As TV viewing shifts toward AVOD and FAST channels, more advertising opportunities are available on CTV, including shoppable ads. According to LG Ad Solutions, 66% of CTV viewers have seen an ad with a QR code – and they like it.

LG’s research was conducted this past December and shows that nine in 10 consumers use an internet-connected TV, with 78% of CTV users regularly viewing FAST channels. In fact, 59% say they prefer free-streaming with ads over paid streaming services. The ads that air on AVOD channels are influencing the shopping decisions of 81% of CTV users, with 63% saying they discover new brands and products through TV ads, and 47% making a purchase after seeing an ad in the last three months.

Although a relatively new format, shoppable ads are already making an impact, according to LG. The research found that 70% of CTV users like TV ads with QR codes, especially if it includes a discount. Nearly half of survey participants (49%) say they scan a QR code specifically to get a discount code. Additionally, 62% say they would scan a code in an ad if exposed to it, 48% have scanned at least one, and 38% are likely to make a purchase after scanning a code on a TV ad. The top categories of QR ads scanned are clothing, electronics, automotive, appliances and grocery/consumer goods.

CTV users are purchasing products seen in TV ads but are primarily making the purchases via mobile, as 71% of CTV users are always holding their phones while watching TV. Their purchase methods after seeing an ad on TV in the past three months vary, with 56% using their mobile phone, 45% a laptop or desktop, 31% in-store, 31% by tablet, and 29% directly via connected TV.

A little more than half (51%) of those surveyed want to be able to shop directly through their TV. In addition, 53% wish all TV ads had a quick buy option and 63% would like to see store or brand inventory on their TV. Relevance is the main motivation behind scanning or purchasing after seeing a TV ad, highlighting the importance of accurate audience targeting.

To get consumers to respond to shoppable ads, brands need to overcome the reasons why they don’t scan QR codes – such as they’re not interested in the product (70%); the ad didn’t appear for long enough (21%); their phone or tablet was out of reach (13%); they don’t know how to scan (10%); and the ad didn’t include a discount code or offer (8%).