How To Avoid Missteps With CTV Advertising

People aren’t watching cable or satellite TV like they used to. But people are still watching TV and a lot of it. Today, it’s the streaming service that people flock to for their favorite shows or genres. Streaming can offer the most personalized experience to the viewer, from a curated, “Shows you’ll like,” list down to buttons the customer can hit to “like” or “dislike” a series. These actions happen through a connected TV (CTV), which is a TV connected to the Internet to stream video. 

Streaming usage continues to grow each year as more Americans move away from traditional cable and broadcast services. According to eMarketer, 2024 will see an estimated 10 million adults—spanning 5 million households—cut the cord. These findings align with insights from Adtaxi’s 2024 Streaming TV Survey and Study. By the end of 2024, U.S. brands are expected to invest over $28 billion in CTV advertising—representing a third of the total TV ad spending, including both CTV and linear formats, according to eMarketer. 

This trend confirms streaming’s growing dominance in the market, fueled by consumers increasingly turning to digital devices for their entertainment. Brands need to adapt their strategies to capitalize on this shift and position themselves effectively in the evolving digital landscape. 

The COVID-19 pandemic shut down most entertainment options people could participate in outside the home. Streaming habits increased during this time, and customers got the chance to design their viewing schedules. CTV advertising became even more lucrative since it was one of the top places to reach people during the pandemic.

As lucrative as it is, advertisers still misstep in the world of CTV. Here’s what to know about the common mistakes advertisers make and ways to avoid them.     

Top CTV Advertising Missteps

Settling on the first platform that comes to mind. 

If you put your advertising budget eggs in one basket, you’ll be limiting your return on ad spend (ROAS). While Roku is one of the top platform performers, it’s wiser to diversify your CTV portfolio and get a farther reach (think Hulu, Amazon Fire TV, Apple TV, Plex, etc.). If you want to attract new customers, you need to court a diverse audience. The way to find this diversity is across multiple platforms ­— not just one.    

Using limited data. 

We’ve never had so much data to sift through, thanks to technology integrated into all aspects of our lives. Customers leave digital footprints through each step of the viewing process. Some advertisers stop gathering data after they find data on customer’s completion rate and viewability. But that’s leaving out a few key data points that measure how effective your ad strategy is. You need data that helps you tell the whole story.

Assuming you already know your audience. 

CTV info is based on a customer’s IP address, which identifies the device through the Internet. You can’t assume you already know the person on the other end of the screen just because you have data on their email address, their phone number, etc. The person watching might be in a five-person household — so, who’s watching? You need better identifiers.

Steps to Take to Avoid CTV Mistakes

The popularity of digital video is going to continue increasing. Learning about the do’s and don’ts will inform your ad budget and optimize its performance. Once you know the missteps, it’s easier to start and maintain your CTV campaign.

The biggest things to remember is to use your data properly and make sure you’ve done all you can to know your audience. 

Here are other tips that help you avoid common CTV mistakes:

-Know what platforms you want to stream on and why.
-Diversify your streaming platforms, especially if you’re a new advertiser.
-Optimize your CTV performance by working to make your data measurements include the completion rate, viewing, frequency, reach, and conversion rate.
-Know the common CTV mistakes and challenges before you finalize your ad strategy.
-Make your audience targeting precise (based on where someone lives, key points about their demographic, how much money they make, etc.).
-Don’t waste your ad budget by pouring in too much ad funding without a clear CTV strategy.
-If you make your ad relevant and personalized to the watcher, they are more likely to complete it.

–Understand how to read your data and look for gaps in what’s missing.

The rise of streaming has transformed how advertisers connect with audiences by enabling precise targeting based on viewing habits. During the pandemic, CTV advertising surged as one of the most effective ways to reach consumers. Today, streaming has solidified its place as the preferred method of content consumption in the U.S., outperforming traditional cable and broadcast across every demographic—regardless of age, gender, or income. For brands, this shift underscores the need to rethink their strategies and leverage CTV to stay competitive in the evolving digital space. Yet, many advertisers struggle to effectively capitalize on CTV. By avoiding common pitfalls, you can build smarter, more impactful CTV campaigns.

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