top of page
Search

Beyond the Skip Button: How OTT Advertising Captures Audiences

  • Writer: Riti Dave
    Riti Dave
  • Aug 29, 2024
  • 7 min read

I was looking for some inspiration for my first blog post — something that could earn the title "Riti-cally Acclaimed." And, somehow nothing was clicking until, surprisingly, an OTT ad caught my attention. It was a Sephora ad on Hulu. Now, I’m usually the type to start scrolling through Instagram the moment an ad starts playing, but this one managed to hold my attention for a couple of reasons.


First, it wasn’t one of those poorly targeted and overly repetitive ads about very specific diseases and drugs that I am not the right audience for. Instead, it was from Sephora, a brand I actually have some interest in. Second, the ad was focused on promoting availability of hair care products at Sephora, not the usual make-up or perfume advertising. This got me wondering what insight led them to highlight that category. And as I was thinking about it, the idea for this blog post just clicked into place — OTT Advertising.


OTT advertising is a field I've come to understand deeply, thanks to the range of clients I've worked with. I collaborated with a tech company that provided SaaS solutions to help OTT platforms optimize ad revenue. I also partnered with a digital marketing agency that integrated OTT into their multi-channel strategies for enhanced brand experiences. Another client, a tech firm, focused on testing and ensuring the quality of OTT services for smooth ad delivery. Lastly, I guided brands on how to effectively leverage OTT advertising as part of their broader marketing plans.


Through these varied experiences, I've seen the inner workings of OTT advertising from multiple perspectives, and it all comes down to one thing: customer experience. Is the right person seeing the right ad at the right time? That’s the ultimate question every marketer aims to answer, and it’s where its real impact lies.


Today, OTT platforms have become the preferred medium for entertainment, a shift that was significantly accelerated by the pandemic. While this transformation brought new opportunities for content consumption, it also changed how consumers interact with advertisements. Not long ago, cable TV was the norm and we had to memorize channel numbers, schedule our time around shows, and sit through generic ad breaks featuring everything from water purifiers to pizza delivery. Back then, ad targeting was broad and unrefined—everyone in the house saw the same ads on the same TV.


Now, content is consumed on personal devices, making the viewing experience more personalized and allowing brands to target ads with much greater precision. As OTT platforms expand and explore ways to monetize their vast content libraries, they offer brands highly targeted advertising options that align perfectly with viewers' habits and preferences. This ability to deliver relevant, data-driven ads has led OTT advertising to become a crucial component of modern marketing budgets. For marketers, this means creating ads that not only reach the right audience but also seamlessly integrate into their viewing experience, turning potential disruptions into meaningful engagements.


Ultimately, there is no escaping OTT advertising—for brands, marketers, or consumers. As a marketer who believes in a consumer-centric approach, here are five key recommendations I would offer to help clients make their interactions on OTT platforms more meaningful.


  1. Leverage Data for Content & Targeting

    Data is one of the most valuable assets for a company, especially for making informed decisions. In OTT advertising, data plays a crucial role in both targeting and content creation. Understanding the demographics, preferences, and geographic distribution of your target audience allows for more precise ad targeting. For example, I likely saw a Sephora ad because my profile matched their targeted criteria—perhaps a 20-30 year-old living in the USA with an interest in beauty, skincare, and personal care. 


    But it’s not just about who sees your ad; it’s also about what they see. Data analysis can help determine which content resonates best with different audience segments. A brand like Sephora might run several ads simultaneously—one focused on perfumes and another on hair care. The ad I saw was about hair care, likely because my profile indicated a stronger interest in that category. 


    By leveraging data to tailor both targeting and content, brands can make their ad campaigns more relevant and effective. However it isn’t a one-time setup but a continuous cycle of analyzing and refining the strategies to deliver the right message to the right audience, making advertising more impactful.


  2. Optimize Timing & Frequency

    Timing and frequency are critical factors that can make or break an ad’s impact. Even a great ad shown at the wrong time or shown too often can quickly lose its effectiveness. If an ad appears too frequently, it can lead to viewer fatigue and cause the audience to tune it out entirely. For instance, if a Sephora ad played during every commercial break, it wouldn't take long before I became desensitized to it, or worse, annoyed by it.


    On the other hand, the timing of an ad placement also matters. If the ad plays at a moment when viewers are more likely to exit the platform—such as at the very end of a show or movie—the chances of engagement drop significantly. Ideally, ads should be strategically placed at moments when viewers are most attentive but not overwhelmed. The key is to find the right balance: showing the ad enough times to create awareness and drive action, but not so much that it becomes background noise or a source of irritation.


    Having a strong strategy for managing ad timing and frequency not only enhances the customer experience but also directly affects the effectiveness of the money invested. By carefully controlling when and how often ads are shown, brands can optimize their ad spend, ensuring that each impression delivers value, boosts recall, and drives action, thereby achieving a higher ROI in a competitive OTT landscape.


  3. Align Messaging with Viewer Context

    A good ad aligns with the viewer's mindset—it knows when to inform, engage, or drive action without being intrusive. Ad messaging for OTT requires a different approach than for social media. On platforms like Instagram, users can easily swipe up from a story to visit a brand’s website, making direct calls to action (CTAs) effective. However, in the context of OTT, viewers are more immersed in their content, less likely to pause a show or movie to explore a brand's website. Here, ads that focus on informing rather than immediate action are often more effective.


    For example, the Sephora ad I encountered simply informed me about the availability of hair care range, aligning with my viewing mindset without demanding immediate action. This subtle messaging builds awareness without interrupting the viewing experience. However, strategically placed CTAs can still drive results on OTT platforms. Ads with a CTA could be more effective if placed at the end of a show or movie, where viewers are transitioning out of content and more open to engaging with external sites.


    Using a storytelling format across episodes can also be powerful. An initial ad could introduce a product or service, and a subsequent ad at the end of an episode could encourage a visit to the brand’s website. This sequential approach builds curiosity and familiarity before prompting action, enhancing both engagement and effectiveness.


  4. Use Strategic Product Placements

    Ads often feel like an interruption, content that pops up out of nowhere. However with OTT platforms, it has become easier for brands to move beyond conventional ads to more accessible and dynamic product placements that seamlessly integrate into the content viewers are already engaged with. Brands can now select specific shows or scenes that align perfectly with their target audience’s preferences, creating a more organic connection.


    While this approach may require higher investment, it can be incredibly rewarding if it goes viral or gains media attention, offering valuable organic promotion. For instance, Sephora could have a character in a show visit their store to buy hair care products—an obvious yet contextually fitting placement. Alternatively, a more subtle integration could involve a character casually using Sephora products, making it a natural part of the storyline rather than an explicit focus.


    In my view, this is the most creative way to promote a brand because it blends marketing with entertainment, enriching both. It also opens up opportunities for brand collaborations and cross-promotions, providing depth to marketing efforts and enhancing visibility in unique, memorable ways.


  5. Integrate Across Marketing Channels

    In marketing, every channel is interlinked. Rather than having standalone strategies, a successful marketing approach involves integrating efforts across channels to deliver a consistent message and achieve a common goal. OTT ads can be highly effective in building awareness, but they aren’t enough on their own—they need to be woven into a larger, unified strategy that ensures a seamless brand experience. 


    The same core messaging and creative should echo across OTT, social media, email campaigns, influencer collaborations, website banners, in-store promotions, and more. For instance, if an OTT ad informs me about availability of hair care products at Sephora, a targeted Instagram ad should follow with a call to action. Once on their website, I should see related promotions or content reinforcing that message. This cross-channel alignment reinforces brand recall and creates a seamless customer journey, increasing the chances of conversion.


    An integrated marketing approach is about meeting consumers wherever they are—whether on streaming platforms, social media, brand website or in-store—ensuring each interaction is connected and relevant. This cohesive strategy amplifies the impact of each channel, enhancing engagement and driving better results.


As OTT platforms reshape the way we consume content, they offer marketers a unique space to engage audiences more deeply and creatively. However, success in this space requires more than just placing ads—it’s about creating a well-rounded strategy that makes every viewer interaction count. By leveraging data, optimizing timing, crafting tailored messages, integrating smart placements, and aligning all channels, brands can build a stronger connection with their audience.


Success in advertising now depends on relevance, seamless integration, and a strong focus on the consumer experience. Brands that prioritize these elements and evolve their strategies to fit the changing OTT landscape will capture more than just attention—they'll foster deeper connections and loyalty. In a crowded digital world, it's these thoughtful, integrated approaches that will differentiate brands and leave a lasting impact on today’s viewers.


 
 
 

Comments


bottom of page