OTT (over-the-top) advertising is advertising delivered
directly to viewers over the internet through streaming video services or devices, such
as smart or connected TVs (CTV). The term “over-the-top” comes from the ability to by
pass traditional TV providers that control media distribution, giving advertisers the
ability to reach their audiences directly. Going over the top allows media companies
(and advertisers) freedom of movement without pre-planned broadcast schedules or
geographic limitations.
OTT advertising is a viable component of a brand’s performance media mix. Much more than
just a branding and awareness play, it is a complete performance channel that offers
scale, measurability, and data-driven targeting.
Many places talk about over the top in just the context of upper-funnel awareness or over simplify OTT goals as being the same as TV goals. You can leverage OTT video as a full-funnel performance channel that does more than just build your brand; it can engage and move customers through the entire funnel.
Brands with advanced digital strategies are adopting OTT advertising as part of their performance mix because the future of TV is becoming more digital and data-driven. OTT video stats show that viewing has gone main stream in recent years, especially for younger audiences, whose viewing habits have shifted from cable viewing to streaming services and OTT apps such as Netflix, Hulu, Roku, Crackle, Plex, Pluto.TV, Vimeo, Vevo, and more.
One of the powerful components of OTT is that it offers multiple layers of audience targeting. Depending on the platform and your approach to buying OTT, you can target based on the provider’s audience data, or in some cases, with layering your own customer data.