CTV, OTT, and Linear TV: Differences Explained

Differences Explained: CTV, OTT, and Linear TV

Understanding the differences between CTV, OTT, and Linear TV is crucial for DTC marketers. Choosing the right platform can significantly impact your campaign’s effectiveness and reach. This guide will break down these terms, their unique characteristics, and strategic approaches to help you make informed decisions.

First, What’s the Difference Between CTV and OTT?

Connected TV (CTV) and Over the Top (OTT) are often used interchangeably, but they have distinct differences. CTV refers to devices that connect to or are embedded in a television to stream digital content, while OTT describes the delivery of content via the internet without requiring users to subscribe to a traditional cable or satellite pay-TV service. Essentially, CTV is the hardware (e.g., smart TVs, streaming sticks), while OTT is the method of delivery (e.g., Netflix, Hulu) (Nielsen) (Adjust).

Linear TV

Linear TV is the traditional form of television where content is broadcast by networks and watched in real-time according to a fixed schedule. It includes cable, satellite, and terrestrial TV.

Examples of Linear TV

Cable Networks: Channels like ESPN, CNN, and AMC.
Broadcast Networks: ABC, NBC, CBS, and FOX.
Satellite TV Providers: DIRECTV, Dish Network.

Linear TV Strategy

For a successful Linear TV strategy, these are some things to keep in mind:

Immediate Call-to-Actions (CTAs): Use clear and compelling CTAs to drive instant viewer responses.
Media Lengths: Take advantage of the wide variety of media lengths – from 15-seconds, to five minutes, to one hour, and everything in between! – that linear media offers. Each length has a specific role to play in achieving success for your campaign
Tracking: Implement tracking mechanisms to measure responses directly from TV ads. Mechanisms can range from an embedded pixel, a scannable QR code, promotion code, SMS text to a telephone number,
Performance Analytics: Use real-time analytics and response tracking to measure effectiveness and adjust strategies on the fly.

Connected TV (CTV)

Connected TV refers to any television used to stream video over the internet. This includes Smart TVs, gaming consoles, and streaming devices like Roku, Amazon Fire TV, and Apple TV.

Examples of CTV

Smart TVs: Televisions with built-in internet capabilities.
Streaming Devices: Roku, Amazon Fire TV, Apple TV.
Gaming Consoles: PlayStation, Xbox.

CTV Strategy for Direct Response

To leverage CTV effectively, here are a few key considerations:

Precise Audience Targeting: Utilize granular targeting to reach your ideal customer with personalized messages.
Interactive Ad Formats: Use shoppable ads and interactive elements such as clickable links or QR codes to drive immediate viewer engagement.
Real-Time Data Utilization: Adjust campaigns in real-time based on viewer interaction and response data.
Cross-Device Retargeting: Follow up with viewers across multiple devices to reinforce messaging and drive conversions.
Conversion Tracking: Monitor viewer interactions and conversions in real time to optimize ad performance.

Over the Top (OTT)

OTT refers to the delivery of TV and film content via the internet, bypassing traditional cable or satellite providers. It includes services like Netflix, Hulu, and Amazon Prime Video.

Examples of OTT

Subscription Services: Netflix, Hulu, Disney+.
Ad-Supported Services: Peacock, Pluto TV, Tubi.
Transactional Services: iTunes, Google Play Movies & TV.

OTT Strategy for Direct Response

To optimize your OTT strategy, you want to consider:

Personalized Ad Experiences: Deliver tailored ads based on viewer behavior and preferences to increase relevance and in turn, increase response rate.
Dynamic Ad Insertion: Use dynamic ad insertion to place timely and contextually relevant ads within content streams.
Engagement, Conversion Tracking and Performance Metrics: Monitor and measure viewer engagement to track conversions directly linked to OTT campaigns. Track detailed engagement metrics such as click-through rates, conversions, and return on ad spend (ROAS).
Multi-Platform Integration: Ensure a seamless and cohesive ad experience across various OTT platforms to maximize reach and effectiveness. Ensure consistent messaging and branding across all devices and platforms to reinforce your CTAs.

Putting It All Together: CTV, OTT, and Linear TV

Understanding the differences between Linear TV, CTV, and OTT is essential for crafting an effective performance-based media strategy. Each platform offers unique benefits and opportunities for targeting and driving response. By integrating these approaches, DTC marketers can maximize reach, enhance viewer engagement, and drive better campaign performance.

At Cannella Media DTC, we specialize in leveraging these platforms to deliver performance-based marketing solutions tailored to your brand’s needs, campaign objectives and success metrics. Whether you’re looking to enhance your current strategy or considering a switch from your media agency, our expertise in CTV, OTT, and Linear TV can help you achieve your marketing goals.

Let’s Talk!

Caitlin Haire

Caitlin Haire is the VP Marketing & Communication at Cannella Media, DTC, where she excels in driving impactful direct-to-consumer (DTC) marketing strategies. Leveraging her strategic mindset and data-driven approach, she collaborates cross-functionally to optimize campaign performance and achieve business objectives. With a keen eye for innovation and a commitment to excellence, Caitlin is continually pushing boundaries in the dynamic world of DTC marketing.

RVTV Expands Distribution: Now Available to DIRECTV Streaming Customers

October 2, 2024

Cannella Media DTC is proud to announce the launch of RVTV on DIRECTV. This new distribution agreement further extends RVTV’s reach, making its premium recreational vehicle (RV) content accessible to a broader audience without any additional subscription fees.

The Savvy DTC Marketer’s Guide to Streaming Platforms

July 31, 2024

Streaming options are as varied and dynamic as the content they deliver. For direct-to-consumer (DTC) performance marketers, understanding these options isn’t just advantageous—it’s essential. Here’s our guide to streaming platforms, highlighting their unique features and strategic advantages.

Audience Engagement in the Streaming Era

July 29, 2024

Brands are finding innovative ways for audience engagement. This shift is not just a trend but a fundamental change in how brands can more fully engage with their audience, emphasizing brand awareness through meaningful exposure and association. How does this approach contrast with traditional ad-buys and contextual advertising, and how does it create intentional awareness and affinity outside of a conventional, transactional sales relationship?

Share: