Unlocking Success: The Top-Performing CTV Ad Formats

Advertising on TV streaming platforms has gained popularity. The huge shift in consumer attention from linear TV to these platforms has energized a movement of possibility for brands and marketers. CTV can reach a highly engaged and targeted audience today. Advertisers can leverage data-driven insights and sophisticated targeting options to reach specific demographics and interests, maximizing the effectiveness of their ad campaigns. 

Approximately 83% of households own a connected TV, and streaming minutes have climbed to upwards of 30 billion. CTV ad spend will exceed $30 billion in the US next year, according to Insider Intelligent. At a growth rate of 22.4% YoY, that makes CTV one of the fastest-growing ad formats. 

Screencore is a platform focused on CTV and video content, so let's delve in and explore the CTV advertising formats that we collaborate with.

Pre-roll

One well-known format is pre-roll. This is a short video ad that plays before the main content begins on a streaming platform. Pre-roll ads benefit from a captive audience, as viewers are usually waiting for their chosen content to start. These ads are usually non-skippable, lasting anywhere from a few seconds to a minute, and are designed to provide a seamless transition from the ad to the content, ensuring that advertisers can effectively convey their messages to a captive audience.

Based on our experience, pre-roll ads have the highest rate of recall. Viewers remember the brand more than with other formats that are present mid-stream. 

Advantages:

• High visibility
• Effective for brand awareness
• Can't be skipped initially

Disadvantages:

• Viewer annoyance
• Skipped after the countdown

Mid-roll

These video ads play during a break in the main content. They can interrupt longer videos, such as TV shows or live streams, at specified intervals. These ads can capture the viewer's attention during a prolonged viewing experience, potentially leading to higher engagement rates. For example, mid-rolls are over 35% more effective than post-roll ads in generating impressions.

Advantages:

• Contextual relevance
• Multiple ad placements

Disadvantages:

• Viewer interruption
• Skippable in some cases
• Not suitable for shorter videos

Post-roll

Another format type is the post-roll video ad, which is one that plays after the content. This ad is typically shown as part of a playlist or at the end of a video. Since it does not interrupt the main content, post-roll ads may feel less intrusive to viewers, resulting in a more positive user experience.

According to an AList report, 65% of people watch post-roll ads to completion. Viewers can engage with this content more once their programming has ended, which may increase their interest and the likelihood that they can follow up on the product or service being directed at them.

Advantages:

• No interruption
• Opportunity for storytelling

Disadvantages:

• Lower visibility
• Limited reach
• May be perceived as less relevant

In-stream video

In-stream videos play before, during, or after the streaming content, similar to traditional TV commercials. In-stream video ads have been around for a couple of years. While some users still tend to complain about them, now they’re an accepted part of the online experience. With CTV-connected capabilities, these ads can drive viewers to direct landing pages and push purchases at an exponential pace.

Advantages:

• High visibility and engagement
• Broad reach
• Versatility

Disadvantages:

• Potential viewer annoyance
• Ad-blocker usage
• Costly production

Interactive advertising

Interactive advertising on CTV engages viewers by allowing them to interact with the ad content directly using their remote control or other input devices. Interactive ads can include clickable elements, such as buttons or links, that viewers can use to access additional information, visit a website, or purchase. For example, an interactive feature can involve a flexible ad in which a countdown starts, and users can interact before time runs out. A highly effective interaction is the inclusion of a QR code in the ad that viewers can scan that links them directly to the product for purchase.

These interactive ads have been shown to have a 3.5% higher engagement rate and captivate attention for 85 more seconds than traditional streaming advertisements. 

Advantages:

• High engagement
• Data collection
• Customization

Disadvantages:

• Complex production
• Technical issues
• Limited reach

Conclusion

Whether a pre-roll, mid-roll, post-roll, in-stream or interactive video ad is right for you depends on your ad and overall objectives. Let's connect and explore how Screencore can elevate your efforts in the world of CTV advertising. Contact us today to start a conversation!