Understanding the transformative impact of programmatic advertising, especially in the realm of Connected TV (CTV), is pivotal for both national and local advertisers.
Historically, linear TV advertising has posed considerable challenges for smaller local businesses due to various factors.
Firstly, the creation of high-quality, engaging advertising content has traditionally been quite expensive for businesses/local advertisers. However, in the contemporary landscape, accessible and cost-effective solutions have emerged, enabling small businesses to procure compelling creatives without straining their financial resources.
Secondly, the precision of targeting a specific/granular audience in traditional TV advertising was hardly there, if at all. Local advertisers seeking to reach their most pertinent audiences were constrained by having to advertise across entire cable zones, even if they knew their ideal customer base resided within a select few zip codes. The advent of CTV with programmatic has revolutionized this landscape and has made it possible for these advertisers to reach their ideal audience(s) at the household level.
For instance, consider a luxury car dealership that wants to exclusively serve ads to households within a certain income bracket, or a local retail store wanting to market specifically to households with children within a certain proximity to their store. Such granular targeting is now within reach, allowing small local advertisers to run highly effective campaigns without exceeding their budgets.
However, especially considering all of these capabilities, CTV advertising isn’t remaining confined to smaller/local players; national advertisers have also quickly embraced the opportunities presented by CTV targeting. Automation has revolutionized their capacity to execute campaigns that are not only site-specific but also individualized.
Imagine a large grocery chain with a multitude of outlets, each in need of their own unique advertising content, budgets, and performance measurement. This level of localization and customization even within a larger scale grocery store/chain is now possible, providing invaluable insights into the performance of each establishment.
This convergence of precision targeting and sophisticated measurement deep-rooted into programmatic CTV advertising, combined with automation, has ushered in a new era of equitable access to the vast potential of TV advertising for companies of all scales. This trend signifies a noteworthy shift in the industry, promising to redefine the parameters of TV advertising accessibility and efficacy. By presenting and taking advantage of the power of CTV, it is poised to expand and enhance the entire TV advertising landscape for local advertisers and larger advertisers alike.
As this trend continues within programmatic advertising, we anticipate seeing more businesses, no matter their size, embracing the precision and efficiency of CTV to leverage its considerable potential.