DJ Agahi, Managing Director of EMEA at Sabio, unpacks evidence to show why it’s time to embrace ad opportunities in the connected TV space
Having immersed myself in the UK advertising scene for nearly three years, it's evident that Connected TV (CTV) is redefining how brands and agencies approach their strategies. Beyond mere reach, CTV emphasises relevance, impact and measurable performance. For those deeply entrenched in media, CTV offers the unique advantage of combining premium, brand-safe environments with data-driven precision.
However, pertinent questions persist: Can CTV deliver tangible ROI? Is it scalable? How does it address brand safety concerns? The answer is affirmative - provided we harness its capabilities effectively.
Localisation: The cornerstone of CTV's UK triumph
Traditional TV advertising often casts a wide net, lacking the finesse to target specific demographics. CTV revolutionises this approach. Through hyper-local targeting, brands can engage distinct UK communities down to the postcode level. Whether it's a retailer promoting regional deals or a national brand customising content for Scotland, Wales, or Northern England, CTV offers unparalleled precision. This is crucial in the UK, where cultural nuances and consumer behaviors vary significantly across regions.
Moreover, CTV enables brands to tailor messages based on viewing habits, device preferences, and contextual relevance, moving beyond generic mass communication. IAB UK reports that 66% of UK households now stream via CTV devices, with platforms like ITVX and All4 experiencing rapid growth. This shift signifies a fundamental change in UK content consumption patterns.
From Awareness to Action: CTV's performance potential
Historically, CTV was perceived primarily as a branding tool. Today, it stands as a robust channel for driving measurable actions. Brands can now monitor CTV campaigns in real-time, utilising pixels, cross-device tracking, and interactive ad formats to gauge engagement and conversions. The integration of QR codes, second-screen experiences, and dynamic call-to-actions transforms passive viewers into active participants.
IAB UK’s 2024 Adspend data highlights a 21% surge in CTV advertising investment over the past year, underscoring its growing recognition as a performance-driven medium. Furthermore, a study by PwC reveals that CTV campaigns incorporating interactive elements achieve up to three times higher engagement rates than traditional linear TV ads. This evolution in attribution models positions CTV as an integral component in multi-touch conversion paths, extending beyond mere brand awareness.
Brand Safety: Ensuring trust in the CTV ecosystem
In the digital advertising realm, brand safety remains paramount. CTV offers a controlled environment, but vigilance is essential. Research by DoubleVerify indicates that CTV inventory is 98% viewable and 99% fraud-free, reinforcing its reputation as a brand-safe environment.
Additionally, its studies show that CTV campaigns drive 3.5x higher brand recall compared to standard digital video ads, highlighting its effectiveness for both awareness and performance-driven goals. This underscores the necessity for brands to ensure their ads are placed in suitable contexts.
While CTV provides premium inventory, challenges persist. IAB Europe emphasises the need for industry-wide collaboration to establish shared standards and enhance transparency, ensuring advertisers can trust the environments where their messages appear.
Compelling reasons for UK brands to embrace CTV
The UK's media landscape is rapidly evolving. With traditional TV viewership declining and streaming platforms on the rise, CTV emerges as the new prime avenue. Here's why brands should prioritise CTV:
- Elevated engagement: CTV viewers actively select their content, leading to heightened engagement and receptivity to advertisements
- Enhanced ROI through precise targeting: Data-driven insights allow brands to fine-tune campaigns, ensuring each ad impression resonates
- Adaptation to a cookieless future: As the industry shifts away from cookies, CTV's reliance on first-party data and contextual targeting becomes invaluable for performance-oriented brands
- Synergy with search and social channels: Research from Accenture indicates that CTV ad exposure boosts branded search activity by 20-30%, highlighting its role in integrated marketing strategies
- Scalable programmatic innovations: Advances in programmatic CTV inventory offer improved transparency and automation, enabling brands to scale their efforts efficiently
Concluding Thoughts: Seizing the CTV opportunity
CTV is no longer a prospect for the future; it's a present-day reality. Brands that hesitate risk falling behind, while proactive adopters stand to gain from its precision, performance, and expansive reach.
For professionals engaging with brands and agencies, the message is unequivocal: CTV transcends traditional awareness roles to function as a comprehensive, full-funnel powerhouse. Whether aiming for reach, engagement, or direct conversions, CTV delivers.
As highlighted by Campaign UK, CTV is swiftly becoming the preferred channel for advertisers seeking measurable, brand-safe environments with high audience engagement. The moment to act is now.
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Posted on: Wednesday 12 March 2025