5 reasons for Choosing Connected TV’s Dynamic Advertising Solutions

Against the backdrop of a tough economic climate, one undoubted bright spot for the advertising industry has been the rapid expansion of Connected TV (CTV).

With the US having led the way, there are clear signs that Europe’s major economies are now following suit. In the UK, one of the world’s most advanced CTV markets, the Interactive Advertising Bureau (IAB) predicts a rise in CTV ad revenues from £1.17bn in 2021 to £2.31bn in 2026 (up 97%). A similar trajectory is evident in Europe, notably in France, Germany, Italy, Spain and the Nordics. IAB Europe, citing Statista, said Europe enjoyed a 56% rise in CTV ad spend during 2021, followed by 35% last year. 

 CTV’s appeal as an advertising medium is the result of several factors. But arguably the most significant is that it combines the power of the big screen with the unique capabilities of digital media – namely measurability, targeting and responsiveness. 

With TV advertising no longer just about building brand fame, a much broader pool of brands and their agencies have been drawn to the medium. As such, it’s no surprise to see ad industry leaders like YouTube pitching their CTV proposition so aggressively. 

As an early pioneer in the global CTV market, Rakuten Advertising has developed extensive experience and expertise in the medium’s capabilities as a performance-based ad platform.  

 Working with a range of cutting edge industry partners, Rakuten Advertising is simplifying client-side access to CTV inventory, addressing concerns about ‘brand safety’ and developing a range of bespoke brand-centric solutions. In partnership with industry leader Innovid, Rakuten Advertising has created an innovative ad format that maximises the ROI and efficiency of CTV ad expenditure. Here are the five key features currently being embraced by clients across Europe. 

Geo-location:

Rakuten Advertising offers clients a CTV ad solution that enables brands to target customers with laser-like accuracy. This capability was illustrated in a recent campaign for pan-European gym chain Basic-Fit. Having opened 500 clubs in France, the company wanted to launch a national campaign to increase awareness and membership. But it also wanted to create a specific message for 15 clubs. Working with Basic-Fit agency Havas City and Havas Programmatic Hub, Rakuten Advertising facilitated a geo-targeted campaign that ran in parallel with the main campaign. Havas praised the “flexibility of the geo-location targeting”, which allowed the agency to “maximise the impact” it achieved for the client. 

Personalisation:

Geo-location targeting only scratches the surface of what’s possible utilising Rakuten Advertising’s CTV ad format. It is also possible to introduce ‘skins’ or overlays to the commercial message. As such, clients can enhance the core brand-led creative with tactical messaging that increases purchasing intent. This could, for example, be targeted promotions or unmissable offers. Combined with CTV’s geo-targeting capability, it becomes possible to incentivise customers to visit retail outlets, leisure centres, car dealerships and more – right down to street level.  

Time sensitivity:

CTV-based advertising campaigns can also be used to inspire viewers to act at a specific time. A predicted heatwave or a shift in interest rates are the kind of macro triggers that could be used to shape consumer behaviour. At a more granular level, Rakuten Advertising’s CTV solution makes it possible to serve ads at the best possible time of day to drive action. A streaming platform, for example, might offer a discounted subscription rate just a few hours before the launch of a hotly-anticipated series. Or a fast food chain might launch a breakfast promotion just as target audiences are leaving for work. The impact of time sensitive ads can be further amplified by the power of contextual advertising – which allows brands to pick up on cues from audiences based on their real-time media usage patterns. 

Interactivity:

Having created the conditions for personalised engagement, an exciting aspect of CTV advertising is the ability to trigger interactive engagement through the use of mechanics such as QR codes. Pre-Covid, QR codes hadn’t really captured the public’s interest, but the pandemic has changed that – so that they are now widely used as a gateway to additional information and transactions. In a recent campaign, Kia used Rakuten Advertising’s QR code based solution to provide extra information about the Kia Nero EV’s performance. The result was above average engagement rates and increased perception of Kia as an innovator. Key metrics included a 100% increase in reach and viewability, a 12% rise in ad recall and a 27% spike in completion rate. This is just the start. As CTV accelerates towards becoming a ‘shoppable’ medium, a growing number of clients are exploring the potential to close the circle – by linking a real-time transactional dimension to their personalised and geo-targeted campaigns.  

Dual impact:

CTV advertising combines the mass awareness capabilities of the big screen with the precision of digital-first data analytics and the rich engagement that comes from working a dynamic, interactive platform. It allows brands to deepen their relationship with consumers while enjoying traditional TV’s brand-building benefits.  

Wrap Up 

 As CTV’s editorial content, ad innovation and tech architecture continues to evolve, the kind of performance-based ecosystem offered by Rakuten Advertising and its partners will consolidate CTV’s status as the ad industry’s go-to solution.