Here’s a call to action that all advertisers should hear: If your advertising strategy doesn’t include streaming TV, you’re missing out. And if you’re stuck in the mindset that TV is just for brand awareness, it’s time for a serious rethink.
Streaming TV is rewriting the rules of the game, democratizing access to the “big screen” for businesses of all sizes and fundamentally changing how advertisers should think about TV advertising as a leading element in full-funnel strategies.
Brands of all sizes can finally access the power of the “big screen”
Traditional linear TV advertising has long been the domain of large, deep-pocketed brands. In fact, even as streaming TV promised to change that, conventional thinking kept most advertisers on the sidelines – assuming that any kind of TV advertising was unavoidably complicated and expensive. Viewers felt the pain of this – inundated with the same repetitive ads from a limited pool of advertisers.
But today, savvy advertisers representing challenger brands and midsize businesses are opening their eyes to the practical potential offered by streaming TV. Leading streaming TV platforms give advertisers the ability to precisely target audiences and focus on tightly refined campaign objectives to improve cost effectiveness. Plus, they can reliably and accurately measure the downstream impacts of TV impressions across the entire customer journey.
This democratization isn’t just about reducing financial barriers to entry; it’s about creating a more diverse and engaging advertising landscape. By opening up access to TV advertising for a wider range of brands, streaming TV platforms are fostering a richer and more relevant viewing experience. This means viewers are exposed to a greater variety of ads, making it more likely they will discover new products and services that resonate with their interests.
Beyond awareness: TV drives measurable impact across the funnel
The revolution in TV advertising goes beyond mere accessibility. Streaming TV is also upsetting the conventional paradigm of TV as solely an awareness channel.
Today, streaming TV can be a vital performance marketing tool, driving conversions, boosting engagement and contributing to long-term customer value. The data-driven targeting precision and measurement accuracy of streaming TV allow advertisers to wield the proven impact of TV ads in a more purposeful, full-funnel way.
Proven results: Data shows streaming TV lifts downstream campaign metrics
Advertisers have long known that TV can influence consumer behavior and purchasing decisions – even if it’s historically been challenging to measure. But the impact of an approach that’s both focused and full funnel is impossible to ignore.
Amazon’s internal data from our partners using Sponsored TV, our self-serve solution, underscore this point. Campaigns that include streaming TV ads see a significant lift in purchase rates, detail page-view rates and add-to-cart rates.
For example, customer journeys that included a Sponsored TV ad saw a more than 2x higher purchase rate, 2.5x better add-to-cart rate and a 1.5x increase in new-to-brand conversion rate compared to journeys without Sponsored TV ads. Those numbers climb even higher when Sponsored TV ads are the first touch point in the customer journey.
These real-world results highlight a crucial shift in how advertisers should think about customer interactions. Rather than viewing each touch point as a singular instance with isolated value, we need to recognize the cumulative impact of multiple interactions across the customer journey. TV advertising, particularly in the streaming environment, plays a powerful role in “priming” the customer. Seeing a TV ad sparks initial interest and builds that crucial “preferential awareness,” increasing the likelihood of future engagement.
But the journey doesn’t end there. By strategically combining TV with other advertising channels like display and online video, brands can nurture that initial interest, provide further information and ultimately guide the customer toward conversion. This orchestrated approach – focused on optimizing the entire shopper journey – is key to maximizing the impact of TV advertising in the streaming age.
In short, TV is no longer just about getting your name out there; it’s about driving tangible results across the entire marketing funnel.
Better viewer data = better targeting = better results
The key to this kind of success with streaming TV lies in data. Unlike traditional TV, streaming TV provides a wealth of information about viewer behavior. This data-rich environment empowers advertisers to make informed decisions and optimize their campaigns for maximum impact.
But to truly succeed with streaming TV, advertisers need access to the right kind of data. This includes detailed audience insights like viewing habits and purchase behavior.
This is where some of the largest technology platforms are delivering unique visibility to advertisers – connecting robust viewer data with rich insights on shopping and purchasing behaviors across channels. This broad view of consumers’ behaviors across their digital lives and throughout the buying journey allows marketers to fine-tune their targeting, personalize their messaging and ensure their ads are reaching the most receptive audiences.
The “big screen” is changing – but its power is only expanding
Back in mid-2022, streaming TV eclipsed cable as the dominant form of TV viewership in the US – and the number of US ad-supported streaming TV viewers will exceed 200 million by 2027. But more than sheer numbers, it’s clear that streaming TV has transformed how viewers think about and interact with TV – giving them on-demand access to more relevant content tailored to their interests.
Now, streaming TV is fundamentally reshaping age-old notions about TV advertising, giving brands the ability to tailor ad buys and campaign strategies with the same kind of personalized precision. eMarketer estimates that US spending on streaming TV advertising will jump from $30 billion today to over $42 billion by 2027.
Ignoring this channel is no longer an option. Every brand, from emerging challengers to the largest enterprises, should reevaluate how TV fits into their marketing mix. By embracing streaming TV and adopting a data-driven, full-funnel approach, businesses can unlock new levels of brand resonance and growth. It is time to move beyond outdated strategies and embrace the power of streaming TV to reach and engage customers in today’s omnichannel media landscape.
