• Tom Lewis

What is an OTT Campaign and Why Do I Need It?



What’s an OTT campaign, and why are marketers talking about it all of a sudden?


Some people think that OTT is just another way to say "streaming video," while others think it's just a buzzword that ad companies use to sell their services.


Let's clear things up! In this article, we'll explain what an OTT campaign is and how you can get started with one.


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OTT Campaign Definition


If you're not familiar with OTT, here's a quick rundown:


OTT stands for Over-The-Top content. It refers to video content that is delivered via the internet instead of through traditional cable or satellite providers.


In short, OTT advertising is a form of digital advertising that allows businesses to reach consumers directly through their televisions. This can be done in one of two ways:

  1. Platforms like Hulu and YouTube stream video content over the internet, allowing you to watch shows or movies on your home television.

  2. With the help of an OTT-enabled set-top box (STB), users are able to access these same services without needing a computer or smartphone. This makes it easy for TV viewers to discover new content whenever and wherever they want!

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OTT vs. Traditional Television Advertising


Okay, so what’s the difference between an OTT ad and the regular TV ads we’ve had to endure our entire lives?


Because OTT is delivered online, it gives advertisers access to a younger audience that they wouldn't be able to reach through television alone. This can be especially appealing if you have an audience with an interest in niche topics (like cooking shows or documentaries).


Being able to inject your ads on these specific videos helps your company target people who are more engaged— and more likely to spend time actually watching your ads.


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How to get started with an OTT ad campaign


To be successful with an OTT ad campaign, you need to know your target audience, your product/service, and your budget. You also need to have goals for the campaign, as well as a clear understanding of what competition you're up against in the market.

Here are some basic things to think about:

  • What is the ad format? This could be anything from pre-roll video ads (which play before another video), post-roll video ads (which play after another video), interactive overlays that appear on top of other videos or even banner ads at the bottom of a screen.

  • Where will these ads be placed? If it's through Facebook or Instagram, then they'll show up in feeds based on user behavior and interests—but if you want them displayed on other websites or apps specifically designed for watching content online (like Hulu), then they'll be shown there instead.

  • How much money do we have available per day? This will affect how many impressions (or “impressions”) each dollar spent can buy us. So, if we're spending $10 per day but only getting 2 clicks out of it because our competitors are spending more than us across all their platforms combined… it might not make sense financially long term!

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How an OTT Ad will Make You Money


If you’re wondering how an OTT ad will make you money, the answer is simple: it all comes down to reaching your audience.


By using OTT ads, targeting specific audiences, and securing coveted time slots, businesses can build brand awareness and loyalty while simultaneously increasing sales.


Why OTT Campaigns are Important


A growing number of people are watching streaming content, and that means more opportunities to advertise.


OTT advertising is an effective way to reach a younger audience. According to a 2019 study by eMarketer, the average age of Netflix subscribers is 41 while the average age of Hulu subscribers is 42. The same report also found that 50 percent of all OTT viewers are between the ages of 18 and 49, while only 13 percent are over 60 years old.


It's also a great way to reach more affluent consumers: an estimated 70 percent have household incomes above $75,000 per year according to Nielsen's 2019 Total Audience Report.


Conclusion


OTT advertising is a great way to reach your audience and make them aware of your brand. In just a few short years, OTT has become such a big player in the advertising industry that revenue in the OTT Video segment is projected to reach US$281.70bn in 2022.


And as more people continue to cut cable or switch from traditional television viewing to streaming content online, this number will only increase in size.


Are you thinking about showcasing your company on streaming platforms like Hulu or YouTube? Contact us to talk about your OTT ad campaign ideas!


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