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Connected TV
and how it works

Connected TV advertising, often abbreviated as CTV, is a revolutionary digital marketing strategy that has gained immense popularity in recent years. As the digital landscape continues to evolve, understanding what CTV advertising is and how it works is essential for businesses looking to tap into this lucrative advertising channel. In this comprehensive guide, we'll delve deep into the world of Connected TV advertising, providing you with a detailed understanding of its mechanisms, benefits, and how it can be harnessed for your brand's success.

What is Connected TV Advertising?

Connected TV advertising, often abbreviated as CTV, is a revolutionary digital marketing strategy that has gained immense popularity in recent years. As the digital landscape continues to evolve, understanding what CTV advertising is and how it works is essential for businesses looking to tap into this lucrative advertising channel. In this comprehensive guide, we'll delve deep into the world of Connected TV advertising, providing you with a detailed understanding of its mechanisms, benefits, and how it can be harnessed for your brand's success.

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How does Connected TV Advertising work?

Connected TV advertising operates through a series of intricate processes that ensure seamless delivery and engagement.

Here's a step-by-step breakdown of how CTV advertising works

Content Delivery:

CTV ads are served through streaming platforms, apps, and devices such as Smart TVs, gaming consoles, and streaming sticks. Advertisers collaborate with publishers or ad networks to display their video content on these platforms.

A person deciding on which content to conume on their connected tv
couple in living room as the audience for their connected tv

Audience Targeting:

One of the key advantages of CTV advertising is its ability to target specific audiences. Advertisers use a combination of location, demographic, behavioural, and contextual data to reach their intended viewers. This ensures that ads are displayed to individuals who are more likely to be interested in the product or service being advertised.

Ad Insertion:

During streaming, ads are inserted into the content stream at predetermined intervals. These intervals may occur before, during, or after the main content, depending on the ad format and publisher's policies. Advertisers can choose from various ad formats, including pre-roll, mid-roll, and post-roll ads.

generic example of an ad running on Connected TV
analytics image to show the ad tracking and analytics possible for connected tv

Ad Tracking and Analytics:

CTV advertising platforms provide comprehensive analytics that allow advertisers to monitor the performance of their campaigns. Metrics such as impressions, clicks, view-through rates, and conversion tracking enable advertisers to assess the effectiveness of their ads and make data-driven optimizations.

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The Benefits of Connected TV Advertising

Connected TV advertising offers numerous advantages for businesses seeking to expand their reach and engage with their target audience effectively

Key benefits of Connected TV Advertising include:

Precise Targeting:

CTV allows advertisers to target specific demographics, interests, and behaviors, ensuring that ads are shown to the most relevant audience.

icons for the high quality content possible with connected tv

Real Time Analytics:

Advertisers can access real-time data to measure campaign performance and make immediate adjustments.

icons for the cross-device retargeting possible with connected tv
icons for the precise targeting possible with connected tv

High Quality Content:

CTV ads are often displayed alongside premium content, enhancing the viewer's overall experience.

icons for thReal Time Analytics possible with connected tv

Cross-Device Retargeting:

CTV advertising can be integrated with other digital marketing efforts, enabling cross-device retargeting for a cohesive brand presence

Exploring Connected TV Ad Types

Connected TV (CTV) advertising offers diverse ad types that cater to various campaign objectives. To make the most of CTV advertising efforts, it's crucial to understand the different ad types available and how they can benefit a brand's marketing campaign

Connected TV Ad Types:

Pre-Roll Ads:

Features:

Non-skippable

QR Code

Best Practices:

Short and sweet; typically 15 to 30 seconds.

Ensure a clear call to action (CTA) for viewers to engage

Use Cases:
Brand Awareness
Teaser Campaigns

In Detail:

In most cases, viewers cannot skip pre-roll ads, ensuring maximum exposure. This feature makes this ad-type ideal for brand awareness as they are effective for introducing a brand or product to the audience. It achieves this effectively by offering a sneak peek of upcoming product launches or promotions

Mid-Roll Ads:

Features:

Non-skippable

QR Code

Best Practices:

Keep short and to the point.

Ensure that the viewer's experience is not disrupted

Use Cases:
Product Placement

Message Reinforcement

In Detail:

Midroll ads are set to be more relevant to the content being viewed in an effort to drive a higher chance of recall and engagement through clear call to actions such as an on-screen QR code

Post-Roll Ads:

Features:

Non-skippable

QR Code

Best Practices:

Craft compelling & motivating CTAs.

Ensure the ad is relevant to the preceding content

Use Cases:

Lead Generation

Cross Promotion based on content watched

In Detail:

Post-roll ads often see higher engagement rates as viewers have completed the main content. Bundled with a clear call to action can lead to higher CTR

Overlay Ads:

Features:

Non-intrusive

High Visibility

Best Practices:

Visually appealing but not distracting design.

Ensure overlays are relevant to the viewer and content

Use Cases:

Provide non-intrusive info to viewers strategically

In Detail:

Overlay ads that play while content is being streamed making them the most non-intrusive form of advertising on Connected TV. However, this ad type only takes up a small portion of the screen and requires that the audience split their attention

Optional Companion Banner:

Use overlay ads in conjunction with video ads to reinforce messaging

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The shift to ad-supported streaming content in Canada

For decades, cable TV was the primary source of television entertainment in Canada. Canadians relied on cable subscriptions to access their favourite shows, news, and sports. However, with the advancements to high-speed internet, this era began to undergo a substantial transformation.

In 2020, more Canadians were staying home, cutting costs, and consuming more content than ever. This shift led the Canadian Radio-television and Telecommunications Commission (CRTC) to report a trend in the decline of cable TV subscribers in Canada that was fuelled by thousands of Canadians moving to free to stream ad-supported services. Platforms like Tubi, Crave (with its free tier), and CBC Gem, were among many services that experienced an increase in consumption. 

According to surveys conducted by eMarketer, Canadian viewers, especially among the younger demographic, led this change toward ad-supported free streaming services due to the cost savings, and extensive library of content, from classic shows to original programming, catering to diverse tastes.

Canadian advertisers took notice and were drawn to these platforms for their ability to reach a large and engaged audience, providing an alternative to traditional TV advertising. In turn, this new advertising channel provided advertisers with a new cost-efficient way to target specific demographics with tailored advertisements.

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The future of media consumption in Canada

The shift to ad-supported free internet streaming is expected to continue evolving in Canada. Fuelled by cost-effective viewing, diverse content catalogs, and advertisers' appeal; streaming platforms will continue to compete for viewership. And as audiences continue to grow, they can also anticipate an even more diverse range of content, improved ad targeting capabilities, and innovations in ad formats.


For advertiser's today, Connected TV advertising offers a versatile array of ad types, each with its own unique features and use cases. By understanding these ad types and their best practices, advertisers can tailor their CTV campaigns to achieve specific goals, whether it's increasing brand awareness, driving engagement, or prompting viewer action. As the digital advertising landscape continues to evolve, mastering these ad types is essential for staying ahead of the competition and maximizing the impact of your CTV advertising campaigns.

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The Alpha Konnect advantage:

Alpha Konnect brings a unique approach to advertisers in Canada who are looking to reach and engage specific target audiences on the largest screen at home. By working with best in class partners in the CTV advertising space, Alpha Konnect provides numerous advantages for businesses to harness the power of this digital advertising channel to meet marketing goals.

As the future of advertising continues to evolve, Alpha Konnect will continue to be present for brands in Canada looking to embrace CTV advertising.

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