In this guest post, Christopher Blok (lead image), director of partnerships, Unpacked by Flybuys, says BVOD, SVOD and FTA now offers a boggling array of content. So how, he asks, can brands deliver on closed loop measurement?
The Connected TV (CTV) and Broadcast Video on Demand (BVOD) market in Australia has changed dramatically and experienced significant growth in recent years. Free-to-Air (FTA) broadcasters have all invested heavily in building their streaming services, which now offer a huge range of exclusive content. So how do we get the most out of this for your brands to deliver on closed loop measurement?
According to a report by IAB Australia from March 2023, CTV accounts for 47 per cent of the $3.3 billion generated from online video, up 12.2 per cent on 2021. This growth is being driven by several factors, including the rise of streaming services, the shift in consumer behaviour and the lowering cost of Smart TVs, with household penetration at 67 per cent, with 33 per cent owning two or more Smart TVs.
This shift in consumer behaviour has led to a surge in demand for CTV and BVOD advertising inventory.
To compete in this growing market, advertisers are increasingly turning to first-party data activation as a more effective way to reach their target audiences. By using first-party data, advertisers can better understand their customers, deliver more personalised and relevant advertising.
One of the key trends in CTV and BVOD advertising is the activation of first-party data utilising Hashed Email (HEM) as the identifier. HEM is a method of encrypting email addresses for targeting purposes without compromising user privacy or data leakage. HEM is the preferred identifier because CTV devices are not equipped with cookies or other tracking technologies that we’ve become accustomed to in other digital environments.
HEM helps overcome this targeting issue. This technology allows advertisers to target their ads more effectively and measure the results of their campaigns more accurately, without compromising on privacy. This is a significant advantage over traditional methods of targeting and measurement, which rely on third-party data that can be inaccurate and unreliable.
Measurement
Closed-loop attribution measurement is another important development in the CTV and BVOD market. This form of attribution provides a measurement framework so that FMCG brands have a more complete picture of the impact of their campaigns, by tracking the customer’s journey from initial ad exposure to final purchase. Having that information at your fingertips allows marketers to optimise campaigns and improve future campaign planning and results.
Measurement is a powerful tool that can help FMCG brands quantify the impact of their advertising campaigns across CTV and BVOD environments. By tracking the journey of a consumer from ad exposure to purchase, closed-loop attribution can provide valuable information from the metrics such as exposed vs control group, sales uplift, incremental sales, incremental units to name a few. This helps brands optimise their media spend and prove the ROI for marketers.
Some of the major benefits of using measurement in CTV and BVOD advertising landscape for FMCG products:
- Increased accuracy: Provides a more accurate view of the impact of advertising campaigns by tracking the journey of a consumer from ad exposure to purchase. This can help brands make better decisions about where to allocate their media spend.
- Improved efficiency: Closed-loop attribution can help brands improve the efficiency of their advertising campaigns by identifying which channels are driving the most sales. This can lead to cost savings and increased Return on Investment (ROI).
- Better decision-making: Provides brands with data needed to make better decisions about their advertising campaigns. This can help them improve their targeting, messaging and creative to achieve their marketing goals.
Overall, the Australian market for CTV and BVOD is highly competitive, with the major networks vying for a larger share of the market. This is being driven by the increased popularity of content on streaming services, increased availability of high-speed internet and the proliferation of Smart TVs in households.
The Key Take Aways?
- To make the most of CTV and BVOD environments use QR codes to drive engagement to help viewers interact with products or directly lead them to purchase.
- Target your audiences more effectively by using first-party data to define and activate your target audience.
- Ensure that you track the results of your campaign against in-store and/or online sales to measure campaign effectiveness.
