OTT Advertising: A Rich Opportunity 

OTT Advertising: A Rich Opportunity 

For a long time now, traditional TV has been the touchstone of advertising. But the tides are turning. There has been a dramatic increase in the number of subscribing to OTT services. With over 200 services now available, and an estimated 200 million subscribers by 2022, a move to OTT will be a boon to advertisers. 

The OTT industry is still taking shape with the rapid changes and developments in technology, new market research and changing consumer behavior. Here are a few reasons why advertisers should increase their ad spend in OTT environments: 

It’s where viewers already are 

Did you know that over 71 percent of Internet users log in to an OTT service? With over 150 million global users using streaming services every day, it is simple logic that dictates that’s where the ads should be. 

The average time spent on OTT platforms in India is about 70 minutes/day. And with this spread of internet availability and smartphones, this number is only going to increase. 

It’s where viewers are most engaged 

OTT audiences are known to be more engaged audiences given the variety of options provided by streaming services- they pay attention to the content they chose to watch rather than having it play in the background. This leads them to be more engaged with the accompanying advertising. Studies have found that OTT platforms were 67 percent more effective per exposure at driving purchase intent rather than ads on broadcast and cable TV. 

New value proposition for advertisers 

In the USA, nearly 60% of Americans have cut the cord and have migrated to OTT devices and streaming-only services such as Netflix, Disney+, etc. 

In Q4 of 2019, there was a decline of nearly 12-15 million active subscribers for cable and satellite mediums. A major reason for this decline is a shift to OTT services. With this number set to increase in the future, it is impossible for advertisers to reach these audiences without spending on OTT. 

It’s more customizable and optimizable 

While the media landscape is becoming increasingly fragmented, this fragmentation is one of the benefits of OTT. As new platforms come to the forefront, audiences continue to break away and choose the content that’s most relevant to them. This enhanced relevancy opens up new doors for advertisers to make meaningful connections with more curated messages. Increased ad relevance is one of the top three benefits advertisers see in OTT, right behind campaign optimization and delivering to hard-to-reach audiences.  


As more players enter the OTT space in the near-to-medium term, those that make the investment now will be positioning themselves for greater impact and success. Those that get the formula right–and commit to OTT before it’s part of every marketing department’s budget–have a unique opportunity to stand out in this brave new world.