Pay TV and Cable Lost 5.8M Subscribers in 2022
by Frankie Karrer
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Speak to a CTV Expert
Up or down, the economy is no match for CTV
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We’re heading into a recession–maybe? With the uncertainty around what moves the economy is going to make next, it can make Q4, an already stressful time for marketers, even more high-pressure. Luckily, Connected TV is a flexible performance marketing channel that allows advertisers to make the most of the season.
Oliver Embry, MNTN’s Director of Product Innovation, joined Retail Touchpoints, to discuss how to navigate the ups and downs for the remainder of the year. He shared MNTN’s first-party data from both the economic boom of last year’s Q4 and the downturn at the beginning of the pandemic in 2020. These two contrasting periods offer insights that marketers can arm themselves with while making their plans for this year.
Embry started by outlining why Connected TV was a saving grace during Q4. He noted that it can be quite stressful; not only is it busy, but most retailers have large sales goals during this key season. Whether advertisers are looking to engage with early shoppers or last-minute ones securing gift cards, Connected TV has the flexibility for marketers to change their creative messaging and easily manage their multiple initiatives.
“Now in this Connected TV world you’re really able to take the best of both worlds when it comes to leveraging a high-value, highly visible medium like television but at the same time you’re able to merge it with the best of the performance worlds,” Embry highlighted.
In terms of an economic boom, Embry took it back to last year’s Q4. “Shoppers that holiday season started even earlier,” he noted, sharing MNTN’s first-party site visit data. Rather than waiting until Black Friday and other traditional shopping days, consumers were aware that many retailers had limited supply chains and longer shipping times and they took action.
Advertisers can take advantage of these trends by launching earlier in the season. There is an added benefit beyond sharing holiday deals. “What that does is it allows campaigns to optimize over time. If you keep [CTV] as an always-on medium, these campaigns are optimizing against the audiences they’re connecting with,” Embry explained. CTV’s digital roots will auto-optimize campaigns over time, making long-term campaigns even more efficient than they were at the outset.
As for creative management, unlike linear TV, CTV makes it easy to manage messaging with uncertain supply chains. If supplies run low, or the final shipping date passes, advertisers can easily update their creative to promote their gift card offerings instead.
If the economy goes the other way, Embry still encourages brands to maintain their presence on CTV. He shared a quote from John Quelch and Katherine E. Jocz’s article “How to Market in a Downturn” in the Harvard Business Review: “Brands that are out of sight on the television screen will sooner or later be out of mind for a large percentage of consumers.” Retailers should keep this in mind when evaluating their Q4 budget during a downturn.
CTV ensures that advertisers are generating returns on their carefully spent ad budgets, allowing them to optimize toward a return on their ad spend or cost per acquisition goal. Plus, CTV’s comprehensive reporting allows advertisers to closely monitor their campaigns’ performance. “We have the ability at MNTN to show reporting based on the audiences. Once a campaign has run for 30 days, we can tell whether there are segments that are performing well,” Embry said. This audience segment reporting and others available within the CTV dashboard can help advertisers efficiently spend their ad budget, ensuring they are only serving impressions to the highest-value audiences.
Connected TV is a flexible ad solution that allows retailers to navigate the ups and downs of the economy. To hear more about how CTV advertising can be a boon this holiday season be sure to check out the full webinar here.