Making connections via connected TV
As more Americans cut the cord to traditional cable, financial institutions should think outside the broadcast box to reach customers and prospects.
Nearly half of consumers perceive ads on connected TV to be more relevant than those on traditional TV, according to the 2022 Vericast Financial Services TrendWatch report.
A connected TV (CTV) is a television used to stream video via the internet. As more people cut the cord to traditional cable and watch TV through streaming services, financial institutions should think outside the traditional broadcast box to reach their customers and prospects.
The shift to advertising through streaming is especially important given that 87% of households have at least one connected TV device, and 46% of adults watch CTV content daily, according to research from Leichtman Research Group.
Connected TV isn’t exactly new, but the notable uptick in streaming service consumption and interest and the maturation of the industry infrastructure have made advertising on CTV even more appealing. As with any marketing channel, you’ll want to measure results with advanced performance metrics including conversions, site and page visits, individual ads, and locations and times.
Today’s marketers want to connect advertising dollars to tangible results such as foot traffic and sales. Validating and quantifying CTV’s effectiveness at conversion is a must for advertisers seeking to realize the full value.
Proposals abound for making the connection between connected TV and conversion, but most leave a lot of questions unanswered, including the most important one: “Did my ads drive conversion?” This is primarily because the digital advertising ecosystem continues to struggle with three major attribution gaps:
Identity resolution: Cookies are on their way out for digital media, and they don’t exist at all for CTV. As a result, most attribution methods don’t give advertisers a reliable way to identify who is seeing the ads, not to mention who responded by visiting a store or buying a product.
Data sources: Attribution often requires a third-party tracking device or depends exclusively on online activities. What happens when your audience isn’t tracked by a third party or when offline activities figure prominently into your attribution calculations?
Data stability. To pinpoint your data and results, you need to validate your data assumptions with both online identifiers and physical addresses. Many attribution methods rely too heavily on one data source, while others are disproportionately affected by consumer privacy choices.
Unfortunately, many media companies take attribution approaches that do not successfully bridge these gaps. As a result, advertisers are often in the dark about the real-world impact of the approach.
What’s missing is transparency. From beginning to end, advertisers deserve to know who they are targeting, how that audience responded and how the insight gained can improve future campaigns. They’re also entitled to know their actual sales figures and the return on advertising spend.
The solution is to do a matchback analysis.
Better targeting: Matchback analysis starts with a complete understanding of the target audience, including a comprehensive mapping of digital identities. This helps you hit the right audience with your message based on who they are, where they are and what they want.
Better data: It’s one thing to know who your general audience is and it’s quite another to be able to reach the specific households you identify. Matchback analysis done right is supported by reliable data.
Better analysis: The “matchback” in this type of analysis involves focusing the picture on who your CTV campaign is targeting against your data, which includes customer and prospect lists. This enables you to watch the effectiveness of the campaign as exposure flows into engagement and turns into new accounts and loans.
A multichannel advertising strategy that includes connected TV is essential to delivering clear, targeted messages to an engaged audience that’s ready and willing to act.
Stephenie Williams is vice president, financial institution marketing product and strategy at Vericast.
Relevant insights for financial services organizations, regardless of where they are in their digital journey, can be found in the BAI Executive Report, “Where does digital transformation go from here?”