On average, Americans spend around five hours per day watching TV. That is longer than half the usual workday. Video now plays an even more significant role in our daily lives than ever before. As technology becomes even more advanced all the time, we are learning about brand new ways to discover and enjoy new entertainment.
The advertising industry is taking note of this phenomenon and are making adjustments to stay afloat. While broadcast television was once the most popular choice for displaying ads and sharing them with the masses, today thanks to streaming TV services, that is no longer the case. It is important for us to share this quick guide to connected TV so you can be informed.
More people are using connected TV devices than watching broadcast or cable TV. It is a much more affordable option than satellite or cable for most households. And one of the best parts about cutting the cord is that there are limited commercials, if there are any at all.
But what does that mean for the advertising industry? It means that they have to adjust to the changing times and begin showing ads on CTV devices and platforms instead of relying on linear TV advertising options.
What is Connected TV?
Connected TV has been called the future of video advertising. In simpler terms, it is a TV that is connected to the internet. This can include Smart TV’s that have Wi-Fi capabilities built-in, or a variety of devices that you can stream content from. These devices allow users to watch their favorite movies and TV shows online, with minimal or no commercial interruptions to deal with.
A smart TV is a television that features built-in digital capabilities. This allows the TV to connect to the internet and the user to surf and access various types of streaming videos, all by using pre-installed applications. Nearly 16% of homes in the United States have at least one Smart TV in their household.
What are Common Connected TV Devices?
You may already be familiar with connected TV devices even if you don’t know what CTV advertising is. Roku boxes, Amazon Fire sticks, TiVo DVRs, and gaming consoles that allow you to stream content are all CTV devices.
Over the Top and Set Top Boxes are another popular option for those interested in owning a CTV device. These devices can be connected to a Smart TV or a regular TV and provide it with smart capabilities. Some popular OTT devices include Apple TV and Google Chromecast.