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    Connected TV

    Connected TV Programmatic Ad Spend Surged 119% YoY in Q3

    Your destination for the latest CTV stats, trends, and insights

    Connected TV Programmatic Ad Spend Surged 119% YoY in Q3

    3 Min Read

    This year has seen an unprecedented rise in advertising on Connected TV, with more and more advertisers taking note of the growing number of viewers adopting this channel. According to eMarketer, the total OTT/CTV ad spend is expected to reach $8.1 billion in 2020 alone, and will rise to $18.3 billion by 2024. And new research from Pixalate has revealed Connected TV programmatic advertising spend increased 70% in 2020, with a 119% increase in Q3 as compared to the same time period in 2019. But this increase in ad spend is not necessarily surprising to the advertisers who have been paying attention. Viewers are not only spending more time at home in front of their TVs due to the pandemic, but are also more price-conscious and have been seeking alternatives to pricey cable subscriptions. As a result, the adoption of Connected TV devices in the United States has grown to 72% this year, up from 50% in Q4 of 2019. 

    The changing habits of TV viewers has certainly caught the attention of one group of advertisers. This year has seen a rise in the number of smaller direct-to-consumer brands who are adding Connected TV channels to their marketing mixes. According to Adweek, more than 1,200 DTC brands have started experimenting with CTV advertising options this year. We expect to see that number grow even higher as we enter the holiday season, when brands are eager to get the message out about their products and sales.

    Connected TV in the News

    State of Connected TV/OTT: Ad Supply Trends Report (Q3 2020)

    Pixalate  examines how the programmatic CTV marketplace changed from Q1 2020 to Q3 2020 during the global pandemic.

    Scrappy DTC Brands See TV as an Opportunity to Reach New Audiences in the Pandemic
    While many brands have been focused on cutting costs during the pandemic, a new generation of direct-to-consumer brands saw an opportunity to reach a captive audience via their televisions.

    HBO Max arrived on Amazon Fire TV after negotiations
    Business Insider
    We’ve seen a trend of D2C brands catching onto this new wave of marketing with CTV advertising, but bigger brands have been a bit slower to catch on. Here are a few reasons why big brands should consider adding Connected TV to their marketing mix.

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