15+ Connected TV stats that will impress your boss
Linear TV had its heyday, but now major streaming brands like Hulu, Netflix, and Disney+ are upending the world of traditional TV advertising — and it’s probably for the better.
And this major media disruption means there are some impressive stats on CTV advertising. Here are a few numbers that you (and your boss) should know.
(As much as possible, we went right to the original research for these connected TV stats — so you can be confident they’re legit.)
How big is the CTV audience?
CTV viewership statistics are particularly impressive. According to a 2022 survey conducted by Leichtman Research Group, 87% of US adults own at least one connected TV, and almost half of US adults watch a connected TV daily.
eMarketer’s Insider Intelligence report tells us CTV advertising is the fastest growing digital channel. And there is no sign of slowing in the growth of digital audiences. The majority — 79% of households — are spending at least the same (or more) on streaming content compared to 2021.
And all of those connected TVs and streaming hours are adding up.
For the first time ever, Nielsen reports that Americans now watch more TV from streaming services than either broadcast or cable TV. For the month of July 2022, TV streaming in American households represented a record 34.8% share of total consumption, while cable and broadcast came in at 34.4% and 21.6%.
CTV audiences draw marketing dollars
Globally, marketing departments are drawn to the allure of data-driven ad targeting that promises to solve age-old ROI problems. Both in the US and UK, among many other developed countries, marketing budgets are shifting to CTV as the next big thing.
It won’t be long until the market is saturated on both sides so getting in now can help media brands get a foothold and retain a bigger share of the cash that’s coming in.
Here is a quick look at how fast things are changing.
Globally, CTV advertising holds 17% of total media marketing ad-spend.
81% of marketers around the world report planned increases in CTV advertising budgets.
In the US, CTV advertising accounts for 22% of total ad spend.
78% of US marketers plan to continue to invest more in CTV.
90% of marketers in the UK plan to increase CTV ad spending.
CTV advertising solves common marketing challenges
CTV advertising brings many benefits beyond the sizable viewership.
Ask just about anyone who has entered the CTV advertising arena, and you’ll find the pull to this new market comes down to good marketing sense. Media research firm CoLab Media Consulting found that more marketers are investing in CTV advertising because:
46% say it offers advanced audience targeting opportunities.
45% say CTV advertising improves ad spend efficiency.
43% say it’s proven to drive higher ad conversions.
Prime time hours have shifted with consumer behaviors
For linear media programming, prime time viewership has always been an evening lineup between 6 pm and 10 pm. This means that optimal (and generally most expensive) ad placements occurred during prime time viewing hours.
But that’s not necessarily a given with the shift in the traditional workday, which affords modern households a bit more flexibility.
According to Gartner's research, the timing of ad placement on CTV channels may be changing as well. By 2023, the volume of ad impressions on TV and streaming media channels that occur between 9 am, and 5 pm is expected to grow by 60%.
Ad fraud is preventable—but is costing advertisers billions
Wherever there is money, there is someone trying to exploit it — and that means that CTV advertising is not immune to the potential for ad fraud.
To put the risk of ad fraud in numbers, Juniper Research estimates that it will cost companies $68 billion collectively in 2022.
Ad fraud is up as much as 161%, highlighting that companies are smart to consider what safety features a platform provides. It also means that media companies are on the hook to build secure technology environments that will protect their clients from frivolous losses.
It’s a big problem, but there is a solution.
The Trustworthy Accountability Group (TAG) launched a program to directly combat ad fraud in 2016. To date, 148 companies have achieved TAG certification and according to a 2020 benchmarking survey, have experienced a 90% reduction in ad fraud.
Final thoughts on notable CTV advertising statistics
When it comes to high-impact digital marketing channels in 2022, connected TV advertising is getting the lion’s share of marketing attention.
Globally, the large majority of marketers are spending more on CTV advertising campaigns with the hopes of taking advantage of better conversion rates and ad spend efficiency. If you’re only offering linear TV advertising, now is the time to strategically add CTV advertising to the mix.