NEWS2 September 2015

Connected TV adspend set to grow despite ‘lack of reliable measurement’

US — While connected TV advertising budgets remain small in the US, 48% of advertisers who use the medium plan to spend more on it next year, according to a new report.

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The Connected TV Opportunity report, which was carried out by the Association of National Advertisers (ANA) with Brightline, gathered responses from 215 client-side marketers.

It found that the budgetary shift to connected TV is likely to come from other TV activity ( 71%) and digital media ( 37%). Connected TV is defined as internet-connected devices that include smart TVs and over-the-top devices such as Amazon Fire TV and Apple TV.

However, the report also highlighted the lack of reliable measurement metrics and small-scale audience penetration as the two key issues preventing advertisers from spending more on connected TV.

“Connected TV is a great opportunity for the television advertising industry, as it leverages current consumer viewing behaviour and provides digital-like targeting,” said Bob Liodice, president and CEO of the ANA. “But measurement issues need to be addressed to optimise future growth.”