Linear TV Advertising: What Is It & How Does It Work?

10 Min Read

In the ever-evolving landscape of media consumption, Linear TV Advertising stands as a testament to the enduring power of traditional television marketing. Despite the rise of digital platforms, linear TV ads continue to be a vital strategy for brands aiming to reach a wide audience through scheduled programming on satellite or cable networks.

But what is linear TV and how does it work? In this article, we’ll explore linear TV’s unique positioning in the marketing mix, its mechanisms for targeting audiences during peak viewing times, and its relevance in an age where streaming services are taking over.

What Is Linear TV?

Linear TV is the traditional form of television, which is programmed and watched as scheduled through satellite or cable and is not streamed to a specific user on demand. It generally caters to prime-time viewing, which is when most people are in front of their screens.

Is Linear TV Still Relevant?

While Linear TV viewing still holds some form of nostalgia, especially with a mature audience, changes in consumption habits have affected the way marketers view Linear TV as an advertising tool – in fact, according to media consultancy Ebiquity, Linear TV will see an estimated 21% fall in commercial impact by 2025.

So, will it go away? Not any time soon, but its impact is diminishing over time.

What Is Linear TV Advertising?

Linear TV advertising refers to the commercials that are broadcast across scheduled television programming via satellite or cable networks. These ads are placed within specific time slots, targeting audiences tuned into shows, news, or events at predetermined times.

Unlike digital advertising, linear TV ads reach a broad audience simultaneously, capitalizing on high viewership periods to maximize exposure and impact.

Linear TV vs Connected TV (CTV)

Connected TV (CTV) refers to televisions that can connect to the internet and stream digital content, enabling advertisers to target specific audiences with precision.

The primary difference between CTV advertising and linear TV is that CTV offers targeted, data-driven ad placements, while linear TV broadcasts ads to a broad audience with minimal personalization.

Linear TV vs Over-The-Top (OTT)

Over-the-top (OTT) refers to the delivery of TV content via the Internet without requiring traditional cable or satellite TV services.

The main difference between OTT advertising and linear TV is that OTT allows advertisers to reach viewers on any device connected to the internet (not just smart TVs), offering more flexibility and targeting options than traditional linear broadcasts.

Linear TV vs. Streaming TV

Streaming TV provides viewers with on-demand access to a vast library of content over the Internet, allowing for greater convenience and choice.

Like CTV and OTT, streaming advertising can be precisely targeted and measured, while linear TV reaches a broader, less defined audience through scheduled programming.

How Does Linear TV Advertising Work?

Prerecorded programming, hosted on a server, streams through linear TV on a set schedule. Software is used to determine both the timeslots for the shows, as well as the accompanying advertisements that go along with it.

The obvious exception here would be for live events, where raw footage is received, edited in near real-time, and sent to viewers, often on a very slight time delay.

However, for an advertiser, here’s how the process works:

• Ad Placement Planning: Advertisers select specific time slots and programs that align with their target audience’s viewing habits, aiming for maximum exposure during peak hours such as prime time.
• Audience Targeting: Using demographic data, such as age, gender, and interests, advertisers choose programs that are most likely to be watched by their target demographic to ensure their message reaches the right viewers.
• Creative Development: A commercial is produced, featuring engaging content designed to capture the attention of viewers and convey the advertiser’s message effectively within a short time frame.
• Media Buying: Advertisers purchase ad slots from TV networks, paying for placements based on the expected audience size and the commercial’s length. TV media buying rates vary significantly based on the program’s popularity and the time slot’s demand.
• Broadcasting the Ad: The commercial is aired during the selected programs and time slots, reaching viewers watching the show live on their television sets.
• Performance Measurement: Advertisers track the performance of their TV ads through various metrics, such as reach and audience engagement, often using surveys and third-party data analysis to gauge the campaign’s impact.

For advertisers, getting your ads on linear TV can feel a bit intimidating. The easiest way is by working directly with an advertising agency that specializes in negotiating deals with cable companies. The entire process is beyond the scope of this particular post, so if you want the ins and outs, check out this piece on cable TV advertising.

Advantages Of Linear TV Advertising

On-demand streaming on CTV platforms is quickly pulling ad revenue away from linear TV advertisers, but there is still a future for linear. Here are a few notable benefits of linear TV advertising.

Advertise During Live Events

For now, linear television is still a viable option for reaching audiences during live TV programming. Whether it’s a sporting event like the Super Bowl, news broadcasts, morning shows, or shows that involve live audience voting, there is still demand for linear TV programming.

Reach Older Demographics

In addition to its live TV appeal, linear TV ads are still the most effective way to reach the largest number of baby boomers. Around 38% of individuals aged 55 and older spend more time watching linear TV content on cable than on any other platform. Compare this to Gen Xers at 21%, millennials at 16%, and Gen Z adults at 9%, and it’s clear that linear TV still has a place for advertisers trying to reach older audiences.

Segment by Air Time or Channel

Although advanced audience targeting options are limited on linear TV, compared to CTV/OTT platforms (more on this in a moment), linear TV still allows you to target viewers by channel, or air time. This is particularly useful if you know that your best customers are most likely to watch a certain show at a certain time.

Disadvantages of Linear TV Advertising

Here are some of the main challenges and limitations of Linear TV advertising: 

Limited Measurement and ROI Assessment

Linear TV advertising lacks the advanced tracking and measurement capabilities found on digital platforms, making it difficult for advertisers to obtain real-time data and insights into audience engagement. This limitation hinders accurate assessment of return on investment (ROI), leaving advertisers without a clear understanding of how their campaigns are performing.

Ad Skipping and Declining Viewership

The effectiveness of linear TV ads is diminished as viewers increasingly use DVRs and fast-forward through commercials, resulting in reduced exposure and impact. Additionally, the steady decline in linear TV viewership, as audiences migrate to streaming platforms, means advertisers have a shrinking audience base to reach through traditional TV advertising methods.

Higher Costs and Demographic Limitations

Advertising on linear TV often involves high costs, particularly for prime time slots, with no guarantee of reaching the intended audience. Furthermore, linear TV tends to attract an older demographic, presenting challenges for advertisers aiming to engage younger, more digitally savvy viewers who prefer online and on-demand content.

How Much Do Linear TV Ads Cost?

The cost of TV advertising can vary widely, influenced by a range of factors that affect pricing and impact. Unlike digital advertising, where costs are more transparent and often based on metrics such as clicks or impressions, linear TV advertising involves a more complex pricing structure.

Here are five of the largest cost drivers for linear TV advertising:

• Time Slot: The timing of an ad is one of the most significant cost factors, with prime time slots during popular shows costing significantly more than off-peak hours. Advertisers pay a premium for slots that promise higher viewership, such as evening news or major sporting events.
• Geographic Reach: Ads that air nationally across the country will cost more than those targeted to local or regional markets. The broader the geographic reach, the higher the price due to the larger potential audience.
• Network Popularity: The network or channel on which the ad airs also influences cost, with top-tier networks charging more than niche or cable channels. Networks with a large and loyal viewership can command higher prices for their ad slots.
• Program Content: Ads placed during high-demand programs, such as hit TV series, live sports events, or special broadcasts like award shows, are more expensive due to their large audience draw. The popularity and audience demographics of the program significantly impact ad pricing.
• Ad Duration: The length of the commercial spot is another key cost driver, with 60-second spots costing more than 30-second or 15-second ads. Longer ads provide more storytelling opportunities but require a higher investment from advertisers.

Linear TV Advertising Best Practices

Despite its shortcomings, linear TV can still be a good medium for some businesses. To maximize the impact of linear TV advertising, marketers should focus on the following best practices:

• Know Your Audience: Understand the demographics, interests, and viewing habits of your target audience to ensure your ad reaches the right viewers. Tailoring content to match audience preferences increases the likelihood of engagement and conversion.
• Choose the Right Time Slots: Select time slots that align with your target audience’s viewing patterns. Prime time slots, while more expensive, often provide better reach and impact, especially if your audience is most active during these times.
• Craft Compelling Content: Develop engaging and memorable ad creative that captures viewers’ attention and effectively communicates your brand message. High-quality production values and storytelling can differentiate your ad from competitors and leave a lasting impression.
• Optimize Ad Frequency: Balance ad frequency to ensure your message is seen enough times to be memorable but not so often that it becomes irritating. This requires careful planning to avoid viewer fatigue while maximizing brand recall.
• Leverage Data and Analytics: Use available data and insights to continuously improve your ad strategy. Analyzing audience engagement and campaign performance allows you to refine your approach, making adjustments to targeting, timing, and creative elements as needed.

Why You Need MNTN Performance TV

When you look at the combination of rising Linear TV production and increased advertising rates, a distracted audience, and an inability to measure results – it’s no wonder viewers and advertisers alike are cutting the cord in favor of Connected TV (CTV).

Fast becoming the future of  TV as we know it, Connected TV can be accessed across multiple platforms including smart TV, mobile, or OTT devices (think Chromecast, Xbox, and Amazon Fire Stick).

Here’s why Connected TV, or Performance TV  as we like to call it, is the one to watch:

• Performance TV as a Performance Channel: Think of Performance TV as a digital marketing channel like you would your other platforms, where analytics can be quickly drawn and measured. Unlike Linear TV, performance can be tracked down to the minutiae and covers everything from ROAS calculation, CPCV, site visits through to conversions and more – key metrics that many advertisers look to gauge the effectiveness of their campaigns and measure customer lifetime value. One key advantage is the targeting capabilities of our platform, which goes above and beyond what Linear TV ads can do. Our reporting interface is a powerhouse that allows you to easily customize reports across a multitude of metrics and KPIs at any stage of your campaign. And not only that, Performance TV is fully compatible with Google Analytics, so you can track and measure your performance alongside the rest of your marketing campaigns.

• Non-Skippable, 15 to 30-Second HD Ads:  Unlike Linear TV – and other forms of digital advertising, like video ads) – CTV ads are non-skippable and can be easily loaded up onto our user interface in a matter of clicks, and launched within the same platform. Linear TV advertising spots are usually operated by a media buyer, however, we’ve eliminated that step to put the power back in your hands. 

• A Triple Threat Trio: MNTN not only allows advertisers to build and launch their Performance TV campaign on a single platform but provides a full ad immersion experience through retargeting this audience with ads across other devices, such as mobile and laptops. This, combined with Living Room Quality ads across a premium network inventory including CNN, ESPN, and Food Network, among 150+ others – makes it a force to be reckoned with.

Linear TV Advertising: Final Thoughts

While Linear TV advertising remains a powerful medium for reaching broad audiences through scheduled programming, the evolution of television consumption habits points to a clear trend towards digital, internet-based platforms.

Connected TV (CTV) advertising emerges as the definitive winner in this shifting landscape, offering advertisers the granularity of digital targeting with the immersive experience of traditional TV.

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