including display ads alongside video content, overlay ads with relevant information, skippable video ads, and non-skippable video ads for maximum exposure. Advertisers can tailor their approach based on specific marketing objectives.
- Hulu: With a user base of approximately 48.5 million subscribers, Hulu stands out with its mix of original and secondary content. Advertisers can leverage standard video ads during commercial breaks, interactive ads for a more immersive experience, and branded content integrations for seamless product integration into specific shows or episodes.
- TikTok: With over 1.7 billion users, TikTok provides a dynamic platform for advertising. Offering video ads seamlessly integrated into the "For You" feed, image ads for showcasing products, and carousel ads for displaying multiple images or videos in a single unit, TikTok allows businesses to effectively capture the attention of their target audience.
These streaming advertising companies provide diverse options to cater to different marketing goals, offering businesses the means to engage audiences and enhance brand visibility in the competitive streaming landscape.
Dig into each company’s offerings by reading “The 4 Best Streaming Advertising Companies.”
The Benefits of FAST
Platforms like Netflix, Hulu, and Amazon Prime Video offer advertisers a cost-effective way to connect directly with target audiences. The benefits of streaming video advertising include programmatic targeting and leveraging data on user preferences for precise campaigns. The digital nature of streaming TV allows for detailed analytics on metrics such as reach and engagement, facilitating continuous optimization.
Full-funnel retargeting is a unique advantage, enabling tailored messages at different customer journey stages. Streaming TV advertising is cost-effective for businesses of all sizes, democratizing advertising opportunities. Best practices for streaming service ads emphasize targeting the right audience through data leverage, customizing ad creatives for engagement, establishing a consistent storyline, creating emotional appeal, including a direct call to action, and keeping ads short.
Advanced measurement and analytics capabilities enable real-time tracking and optimization. Incorporating a cross-channel strategy enhances brand visibility and reinforces messages across platforms for a seamless viewer experience. By following these practices, businesses can harness the potential of streaming TV advertising to efficiently achieve marketing goals.
Be prepared to launch your FAST marketing strategy with “Streaming Service Ads: What Marketers Need to Get Started.”
How to Advertise on Streaming
Streaming TV advertising has revolutionized marketing, providing advertisers with a precise and measurable means to connect with their target audience. As consumers increasingly choose streaming services over traditional cable, advertisers leverage the direct delivery of ads to consumers on mobile and streaming devices. To enhance effectiveness, brands focus on targeting and relevance, utilizing data and advanced targeting capabilities to tailor personalized messages based on demographics, viewing history, and consumer behavior. This approach increases ad engagement, fostering a connection with viewers and boosting brand recall and loyalty.
Building lookalike and propensity models is crucial, allowing advertisers to target audiences effectively and measure incremental performance. Small-scale testing and iteration before scaling up are instrumental in optimizing campaign performance, refining targeting, and enhancing ad impact. Key metrics, including reach, frequency, click-through rate (CTR), view-through rate (VTR), return on ad spend (ROAS), and cost per acquisition (CPA), provide insights into campaign effectiveness and ROI. Collecting attribution data measures the direct impact of ads on driving desired actions.
Utilizing data-driven insights, advertisers optimize streaming TV advertising campaigns by analyzing demographic information, interests, and behaviors. Constant monitoring and analysis of key metrics enable informed decision-making, ensuring targeted and impactful advertising efforts.
Get practical advice and build your knowledge with our article, “How to Advertise on Streaming Services.”
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