Promoting the Advantages of OTT May Help Boost Advertising Revenue for OTT Providers

The last time we looked at over-the-top (OTT) media, we covered how content providers have the potential to achieve higher viewer retention by leveraging deeper consumer insights. Customers can be targeted and segmented by personal attributes such as lifestyle and passions, as opposed to general demographic attributes like age or gender. Once an audience is established and retained, OTT platforms can offer additional value through highly trackable metrics.

OTT viewing is growing in popularity and performance measurement beats traditional TV

An inherent advantage that OTT providers have over traditional television is the ability to precisely measure the performance of their content. OTT providers know what programs and advertisements customers are viewing, when they are watching and how they are engaging with them. In addition, the number of OTT viewers continues to grow. Sixty-nine percent of U.S. households have at least one television connected to the Internet via a smart TV set or other stand-alone device.4

The millennial audience is an attractive market segment that is driving OTT viewing

OTT average weekly viewing time is on track to rise by 425% between 2014 and 2020 from 3.6 hours to 18.9 hours.2 Leading this shift in content viewing are Millennials, who have now surpassed Baby Boomers as the largest generation, creating a fresh set of consumers for companies to target.And that targeting will increasingly take place through OTT advertising as more consumers cut the cord. In 2016, 25% of U.S. households relied solely on broadcast-only or Internet-only television content viewing.4

Millennial profile data can help OTT providers to develop lucrative hyper-targeted millennial advertising packages

All of this adds up to opportunities for OTT providers to develop Millennial-focused advertising packages that discerning marketers will love. Consider the efficacy of a hyper-targeted ad campaign to millennials for a specific credit card offering or a luxury travel company. Rich viewer data and the layering of external economic profiles on top of the already robust data that OTT providers gain from their platforms enables better segmentation, which can help boost the value of the ads.

Consider arming your advertising sales team with enhanced packages and education on the key advantages that OTT has over traditional TV. As an additional supporting resource, check out our infographic: 5 Things OTT Providers Should Know about Their Millennial Audiences.


1Leichtman Research Group,


3The Wall Street Journal,