Why CTV is evolving into a more efficient and effective advertising ecosystem for brands, publishers and consumers alike

CTV advertising provides vast optimization, but only when data is shared effectively

The growth of CTV presents significant opportunities for advertisers, particularly in terms of economies of scale and attention. Advertisers can optimize their reach and efficiency by locating audiences across multiple types of inventory within the CTV ecosystem. However, this is only possible if data is shared effectively across platforms — the industry should create a standard to ensure this becomes the case. 

Log-level data — granular data that provides detailed insights into user behavior — is often fragmented and inconsistently shared. Advertisers need to know, for example, about the ad pods where their ads appear. Seeing the same ad set multiple times in succession can leave a negative overall sentiment toward the brand. This hampers the ability to accurately measure and attribute audience engagement, ultimately diminishing the effectiveness of ad campaigns.

Data sharing can make a particular impact on measurement and attribution. Nielsen, a leading player in audience measurement, strives to integrate its services across various media channels but has yet to realize a comprehensive solution. The challenge lies in the inconsistency of data sources and the difficulty of harmonizing these diverse datasets. For instance, IP addresses, commonly used for tracking, are increasingly being grouped into larger cohorts to protect privacy. While this approach addresses privacy concerns, it also complicates accurate attribution or cross-screen viewing habits.

First-party data is the way forward and collaboration only makes those insights stronger

As always, privacy concerns have come to dominate discussions of data-sharing practices. Much has been made of Google’s decision not to eliminate third-party tracking cookies, but the fact is that more than half of the open web, as well as all CTV inventory, has been cookieless for some time. Instead of obsessing over the availability of tracking cookies, the industry needs to recognize that it needs better models built on the already available data. First-party data, collected directly from consumers, offers a viable alternative to cookies. This data provides valuable insights into consumption habits across platforms, helping advertisers to create more relevant and engaging campaigns.

Publishers and advertisers must join forces and share data more openly to achieve this level of insight. A true collaboration between brands, agencies and publishers can facilitate the development of robust data-sharing frameworks that respect user privacy while enabling effective advertising. This collaboration is essential for making CTV a truly performance-driven channel.

CTV is ever-evolving and offers the industry a more effective advertising ecosystem

Despite the challenges, there is always room for disruption and innovation. New models and technologies continually emerge, offering fresh ways to enhance CTV advertising. As publishers share more data, advertisers will be better equipped to understand and engage their audiences with features that optimize placements and costs according to log-level details. This shift will transform CTV from a nascent advertising channel into a powerhouse for performance marketing.

The promise of CTV is immense, but its full potential can only be realized through effective data practices. The path forward involves embracing privacy-first, cookieless solutions, leveraging first-party data and fostering true collaboration between all stakeholders. This creates a more effective and efficient advertising ecosystem that benefits brands, publishers and consumers. The future of advertising is here — it’s connected, integrated and data-driven.

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