In 2025, a connected TV (CTV) advertising strategy is crucial for brands due to the channel’s growing reach and ability to blend traditional TV’s broad audience engagement with digital advertising’s precision targeting and measurement capabilities. As streaming platforms dominate how people consume content, CTV advertising has emerged as a powerful tool for brands to stay relevant. It’s no longer an optional digital add-on; it’s a core part of the modern media mix.
In this guide, we’re going to look at why your brand needs a CTV advertising strategy in 2025.
Key Takeaways
- CTV is best for building brand awareness. Much like linear TV, CTV is about storytelling.
- KPIs include brand lift, audience measurement and reach, and website visits.
- Over 82% of households in the US alone are expected to subscribe to at least one streaming service.
- Experts predict global CTV advertising spending will reach $40 billion by 2025.
- You need a big budget and plenty of time to be successful.
- There is a clear connection between CTV campaigns and other channels, particularly search and social.
What is CTV Advertising?
Connected TV advertising refers to the placement of ads on internet-connected TVs and streaming platforms like Netflix, Hulu, ITVX, and YouTube.
Unlike traditional TV ads, CTV ads are interactive, targeted, measurable, and often unskippable. With advanced audience segmentation tools, brands can serve personalised messages to specific viewers based on their preferences, behaviours, and demographics.
The rise of CTV advertising ensures that brands can move beyond generic TV ads to create tailored experiences for their audience that resonate better.
Why CTV Advertising is so Important
Consumer Viewing Habits are Changing
The way people view content has changed drastically in the last decades. Viewers are increasingly cutting the cord, opting for platforms like Netflix, Hulu, and Amazon Prime Video to view content. It’s predicted that ‘cord-cutter’ households will make up 72% of US homes by 2025, up from 53% in 2022.
This mass migration to streaming platforms presents a goldmine for advertisers seeking to engage highly targeted audiences in premium, non-skippable ad environments.
On top of this, CTV provides a premium viewing experience, allowing brands to connect with audiences in a comfortable, engaging setting.
Brands Can Target the Right Audience at the Right Time
CTV offers an engaging way to connect with audiences, blending the immersive experience of traditional TV with the precision of digital advertising. Brands can deliver highly relevant, personalised ads to specific audience segments using an extensive collection of data from geolocation to behavioural insights.
Superior Ad Formats and Creative Opportunities
CTV allows for dynamic, interactive ad formats that drive action. From shoppable ads and gamified experiences to QR code integrations and sequential storytelling, CTV campaigns go beyond brand awareness; they can drive measurable conversions.
An experienced CTV agency ensures your creative assets are optimised for these formats whilst aligning with your broader multi-channel media campaign strategy.
Advertisers Can Easily Measure ROI
One of the biggest challenges in traditional TV advertising was the inability to measure its effectiveness accurately. CTV eliminates this problem, with 65% of marketers classifying CTV as a key performance channel.
Tools like unified dashboards, strategic tracking pixels, and centralised reporting systems are helping marketers connect the dots between campaigns and business outcomes. By focusing on performance metrics like conversions, brands can clearly see CTV’s value.
A connected TV media agency provides real-time performance data: impressions, completion rates, view-through rates, and more, so you can evaluate campaign effectiveness and optimise accordingly. This level of transparency is essential in a results-driven media landscape.
CTV can also be more cost-effective than linear TV, with the ability to reduce media wastage through targeted campaigns.
How CTV Can Complement Other Digital Advertising Channels
The best agencies will integrate CTV campaigns with broader marketing strategies to create a seamless customer experience.
- Social Media Synergy: CTV ads can reinforce messages delivered through platforms like Instagram or Facebook.
- Retargeting Opportunities: Audiences exposed to CTV ads can be retargeted with personalised offers on other platforms.
- Omnichannel Consistency: Unified messaging across all channels ensures higher brand recall and engagement.
The Benefits of Partnering with a CTV Advertising Agency
Working with a CTV advertising agency has several benefits, including:
- Cost Efficiency: Agencies optimise ad spend to ensure you get maximum ROI
- Expertise in Ad Creation: Agencies specialise in creating high-quality, engaging ads that resonate with viewers.
- Advanced Audience Targeting: They use sophisticated data analytics tools to identify and target the most relevant audiences.
- Access to the Latest Technology: Agencies will leverage the latest tools to measure campaign performance and adjust strategies in real time.
- Data Privacy and Compliance: Agencies can help brands navigate the evolving landscape of data privacy and ensure compliance with regulations while still achieving effective targeting.
CTV is redefining how brands connect with consumers in 2025. If your media strategy still treats TV as an afterthought or excludes streaming entirely, it’s time for a change.
Partnering with a connected TV advertising agency ensures your brand is not only present on the screens people are actually watching, but is doing so with relevance, precision, and measurable impact.
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