Viewers are increasingly turning to connected TV for the convenience and flexibility of streaming their favourite shows and movies on smart TVs, laptops or mobile devices. The emergence of new ad-supported platforms has led to a shift in the TV landscape and new opportunities for advertisers.
In a new study, UM and MAGNA Media Trails explored how various ad formats can be used to increase the effectiveness of connected TV ad placements. The study is based on responses from over 3,000 Canadians on their experience watching traditional and emerging ads in the connected TV space. The study provides recommendations for brands to leverage when employing various ad formats to meet specific campaign objectives.
Deena Markus, UM’s senior director of integrated media investments, says, “Connected TV represents a fundamental change in how people consume video and TV content, and advertisers need to continue to adapt to the evolving viewing behaviour. With the right tools, strategies, and measurement in place, we’ve seen that brands can better harness the power of connected TV to connect with their customers in new and exciting ways, to ultimately, achieve their marketing goals.”
Some of the study’s findings reveal that brand message ads amplify messages and drive agreement with key metrics by 9% over traditional ads, particularly among viewers who are in the market to buy. Subscribe and save ads are best used for acquisition objectives. These ads highlight the product’s value and increase purchase intent by 10%. Among research participants, 82% noticed the feature when presented.
Effective formats include voice-activated ads that feature specific calls-to-action turn a passive experience into an actionable interactive one. They drive 18% greater impact on purchase intent and bring utility to connected TV ads, especially among younger audiences. In addition, 88% of Gen Z participants agreed that the feature made shopping easier, compared to 50% of baby boomers.
Product overlay ads, which highlight specific product lines with images and ratings, drive home messaging and educate consumers on where to purchase. The most effective way to use these ads is to combine the targeting capabilities of connected TV with product overlays to inform those with a strong propensity to buy.
Ads that include a QR code and a call-to-action were noticed by 52% of participants and scanned by 22%, with 57% of respondents agreeing that they are likely to scan a QR code for a product they want to purchase. These ads work best for low-consideration products that don’t require as much deliberation.
