understanding how OTT digital marketing works

Understanding How OTT Digital Marketing Works: What You Should Know

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How OTT Digital Marketing Works – What You Should Know;   Since its meteoric rise to popularity in the 1990’s the Internet has continued to become the go-to place for marketing and advertising. 

As a result, many businesses are looking to find the next great way to promote their content which has led many to consider OTT marketing.

But what is OTT Digital Marketing?

On account of the force of OTT Digital Marketing, organizations are currently ready to follow their clients more closely on different channels and gadgets.

For this reason, understanding this concept is something that many businesses can benefit from learning about.  How it works, what it does and why your business simply can’t afford to miss out on this next level opportunity.

Advertising through On Demand TV subscription services is what OTT is all about. It’s called over the top because of where OTT adds typically appear above the fold but really OTT Ads or CTV ads (which is another name their known by) can these days appear in a variety of different places across On Demand TV platforms.

Although, for anyone reading this I’m guessing no doubt you are wondering if this is a form of marketing that can be utilized to successfully promote your business products and services. Please keep reading to find out if this something that can help you with making money online.


How OTT Digital Marketing Works: What You Should Know!

OTT digital marketing ads, also known as TV streaming platform ads, are the adverts delivered to viewers of TV OD (On Demand) services. OTT ads offer the opportunity for advertisers to reach a new audience whilst more and more viewers lean into streaming video content.

In an age where traditional cable and mainstream TV ads have become increasingly less popular OTT ads are starting to take the spotlight.

We may or may not have noticed these adverts before but let’s take a look at how these ads work and how they can be used for your online business.

What OTT Digital Marketing Can Do For You?

So OTT if you are wondering means Over-The-Top.  OTT Digital Marketing collectively is the term that involves displaying ads on on demand platforms showcasing content such as TV shows, movies and even video games.

Popular platforms for OTT digital marketing include Netflix, Hulu, HBO Max and Disney+. 

Each is no doubt a household name, alongside many others that are less popular but what of OTT Digital Marketing?

So what people might not realize is how big this kind of marketing actually is.  

For those that are curious the market for OTT is colossal and Ad Revenue in 2023 alone is expected to surpass $120 Billion USD (R)

However, if you are anything like myself you my question whether OTT Digital Marketing has a place in your marketing strategies.

Really we can straight away dismiss the big dogs Netflix, Disney Plus and HBO Max these platforms solely really reserve their Ad Space for their own content. It is not that they don’t use this Ad Space as they clearly do but when considering OTT digital marketing we really must consider basically everywhere else that is willing to show your ads on their platforms… Which is where this starts to get interesting xx

Advertising Through OTT Digital Marketing

At the point when we talk about How OTT digital marketing works, we allude to making and sending promoting advertisements by means of the various streaming platforms. These advertisements are contained within brief recordings or within the program menus and can be shown as either;

  • Display ads
  • Pop-up ads
  • Video ads or
  • Interactive ads

These are set to show before the start of the principal video, during the video, and after the video. As well as native ads and banner ads which some other platforms might display additionally.

These OTT ads run in much the same way as how the TV commercials are run, but due to their online nature they are certainly a lot more flexible.

So, Why Choose OTT Advertising

For anyone just beginning to learn about OTT Digital Marketing the potential here is huge.  As more customers switch their attention towards online streaming platforms the opportunities are ever more increasing. 

Through this method a new way now exists to present your advertising efforts and marketing. By tapping into this huge market we can expect results to continue to grow with viewership and new platforms that begin to emerge.

For sure anyone that goes down the standard TV Ads route they might find that is still worthy for the mean time at least. 

Although, if you want to look towards what is hot, trendy and relevant than OTT Digital Marketing could be the new way to go.

All things considered, the idea of OTT digital marketing is that you can reach potential clients at a time when their attention will be fully yours.  When they are not expecting to see your advertisements and when they may be more susceptible to act on seeing your brand there in front of them.

OTT Digital Marketing and Retargeting

One of the significant benefits of OTT promoting is that it takes into account cross-targeting of your crowd on various channels and stages including email, and social media platforms.

Through IP targeting on, and site retargeting, OTT digital marketing permits brands to send ads to potential customers.

For example, you could be watching a TV show on Amazon Prime when on the screen you will see an advert for an item you were looking at on Home Depot. Scary stuff how this works (I know) but on the grounds that OTT platforms such as Amazon Prime utilize the same IP address as your PC then really this A.I already knows which ads to show potential customers.

The same applies if you connect your devices to your google account. Their algorithms are ready to show whatever ads they think might be of your interest. Something which essentially makes OTT Digital Marketing so potentially effective because it looks to get you in front of all the right people.

OTT Advertising Based On Video On Demand (VOD)

Quite possibly the most immediate way that your business can make the most through OTT digital marketing is by utilizing advertisements in your own recordings or content. 

This technique is called AVOD or Advertising based on Video on Demand. 

One of the significant difficulties with this model is that to be beneficial, it requires countless video advertisements being viewed. To counter this, OTT platforms will permit clients to see the video for free without the need for a current subscription.

The big advantage here is that it helps your branding and advertising to be shown to a large audience thus creating more brand awareness. 

Ad-supported streaming

This one may come as somewhat of a shock.  All things considered, who actually likes seeing adverts?  Especially when you are watching your favorite TV shows – you would think nobody, right?  but despite this data shows that people actually prefer ad supported streaming compared to the ad-free alternatives [R].

Which actually makes sense when you consider how much it costs for each subscription service.  If you could see ads and watch your shows without having to worry about your monthly subscription free would you do it?

In 2020 for example the number of paid VOD services doubled that of free ad based VOD services.  When you consider the rising costs for each new platform to be added there is a growing demand for more platforms that are free with ad supported content.  Exactly why there is such a future for ad based VOD streaming services – 

They are in peoples best financial interests.

Final Thoughts

In 2023 and beyond as more people begin to use streaming services and more ad based services begin to be announced the advertising potential will only get bigger for How OTT Digital Marketing works.  

For one the audience is already here and are more than willing to view ads as a means of viewing their favorite content for free.  Especially as more have to deal with the growing list of bills that come with services such Netflix, Disney Plus and Hulu etc. 

These same audiences will look other means of streaming their favorite shows. 

Which is exactly what makes advertising through OTT Digital Marketing such a highly viable business plan.

It is certainly something to look for more information about.  I will leave you today with a list of OTO platforms…

  • Netflix
  • Disney+
  • Hulu
  • Amazon Prime
  • ESPN+
  • HBO Max
  • Youtube TV
  • Starz
  • SlingTV
  • Peacock
  • Dacast
  • IBM Cloud Video
  • JW Player
  • Vimeo Livestream
  • Wowza
  • Katura
  • Vidyard
  • Wistia
  • SproutVideo
  • BrightCove
  • Rakuten TV
  • ITVPlayer
  • BBC iPlayer
  • 4OD 

Read a more complete list at Wikipedia here

Side note:  If you like this article.  I have written most of it myself but 650 words of it including the title, sub-headings I got as a part of a content subscription service called viralitycontent.com.  If you need an injection of extra content to boost your website traffic definitely check them out.  All big Niches covered! 

Your Feedback – Share Your Thoughts!

Have you heard of How OTT Digital Marketing Works?  What are your thoughts on Ad-Based Streaming Services over Paid Subscription Streaming Services?  Is this something that could have a future in marketing and advertising please let us know in the comments below.

Also any other questions or feedback will be great to hear from you.

Best regards and Many Thanks for Reading;


Alex B. Chivers

Contact us at chivs86@ibusinesstoday.com

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