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Connected TV: A digital extension or already the future of video advertising?

Anyone looking to connect with people on an emotional level still cannot do without video content. Despite declining audiences in traditional linear television, the combination of image and sound remains one of the most effective forms of advertising when it comes to creating lasting brand awareness.

At the same time, media consumption habits are changing rapidly. Streaming platforms, media libraries, and Smart TV applications are becoming increasingly important. As a result, Connected TV (CTV) is evolving from an interesting addition into a core component of modern media strategies.

Why Connected TV is so attractive for advertisers

Perhaps the greatest advantage of CTV is that it preserves the strengths of television.

Advertising continues to appear on the big screen. The so-called “lean-back experience” remains intact: users consume content in a relaxed and attentive state on their television sets instead of switching between different applications on their smartphones. As a result, advertising benefits from high visibility and attention.

Another advantage is the enormous diversity of content. Different platforms, broadcaster media libraries, and streaming services make it possible to reach a wide range of target audiences through suitable content environments.

A further key advantage compared to traditional television is greater targeting precision. While TV campaigns are primarily planned based on reach and audience structures, CTV campaigns can additionally be targeted according to content categories, broadcaster environments, or specific channels. This opens up new opportunities for marketers to communicate with audiences in a highly targeted way.

The challenges begins where things become complicated

At first glance, Connected TV appears to be a logical next step. In practice, however, it quickly becomes apparent that the level of complexity is far greater than many advertisers expect.

Anyone taking a closer look at the market soon realizes that transparency cannot always be taken for granted.

Which sales house actually has access to which inventory? Which publishers and platforms are connected? How much net reach is truly available, and how many contacts already overlap with other offerings?

These questions are often difficult to answer immediately.

The challenge is compounded by the fact that there is no comprehensive official market figure indicating how many television sets in households are actually connected to the internet and actively in use. At the same time, the reported reach potential of sales houses varies considerably. Some providers claim they can reach several million people, while others offer significantly smaller audiences.

Pricing also presents a highly heterogeneous picture. CPMs (cost per thousand impressions) can vary dramatically between different sales houses. At the same time, a higher price does not automatically result in better campaign performance.

Why choosing the right partner is crucial

This is precisely where the difference between successful and inefficient CTV planning often becomes apparent.

There are significant differences in the market when it comes to:

• Reach and commercialization partners
• Inventory quality
• Transparency
• Cost-effectiveness
• Targeting capabilities
• Long-term stability of partnerships

A professional partner should therefore not only provide screens but, above all, create orientation and clarity.

For advertisers, three factors are particularly important:

1. Efficiency

The winner is not the solution with the lowest CPM, but the one that achieves the greatest advertising impact per euro invested.

2. Reach

A broad partner network increases net reach while simultaneously reducing the risk of reach losses resulting from individual inventory sources.

3. Transparency

If commercialization partnerships change or inventory sources are lost, advertisers should be informed at an early stage. Only then can campaigns be planned securely over the long term.

CTV is not a buying channel but a strategic discipline

The biggest misconception many companies have is viewing Connected TV as a purely purchasing-driven decision.

In reality, the strategic selection of reach partners, inventory sources, targeting models, and optimization approaches plays a decisive role in campaign success.

Two companies can invest the same budget in Connected TV and still achieve completely different results.

The difference does not lie in the technology, but in the planning.

Our conclusion

Connected TV is developing from a supplementary digital channel into a central pillar of modern video communication. The advantages of the big screen are combined with the capabilities of data-driven targeting. At the same time, market complexity is increasing significantly.

For marketing decision-makers, this means that the success of a CTV campaign no longer depends solely on budget. What matters is selecting the right partners, identifying market changes early, and balancing reach, cost, and quality in the most effective way.

This is exactly where an experienced agency creates decisive added value: it provides transparency in a fragmented market, evaluates offers objectively, and develops a strategy that not only buys efficiently but also delivers sustainably better results.

Because in the Connected TV market, the winner is not the one who invests the most.

It is the one who makes the better decisions.