CTV Conversations from Advertising Week 2024
CTV ad spending continues to soar, and it was clear at this year’s Advertising Week New York that CTV is no longer just a growing channel, it’s a critical part of the advertising ecosystem. This year, CTV ad spending is set to surpass $30 billion, marking a 22% jump from 2023.
With cord-cutting on the rise and average daily CTV viewership for U.S. adults expected to exceed two hours in 2024, the industry's focus on CTV is well-justified. But beyond the numbers, the conversations during the event reflected key challenges and opportunities for brands as they navigate this fast-evolving space.
CTV Performance: A Shifting Focus Toward Results
A dominant theme throughout Advertising Week was the shift from brand awareness to performance-based CTV campaigns. While many CTV advertisers still prioritize brand awareness, there's a growing shift towards performance goals. This marks a move toward a results-oriented approach, driven by advertisers' increasing demand for more robust performance metrics.
One of the biggest takeaways from the event was that the industry needs to step up in delivering consistent measurement. Many marketers cite inconsistent measurement as a primary challenge for their CTV efforts, which was echoed in several panels. As CTV investments grow, brands are pushing for the same precise measurability they’ve come to expect from digital advertising, but they’re not satisfied with current offerings. This presents a clear opportunity—and responsibility—for the CTV industry to deliver on its promise of blending the wide reach of traditional TV with the measurability of digital.
Creative TV Formats: Finding What Resonates
When it comes to performance, it’s not just about the numbers. Creative formats play a major role in engaging audiences. A standout discussion point at the event was the importance of non-intrusive, creatively integrated formats that enhance the viewing experience. For instance, L-shaped banners have become a favorite for their ability to offer subtle branded content without disrupting live broadcasts. These formats help capture attention without overwhelming the viewer, a critical aspect of performance-based campaigns.
Another creative trend highlighted at Advertising Week was the growing use of immersive ads that blend seamlessly with content. The ability to innovate in this space is proving essential in justifying the increased investment in CTV advertising.
Breaking Through with New Ad Formats
Advertisers are increasingly looking for ways to break through the noise on CTV platforms, and innovative ad formats took center stage at the event. Several panels highlighted the rise of pause ads, a unique format gaining traction across major streaming platforms like YouTube, Amazon Prime Video, Hulu, and Netflix. These ads, which appear when viewers pause their content, offer a non-intrusive way to get a message across.
Beyond pause ads, screensaver ads also sparked interest. LG Ads' new full-screen "Native Screensaver" ad unit was frequently cited as a prime example of how advertisers can reach viewers during moments of natural engagement without cluttering their experience. With shorter ad load, frequency capping, and personalized ad serving, these formats are becoming essential tools for advertisers to make an impact.
The Road Ahead: What the Industry Needs to Tackle
With Advertising Week now wrapped, the message from this year is clear: the CTV ad landscape is evolving rapidly, and brands that will continue to innovate and adapt will come out on top. As we look toward 2025, the industry's ability to create engaging, performance-driven ad experiences will be critical. From creative formats to measurable results, the CTV conversation is no longer just about scale—it’s about meaningful engagement that delivers value to both viewers and brands. Those who rise to this challenge will be the ones who succeed in this new world.