Global Advertising On OTT Connected Overview
Connected TV is the latest video advertising trend floating around the industry. Connected TV is defined as a television which connects to the internet. Unlike traditional TV, CTV includes Smart TV’s, Apple TV’s, devices like Roku and Tivo, gaming consoles like PlayStations and X-Boxes. CTV is a channel of Over-the-Top (OTT) video content. OTT content is content which is transferred through the internet without involvement of multi-system operator (MSO). For example, WhatsApp, the free, encrypted, and wildly-popular text-messaging app for smartphones that uses internet connection instead of a mobile texting plan. WhatsApp is a best example foe an OTT messaging application. CTV like Netflix is another example which does the same to traditional television.
Consumer migration from traditional television entertainment towards a customized source and from a standard communication to alternative calling and messaging is driving the growth of the global advertising on OTT & connected TVs market. In addition, high-quality OTT channel, coupled with advanced graphic chips and gaming capabilities are boosting growth of the global market. Also, rising penetration of high speed internet, public Wi-Fi, and unlimited wireless data plans are the key factors expected to fuel growth of the global market over the forecast period. However, fear regarding new technology, uncertainty, and doubt of customers pertaining to smart devices may hamper growth of the global market. In addition, constant need of system updates relatively high cost of smart TVs, and difficult user interface opportunities may also restrain growth of the target market. Nevertheless, increasing adoption of over-the-top market in various applications ranging from finance, e-commerce, education and health worldwide is the ongoing trend observed for the growth of the global market. Moreover, rising video segment of video–on–demand feature that uses cloud services to share cloud data with the audience is creating lucrative growth opportunities for the global market growth. The global market key players are engaged in developing more convenient solutions for easy access of applications. For example, Alphabet Inc. offers products such as Ads, Chrome, Android, Commerce, Google Maps, Google Play, Google Cloud, Google Search, hardware, and YouTube. YouTube is primarily used for video sharing and is the most popular digital platform. It offers both AVOD and SVOD access to digital content. Netflix Inc. derives revenues from monthly membership fees for services related to streaming content to members globally. Netflix is a digital platform where users can access digital content through the internet using various devices like TVs, tablets, smartphones, and laptops.
The global advertising on OTT & connected TVs market is segmented based on device type, content type, revenue model, user type, end-user, and region.
On the basis of device type, the global advertising on OTT & connected TVs market is segmented into smartphones, smart TV's, laptops, desktops & tablets, gaming consoles, and set-top box. The smartphone device type segment is dominating the global market and is expected to maintain its dominant over the forecast period. This is mainly attributed due to increasing adoption of smartphones to stream over-the-top services and growth in potential market for larger screen smartphones in developing economies. Based on content type, the global market is classified into video, audio/VoIP, games, communication, and others. Based on revenue model, the target market is classified into subscription, advertisement, hybrid, and others. On the basis of user type, the target market is bifurcated into personal and commercial. Based on end-user, the global market is segmented into media & entertainment, education & training, health & fitness, it & telecom, ecommerce, BFSI, government, and others.
Based on region the global advertising on OTT & connected TVs market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. In 2017, North America dominated the overall OTT market share, owing to with high broadband access equipment’s as well as number of services, which have already moved on to providing several videos in HD and 4K. In addition, new services such as ESPN, AT&T, Turner Sports and Crown Family Media Networks experienced strong traction in the U.S., which propels growth of the global market. However, the Asia-Pacific region is projected to grow at a fastest CAGR rate, owing to telecommunication providers offering OTT services with their data plans, which fuels the growth of the market.
The key players operating the global advertising on OTT & connected TVs market involves Alphabet Inc., Amazon, Inc., Apple, Inc., Facebook Inc., Google Inc., Microsoft Corporation, FilmOn, Hulu, Roku, Inc., Home Box Office, Inc., Direct TV Now, and Netflix Inc. Prominent players operating in the target market are focusing on the strategic partnerships as well as launching of the products in order to gain competitive edge in the target market. For instance, on September 2019, Eros International Plc has announced collaboration with Microsoft to develop next generation online video platform. In India, this is a unique association for Microsoft in the online video space.
Detailed Segmentation:
Global Advertising on OTT & Connected TVs Market, By Device Type:
- Smartphones
- Smart TV's
- Laptops
- Desktops and Tablets
- Gaming Consoles
- Set-Top Box
Global Advertising on OTT & Connected TVs Market, By Content Type:
- Video
- Audio/VoIP
- Games
- Communication
- Others
Global Advertising on OTT & Connected TVs Market, By Revenue Model:
- Subscription
- Advertisement
- Hybrid
- Others
Global Advertising on OTT & Connected TVs Market, By User Type:
- Personal
- Commercial
Global Advertising on OTT & Connected TVs Market, By End-user:
- Media & Entertainment
- Education & Training
- Health & Fitness
- IT & Telecom
- Ecommerce
- BFSI
- Government
- Others
Global Advertising on OTT & Connected TVs Market, By Region:
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- North America
- North America Advertising on OTT & Connected TVs Market, By Device Type
- North America Advertising on OTT & Connected TVs Market, By Content Type
- North America Advertising on OTT & Connected TVs Market, By Revenue Model
- North America Advertising on OTT & Connected TVs Market, By User Type
- North America Advertising on OTT & Connected TVs Market, By End-user
- North America Advertising on OTT & Connected TVs Market, By Country
- U.S.
- Canada
- Europe
- Europe Advertising on OTT & Connected TVs Market, By Device Type
- Europe Advertising on OTT & Connected TVs Market, By Content Type
- Europe Advertising on OTT & Connected TVs Market, By Revenue Model
- Europe Advertising on OTT & Connected TVs Market, By User Type
- Europe Advertising on OTT & Connected TVs Market, By End-user
- Europe Advertising on OTT & Connected TVs Market, By Country
- Germany
- UK
- France
- Russia
- Italy
- Rest of Europe
- Asia Pacific
- Asia Pacific Advertising on OTT & Connected TVs Market, By Device Type
- Asia Pacific Advertising on OTT & Connected TVs Market, By Content Type
- Asia Pacific Advertising on OTT & Connected TVs Market, By Revenue Model
- Asia Pacific Advertising on OTT & Connected TVs Market, By User Type
- Asia Pacific Advertising on OTT & Connected TVs Market, By End-user
- Asia Pacific Advertising on OTT & Connected TVs Market, By Country
- China
- India
- Japan
- South Korea
- Rest of Asia Pacific
- Latin America
- Latin America Advertising on OTT & Connected TVs Market, By Device Type
- Latin America Advertising on OTT & Connected TVs Market, By Content Type
- Latin America Advertising on OTT & Connected TVs Market, By Revenue Model
- Latin America Advertising on OTT & Connected TVs Market, By User Type
- Latin America Advertising on OTT & Connected TVs Market, By End-user
- Latin America Advertising on OTT & Connected TVs Market, By Country
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- Middle East & Africa Advertising on OTT & Connected TVs Market, By Device Type
- Middle East & Africa Advertising on OTT & Connected TVs Market, By Content Type
- Middle East & Africa Advertising on OTT & Connected TVs Market, By Revenue Model
- Middle East & Africa Advertising on OTT & Connected TVs Market, By User Type
- Middle East & Africa Advertising on OTT & Connected TVs Market, By End-user
- Middle East & Africa Advertising on OTT & Connected TVs Market, By Country
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- North America
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Company Profile:
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- Alphabet, Inc. *
- Company Overview
- Alphabet, Inc. *
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- Chipset Portfolio
- Key Highlights
- Financial Performance
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- Amazon Inc.
- Apple Inc.
- Facebook Inc.
- Google Inc.
- Microsoft Corporation
- FilmOn
- Hulu
- Roku, Inc.
- Home Box Office, Inc.
- Direct TV Now
- Netflix Inc.
- Kellton Tech User Type, Ltd.
- Accenture PLC
- SumatoSoft
“*” marked represents similar segmentation in other categories in the respective section
FAQs
The global advertising on OTT & connected TVs market is segmented based on device type, content type, revenue model, user type, end-user, and region.
Consumer migration from traditional television entertainment towards a customized source and from a standard communication to alternative calling and messaging is driving the growth of the global advertising on OTT & connected TVs market.
North America dominated the overall OTT market share, owing to with high broadband access equipment’s as well as the number of services, which have already moved on to providing several videos in HD and 4K. In addition, new services such as ESPN, AT&T, Turner Sports and Crown Family Media Networks experienced strong traction in the U.S.
Major companies are focusing on collaborations and partnerships. For instance, on September 2019, Eros International Plc has announced collaboration with Microsoft to develop next generation online video platform. In India, this is a unique association for Microsoft in the online video space.