City at night
Photo credit: Pexels

During the global pandemic, the advertising industry experienced a significant shift from traditional television to Connected TV (CTV). This shift was driven by increased viewership, CTV's targeted advertising opportunities, and performance analysis capabilities, free from reliance on cookies.

Anting Chen, a prominent Senior User Researcher at Google, has been instrumental in navigating this paradigm shift, pinpointing key challenges like ad fatigue and targeting limitations. Her methods align immediate advertising needs with strategic foresight for the evolving CTV landscape.

CTV's Shift & Pandemic Impact

In late 2020, the landscape of Connected TV (CTV) advertising was rapidly evolving as viewers increasingly shifted from traditional cable TV to connected platforms. A surge in watch time marked this transition, but the supporting technology was still developing. Advertisers faced challenges such as repetitive ads and limited targeting capabilities, leading to significant viewer disengagement and fatigue.

"Eyeballs shifted quickly from traditional cable TV to connected TV, but advertising dollars have moved more slowly as the industry catches up and develops stronger advertising capabilities on Connected TVs," notes Anting, underscoring the changes in the advertising landscape.

The pandemic further accelerated the adoption of CTV, prompting advertisers to redirect more budgets from linear TV to connected platforms in the years since.

This shift spurred innovations in ad formats and targeting strategies. According to Anting, this increased spending highlighted a great need for contextual targeting, which led to a partnership with CTV publishers to share show-level and category-level data. In addition, there was a need to develop a privacy-safe audience targeting solution on CTV in a cookie-less world, so their team partnered with IAB to develop the Identifiers for Advertisers (IFA) standard for audience targeting on CTV. Additionally, the rise of programmatic CTV advertising has democratised ad buying, allowing mid-sized and smaller brands to access premium screens. However, ongoing challenges in measurement, fragmentation, and creative optimisation continue to shape the future of CTV advertising.

Research Strategies And Product Influence

Understanding user behaviour in the Connected TV (CTV) advertising space requires combining traditional research techniques and innovative methodologies. Beyond standard approaches like user interviews, usability testing, and surveys, some researchers employ immersive methods to gain deeper insights.

For instance, the "A day in the life" exercise allows researchers to observe advertisers' daily workflows, providing real-time insights into how they interact with tools, identify issues, and collaborate with their teams. Anting describes how this method fostered empathy within cross-functional teams by offering a comprehensive view of user behaviour.

In addition to observational techniques, field studies are conducted to understand team dynamics, tool usage, and workflow integration within advertisers' workplaces. These hands-on approaches help researchers identify better product integration and cross-team collaboration opportunities.

Anting Chen
Anting Chen

Anting emphasises that influencing across functions—what she calls "influencing up and across"—is crucial in ensuring that research findings directly inform product strategy. Workshops for ideation, prioritisation, and leadership alignment are essential in translating these insights into meaningful product decisions that meet user needs and drive business goals.

Interactive Ads And Frequency Caps

In the Connected TV (CTV) advertising space, driving viewer engagement has always been challenging due to the platform's inherently less interactive nature than web or mobile devices. Innovative features like shoppable ads via QR code integration have been introduced to address this.

Anting notes that during her exploratory studies, advertisers expressed a "strong desire for interactive ad formats" and faced challenges such as "lack of standard execution to enable QR code and add tracking capabilities." These findings led to the conceptualising and designing of interactive ad formats on platforms like YouTube CTV and a more streamlined QR code measurement via Campaign Manager 360, where advertisers could run A/B experiments to refine these features and optimise scan rates and conversions.

Another critical issue in CTV advertising is ad repetition, a source of growing viewer frustration. Research in this area highlighted the importance of minimising redundant impressions to stretch advertisers' budgets more effectively. Anting's research in this space has informed the development of frequency caps across platforms like YouTube and other CTV apps. These caps have significantly improved the user experience by reducing ad fatigue and enhancing engagement. For advertisers, this innovation has optimised ad spend and encouraged more creative and targeted strategies, resulting in more relevant and personalised ad experiences for viewers.

CTV's Growth And Future Potential

The growth of CTV advertising has opened significant revenue opportunities for the industry, driven by the development of innovative features that enhance the platform's appeal to advertisers and viewers. As the CTV sector continues to expand, key opportunities on the horizon could further transform the landscape. According to Anting, "There will be an increasing ability to deliver more relevant ads based on household demographics, interests, and viewing behavior," thanks to stronger partnerships with CTV publishers.

Anting also highlights the potential for increasing interactivity and shoppability, enabling advertisers to create engaging experiences on the large screen. Additionally, data-driven personalisation, powered by advanced analytics, is expected to tailor ad creatives to individual viewers, enhancing engagement and conversion rates. However, as the industry evolves, challenges such as measurement and attribution across diverse platforms and balancing personalised ads with consumer privacy concerns will need careful navigation. Anting's insights underscore the ongoing need for innovation and strategic thinking to overcome these obstacles and seize the opportunities that lie ahead.