TV has come a long way, right? From the days of rabbit ears and black-and-white screens to ultra-thin, high-def smart TVs that seem to know more about you than your best friend. Welcome to the world of Connected TV (CTV), where the way we watch TV is constantly shifting, and advertisers and content creators must keep up to stay relevant.
As we move into the new year, it’s more important than ever to understand the latest connected TV trends. If you’re not already tuned in, it’s time to get on board.
The Growth of CTV and Its Impact on Viewing Habits
If you haven’t noticed by now, CTV is taking over. Gone are the days of mindlessly flipping through channels. Instead, we’re now glued to our smart TVs, using apps like Netflix, Hulu, and YouTube to stream what we want, when we want it. The rise of CTV is reshaping the way viewers interact with content, and trust us—this shift isn’t just a fad. In fact, millions of people are ditching traditional cable subscriptions in favor of streaming services, and the numbers just keep growing.
Why are viewers making the switch to CTV? It’s simple:
- Ultimate convenience – watch anything, anytime, anywhere
- Personalized recommendations that get smarter over time
- Lower costs compared to traditional cable packages
- Device flexibility across TVs, phones, tablets, and laptops
The appeal of CTV is simple: viewers get to take control. They get to decide what shows to watch, when to watch them, and where to watch them. Sounds like a marketer’s dream, right? But, with this shift comes new challenges, especially for advertisers who need to adjust their strategies to keep up with these changing habits.
Shift from Linear TV to Streaming
Let’s face it, cable TV just isn’t cutting it anymore. It’s like trying to fit into your high school jeans—uncomfortable and a little outdated. Consumers are saying goodbye to traditional TV and embracing streaming platforms. And why wouldn’t they? With streaming, there are no more waiting for the next episode or enduring those annoying TV commercials. The content is on-demand, and viewers are calling the shots.
For advertisers, this means it’s no longer enough to just throw ads on prime-time TV. People are watching TV on their own terms, skipping over ads or tuning into platforms where commercials are optional. This shift is huge, and if you’re still clinging to old-school advertising methods, it might be time for a makeover.
Demographics of CTV Viewers
The good news? CTV isn’t just for the tech-savvy younger generations. As more people switch to streaming, older demographics are also jumping on the CTV bandwagon. This means that content creators and advertisers now have to think beyond millennials and Gen Z. While younger viewers are still the main drivers of CTV usage, Boomers and Gen X are making the switch, too.
So, what does this mean for advertisers? It’s time to get your targeting game right. Understanding the preferences and behaviors of your audience—whether they’re young, old, or somewhere in between—is essential for crafting content that resonates. It’s all about finding that sweet spot where demographics, preferences, and timing meet.
Key Connected TV Advertising Trends
Programmatic CTV Advertising
We’re all about efficiency in 2025, and programmatic advertising is the secret sauce for getting the most bang for your buck. Programmatic CTV advertising allows you to automate the ad-buying process, letting data take the wheel. Instead of guessing where your audience is or how they’ll engage, you can use data-driven insights to make smarter decisions in real-time.
This means less wasted spend and more targeted, relevant ads for viewers. Plus, with the increase in CTV usage, advertisers can now reach a massive, engaged audience, without the hassle of traditional ad buying.
Interactive and Shoppable CTV Ads
Forget the days of passively watching ads. Today’s CTV ads are designed to keep viewers engaged and active. Interactive ads allow viewers to choose their own path, while shoppable CTV ads let them purchase directly through the TV screen. No more waiting until after the show to find the product you saw in an ad—you can buy it on the spot.
What makes interactive CTV ads so powerful?
- Immediate engagement that captures viewer’s attention
- Personalized journeys based on individual preferences
- Direct conversion opportunities right from the living room
- Rich data collection on viewer interests and behaviors
As interactive and shoppable ads continue to grow, they offer advertisers a whole new level of engagement. Instead of just watching, viewers can interact, shop, and engage with the content. It’s like a shopping spree, but from the comfort of your couch.
Cross-Platform Integration
Here’s the kicker—CTV isn’t just a standalone experience. It’s part of a bigger picture. Cross-platform integration is becoming the norm, meaning that advertisers are now blending CTV with other digital platforms like mobile, social media, and even desktop. The goal? Consistent, multi-channel campaigns that hit viewers wherever they are.
This strategy ensures that your audience is consistently exposed to your brand, whether they’re watching TV, scrolling through Instagram, or checking their email. Multi-channel campaigns allow advertisers to reach viewers at every touchpoint, increasing the chances of engagement and conversion.
Privacy and Data Protection
We know you’re all about personalized ads, but with the growing focus on privacy, advertisers have to be smarter about how they collect and use data. Privacy regulations like GDPR and CCPA are tightening the reins on how advertisers track and target consumers, and the consequences of not complying can be severe.
But there’s a silver lining. Many advertisers are shifting to first-party data—information they gather directly from their audience, like purchase history and viewing behavior. Not only does this help comply with privacy laws, but it also builds trust with consumers who are increasingly concerned about how their data is being used.
CTV for Live Events and Sports
If you thought CTV was only for on-demand streaming, think again. Live events, particularly sports, are becoming major players in the CTV space. With streaming services offering live broadcasts of major sports events, advertisers now have an opportunity to reach real-time, engaged viewers. From the Super Bowl to the Olympics, CTV is creating new opportunities for advertisers to connect with audiences in meaningful ways.
Top live events that are driving CTV engagement:
- Major sports championships with global audiences
- Award shows bringing in entertainment enthusiasts
- Breaking news coverage for information seekers
- Live concerts and music festivals attracting passionate fans
Imagine running a targeted ad for a snack brand right in the middle of a big game. Or, better yet, targeting fans watching their favorite team’s live stream with relevant, personalized ads. The possibilities are endless, and this CTV trend is only set to grow in the coming year.
Addressable CTV Advertising
Imagine this: you’re not just running ads for a general audience. With addressable CTV advertising, you can target specific households based on detailed data. Think income, location, family size—data that gives you the ability to serve personalized ads directly to the people who will benefit most from them.
This level of precision isn’t just about targeting the right people; it’s about creating a more personalized experience for viewers. And let’s be honest—viewers are much more likely to engage with ads that feel like they’re speaking directly to them.
CTV for Smaller Advertisers
Don’t have the budget for a Super Bowl ad? No worries. Thanks to programmatic advertising and self-serve platforms, smaller advertisers can now dive into the CTV space without breaking the bank. These platforms make it easier for smaller businesses to create and run targeted ad campaigns on CTV networks.
As CTV continues to democratize the advertising space, more small and medium-sized businesses will be able to tap into this lucrative market, leveling the playing field with larger brands.
Omni-Channel Marketing
Connected TV is no longer just a standalone advertising channel—it’s an integral part of a larger omnichannel marketing strategy. With seamless integration across platforms, advertisers can now create consistent messaging across TV, mobile, social, and desktop.
Benefits of an omnichannel approach with CTV:
- Seamless customer experience across all touchpoints
- Higher brand recognition through consistent messaging
- Improved attribution tracking for better ROI measurement
- More effective retargeting opportunities
This consistency helps brands maintain a unified presence across all channels, making it easier to nurture customer relationships and build brand loyalty. The days of siloed marketing strategies are over—it’s time for a holistic approach that spans all touchpoints.
Advanced Ad Targeting and Personalization
Last but definitely not least, advanced ad targeting and personalization are pushing the boundaries of CTV advertising. By using data-driven insights, advertisers can serve more relevant and engaging ads tailored to individual preferences and behaviors. This leads to higher engagement rates and better performance across the board.
With CTV offering more sophisticated targeting options, advertisers can now personalize content based on viewing history, purchase behavior, and even location. This level of precision makes it easier to reach the right audience with the right message at the right time.
Summary of Key CTV Trends to Watch
The world of CTV advertising is rapidly evolving, and staying ahead of the curve is key to success. From programmatic advertising to interactive ad experiences and cross-platform integration, there are plenty of exciting developments to keep an eye on in the coming year. For advertisers, it’s not just about keeping up—it’s about staying one step ahead and optimizing strategies to maximize revenue.
As CTV continues to transform the advertising world, the opportunities are endless. From targeting specific households with personalized ads to creating immersive, shoppable ad experiences, the future of CTV is bright, and the time to act is now.
