What is OTT? A complete guide to over-the-top

People have always been trying to engage with new ways of entertainment. OTT is one such latest innovation that has a tremendous impact. OTT (Over The Top) is a media service directly offered to users through the Internet. It bypasses traditional methods like cable, satellite, and broadcast. Media contents are now exclusively made for OTT platforms. Marketers also find a huge potential in these OTT platforms. Since hundreds of people love to binge-watch their favorite TV shows or series, marketing a product or service suitably can give you an edge over others who do not use OTT platforms. OTT platforms provide services directly to the users no matter where they are, what they want to watch and at what time. Thus marketing through OTT helps to reach the audience 24*7. OTT ads, or streaming ads, are delivered to users while watching OTT platforms within the media content, especially videos. This is highly efficient as it helps us reach a larger audience scale than traditional Television. Now let us move into the benefits of OTT marketing.

Benefits Of OTT 

There are many benefits of marketing through OTT. Some of the benefits are : 

Cost Efficiency - OTT services are more cost effective than traditional advertisement methods. Marketers can budget according to their efficiency of advertising. They thoroughly consider each ad's views and impressions and decide in which ad they need to spend more and in which they need to spend less. 

More Engagement - As we know OTT platforms can be viewed from any place, and more people engage with these platforms. Thus OTT advertisements are very beneficial. OTT ads are mostly non-skippable and contextual. They are also personalized, so there is less chance of users not watching the ads. This personalization will also help users to feel valued.

Productive Targeting - By analyzing the details like watching behavior, time spent, demographics, and interests marketers can work on their advertisements. This will increase the accuracy of advertising and ensure higher engagement and conversion rates.

Easy Measurement - Through OTT advertisers can easily measure the important insights. It includes views, impressions, clicks, and completion rates. These metrics will help marketers to optimize their marketing strategies. 

Multi-Device Reach - One of the major reasons for the success of OTT marketing is the multi-device reach it provides. People can use any device like smartphones, TVs, laptops, desktops, and tablets for watching OTT. They are not restricted to a particular device so the marketers will be forced to cultivate advertisements for each device separately and upgrade the quality of the ad according to the device. Usually, short video ads work on every device,

Now we have discussed the benefits of OTT advertising. Let us move into some of the challenges of OTT advertising.

Challenges Of OTT

As we know there are always disadvantages to every business strategy. Similarly, OTT advertising also has serious challenges to consider. Some of the challenges of OTT are : 

Technical Difficulties - As mentioned above, OTTs are not narrowed into a single device it is expanded to many devices so there is a need for strong technical assistance for marketing in various devices. This can be a challenge for small businesses. Buffering and poor resolution are some of the technical challenges. 

Ad-Blocking - A majority of the users use the premium version of the OTT. Thus there will be a minimal number of ads present or no ads at all. This can make OTT advertising difficult.

Ad-Fatigue - Since OTT is the latest innovation in marketing there are hundreds of businesses trying their luck in OTT ads, thus there are high chances of ad fatigue due to load. This can lead to a negative impression among the users. This might affect the brand value.

Privacy Concerns - Marketers collect data regarding the views, history, location, and interests of users. If not properly handled there are high chances this will lead to privacy concerns among the users. 

Ad-Placement - Placing the ad is an important factor in OTT advertising. Context and relevancy should not be forgotten. The ad content should be also decent and placed along with the right context. 

These are basic details that one needs to understand before advertising through OTT. Some examples of OTT platforms are Amazon Prime, Netflix, and Disney Hotstar. OTTs can be seen as the future of marketing, so it is crucial to know the advantages and disadvantages of OTT before entering into the market. We must also not forget that you will require a business companion for efficient tracking and other services. Apptrove MMP will be the right choice for this. Apptrove will help your brand grow and establish a strong position in the market with its distinctive features and dashboard. In this ever-evolving digital landscape, Apptrove will help you to exploit every possible opportunity and build an impactful and relevant engagement with customers.