
WHAT IS OTT?
OTT (Over-The-Top) is a streaming video content service offered directly to viewers via the internet. The service was named in reference to devices that go “over” a cable box to give the user on-demand access to video content that are similar to TV.
By doing so, it gives advertisers the ability to reach their audiences directly while providing flexibility, without broadcast schedules or geographic limitations.

WHY IS OTT IMPORTANT FOR MARKETERS?
Extended & unduplicated reach - Reach people that are not being captured by Cable TV, with a high impact video format
Increased frequency - Considering audiences that might be impacted on both TV and OTT (reminder messaging)
Targeted mass-media - Potential to deliver high reach campaigns with a more specific audience segmentation vs. Cable / Broadcast
Measurement - Closed-loop methodology to understand the response of people impacted by the ad

“OTT advertising is now a critical component of a brand’s performance marketing mix. It is more than just a branding and awareness play unlike the traditional TV channels. Connectivity of OTT offers scale, measurability and data-driven targeting that can impact the entire marketing funnel.”
Andre Artacho - Managing Director
WHO IS CONSUMING OTT?
More and more consumers are shifting from traditional linear television to OTT platforms for at-home entertainment. As more brands go through digital transformations consumers are getting used to instant gratification and on-demand entertainment, which is fueling the growth of OTT services.
Consumers of OTT can be mainly segmented into three categories, Cord-Cutters, Cord-Nevers and Cord-Shavers.
CORD-CUTTERS
Have left Cable or Satellite TV to move to only OTT TV
Cord cutting has grown 48% in the last 8 years
Median Age of 36 and higher income than traditional Cable
16 Million homes have cut the cord - based on MRI data
CORD-NEVERS
Have never subscribed to Cable or Satellite TV
12% of Adults (31 Million) based on MRI 2019
Median Age of 33 & Median HHI of $52,800
If they opt for Cable will opt for Sling TV, YouTube TV or another vMVPD
CORD-SHAVERS
Downgraded their Cable or Satellite TV packages
33% of US TV household are Cord-Shavers (estimated 79 Million US Adults)
Cable has lost over 7 million subscribers in the past 5 years
OTT subscriptions have increased by over 100 million in the past 5 years
WHY SHOULD YOU INCLUDE OTT IN YOUR MEDIA MIX?
BEST OF THE TWO WORLD
Traditional TV - OTT provides an awareness play through brand stories in ways that resonate with sight, sound, motion, and emotion while being able to reach the mass audience to increase overall awareness.
Digital - OTT is digitally native. It offers that traditional linear TV can't, which is the ability to hyper-target your consumers while providing more robust performance-based metrics.
Investing in OTT should be considered if any of the following apply to you and your brand.
Diminishing return in your current media mix
Tell a brand story in a more cost efficient and effective way
Better impact and compliment your overall marketing funnel
If you want to find out more about the OTT ecosystem or understand how it can impact your current marketing funnel, please reach out to us HERE.