With a rapidly growing viewership, it is no surprise to see an increasing number of brands opting to advertise on OTT platforms. They have changed the way the world consumes content. In India alone, there was a consumption of 204 billion minutes of OTT content in 2021. And this new way of providing media content brings new challenges and opportunities.
Within this new TV revolution, let’s see how brands can stay ahead of the game and constantly deliver unique experiences to engage consumers:
OTT Advertising- the Digital Revolution
Before we get into the details, it is important to understand what is OTT advertising and how is it helping marketers. The rising popularity of OTT media globally has opened up opportunities for brands to reach out to their audiences in much more creative ways. By adding precision targeting, geographical and demographic selection to the advertiser’s arsenal, OTTs have enabled advertisers to create unique promotional content that is personalised and delivered to viewers’ televisions while they are watching the same broadcast. With targeted ad delivery systems, user profiling, and AI-enabled technologies, marketers also have more control over quality and where the brand is being positioned.
Adding OTT to Marketing Mix
The entertainment landscape is rapidly moving beyond cable networks as the audiences are increasing their sway towards video on demand platforms. The OTT ecosystem has been becoming increasingly attractive from an advertising and marketing standpoint over the last few years, with the marketing community placing large bets on how they spend and connect with these platforms, pushing beyond the traditional ads. Taking advantage of the changing landscape and opportunities for growth, media companies and OTT advertising agencies, continue to innovate to guarantee that brands get the highest return on their investment.
When it comes to the different types of streaming services available to viewers, there are two different types of video on demand supported platforms:
Subscription Video-on-Demand (SVOD)
The service is subscription-based and allows for OTT content, although it is not ad-supported. Users pay a monthly fee in exchange for the ability to watch commercial-free programming. Netflix, Disney+Hotstar, and Amazon Prime Video are examples of SVOD services.
Ad-Supported Video-on Demand (AVOD)
People can watch content for free via streaming applications and/or websites, but they will see adverts inside the programmes they are watching. Home-grown OTT AVOD players like SonyLiv, Zee5, AltBalaji and Voot have shown a rise in viewership, increasing the appeal of advertising on the platforms.
Growing your Brand with OTT Advertising
OTT ads have the ability to reach a much larger number of people who share common interests. While traditional advertising methods are still effective, these platforms allow marketers to precisely target their intended audience with data-driven, personalised advertisements that are expected to provide 5 to 8 times more return on investment in comparison to generic advertisements. With precision targeting, OTT marketing strategies can also help brands stretch their marketing budget even farther and cut down on wastage. They increase the chances of your adverts being seen solely by those who are likely to be interested.
OTT Advertising in Action
With effective product placement and brand integration, OTT platforms enable businesses to showcase their products and services and complete the purchase cycle. One of the finest example of Tata Tea Gold’s tie up with Prime Video’s Shakuntala Devi. The aim was to drive brand recall and advocate the brand proposition #DilKiSuno through the story. Similarly, Center Fresh collaborated with Prime Video’s Bandish Bandits to create video commercials with the show’s lead casts. Adding to the list of examples, Nykaa, India’s first women-led unicorn, partnered with Netflix’s women-centred stories for their ‘Beauty in her Story’ campaign.
The world is rapidly moving towards digital transformation and it is time for your organisation to also move along. To conclude, you have unceasing opportunities knocking at your door if you choose to leverage OTT Media for Digital Advertising. If you are somehow apprehensive or confused about how to take things forward, let #ARM assist you towards an entertaining and engaging future ahead!