Connected TV advertising isn't just the future; it's a $21.3 billion revolution that has already fundamentally reshaped how audiences are reached, with explosive growth from the U.S. to Latin America proving that viewers are not just accepting but actively preferring the targeted, engaging experience it offers.
Key Takeaways
- In 2023, US CTV advertising spend reached $21.3 billion, marking a 22% year-over-year increase.
- Global CTV ad revenue is projected to hit $30 billion by 2025, growing at a CAGR of 26% from 2020.
- CTV accounted for 40% of all US TV ad spend in Q4 2023.
- 82% of US cord-cutters watch CTV daily.
- 65% of US consumers prefer CTV ads over linear TV ads.
- Average CTV viewing time: 2.5 hours per day per US household in 2023.
- CTV CPM averages $25, 40% lower than linear TV.
- CTV video completion rates: 92% vs 75% for mobile.
- Brand lift from CTV campaigns: 18% average increase.
- Roku share of US CTV ad impressions: 35% in 2023.
- Amazon Fire TV: 22% of US CTV households.
- Apple TV penetration: 18% in US streaming homes.
- CTV projected to reach $40 billion US spend by 2026.
- Addressable CTV to grow 50% annually through 2027.
- FAST channels expected to double to 1,000 by 2025.
Connected TV advertising is growing explosively worldwide with massive consumer adoption.
Advertising Performance and Metrics
- CTV CPM averages $25, 40% lower than linear TV.
- CTV video completion rates: 92% vs 75% for mobile.
- Brand lift from CTV campaigns: 18% average increase.
- CTV ROAS averages 3.2x for e-commerce brands.
- Viewable impressions on CTV: 98% standard.
- CTV search lift: 35% post-exposure.
- Average CTV frequency cap: 5-7 exposures per campaign.
- CTV conversion rates: 2.1% vs 1.2% display.
- Attribution accuracy on CTV: 85% with clean rooms.
- CTV ad recall: 68% unaided after 24 hours.
- Cost per acquisition via CTV: $45 average.
- Engagement rate for interactive CTV ads: 15%.
- CTV outperforms linear by 22% in purchase intent.
- Video ad viewability on CTV: 96.5%.
- CTV incremental reach: 30% beyond linear.
- Average click-through rate on shoppable CTV: 1.8%.
- CTV sales lift: 14% measured in cross-media studies.
- Fraud rate on CTV platforms: under 1%.
- CTV audience retention during ads: 89%.
- Programmatic CTV share: 75% of buys in 2023.
- CTV favorability score: 4.2/5 vs 3.5 for social video.
- Time to purchase shortened by 28% with CTV exposure.
- CTV cross-device lift: 42% in conversions.
- Average pod length on CTV: 90 seconds, 20% shorter than linear.
- CTV measurement error reduced to 5% with ACR data.
- Upper-funnel metrics: CTV boosts awareness by 27%.
- Mid-funnel consideration lift: 19% from CTV.
- Lower-funnel action rate: 12% uplift.
Advertising Performance and Metrics Interpretation
While CTV advertising offers a 40% cheaper CPM and achieves near-perfect viewability with higher completion rates than mobile, its true power lies in driving a measurable 18% brand lift and a 3.2x return on ad spend by engaging audiences who actually watch and act, all while operating at a fraud rate of under 1%.
Consumer Behavior and Adoption
- 82% of US cord-cutters watch CTV daily.
- 65% of US consumers prefer CTV ads over linear TV ads.
- Average CTV viewing time: 2.5 hours per day per US household in 2023.
- 71% of Gen Z uses CTV for streaming weekly.
- 55% of US adults recall CTV ads more than cable ads.
- CTV adoption among US Boomers: 68% in 2023.
- 78% of CTV viewers multitask less than linear TV viewers.
- Hispanic US consumers: 90% CTV penetration.
- 62% prefer ad-supported CTV tiers over paid-only.
- Daily CTV engagement: 45% of US broadband homes.
- Women 25-54: 75% monthly CTV streamers.
- 59% of parents use CTV for family viewing.
- CTV binge-watching: 80% of sessions over 1 hour.
- 67% of millennials skip linear TV for CTV.
- Urban US: 88% CTV household penetration.
- 52% find CTV ads less intrusive than mobile.
- Sports fans: 76% watch via CTV platforms.
- 70% of CTV users share content socially.
- Rural adoption: 72% CTV usage in US.
- 61% prefer shoppable CTV ads.
- Average age of CTV viewer: 44 years old.
- 69% use voice search on CTV devices.
- News consumption via CTV: 58% daily.
- 74% of high-income households use CTV.
- Movie watching: 82% prefer CTV over cinema.
- 56% engage with interactive CTV ads.
- CTV lift in brand awareness: 25% higher than linear.
- 63% of low-income adopt CTV faster than expected.
- CTV viewership peaks at 8-10 PM: 65% of daily total.
Consumer Behavior and Adoption Interpretation
Streaming has not only won the living room but also the attention war, with a staggering 82% of cord-cutters glued to CTV daily, proving that when 65% prefer its ads and viewers binge for 2.5 hours, the traditional TV commercial break is officially, and irreverently, buffering.
Market Size and Growth
- In 2023, US CTV advertising spend reached $21.3 billion, marking a 22% year-over-year increase.
- Global CTV ad revenue is projected to hit $30 billion by 2025, growing at a CAGR of 26% from 2020.
- CTV accounted for 40% of all US TV ad spend in Q4 2023.
- European CTV market grew by 35% in 2023 to €5.2 billion.
- CTV ad spend in APAC surged 45% YoY to $4.8 billion in 2023.
- US CTV households reached 84 million in 2023, up 10% from 2022.
- CTV represented 13% of total global digital ad spend in 2023.
- FAST channels drove 25% of CTV ad impressions in the US during 2023.
- CTV ad market in Latin America grew 50% to $1.2 billion in 2023.
- By 2027, CTV ad spend expected to surpass linear TV in the US at $37 billion.
- CTV ad revenue per household in US averaged $250 in 2023.
- Global CTV penetration hit 65% of TV households in 2023.
- US CTV ad growth outpaced total video ad growth by 15% in 2023.
- CTV spend share of total TV ads reached 28% in US Q3 2023.
- India CTV ad market expanded 60% to ₹15 billion in 2023.
- CTV ad dollars grew 30% faster than social video ads globally in 2023.
- US Hispanic CTV ad spend hit $2.5 billion, up 28% in 2023.
- CTV market in Canada reached CAD 1.8 billion with 32% growth.
- By 2024, CTV expected to claim 50% of US streaming ad revenue.
- CTV ad ecosystem valued at $25 billion globally in early 2024 estimates.
- Australia CTV ad spend grew 40% to AUD 800 million in 2023.
- CTV contributed 20% to total OTT revenue growth in 2023.
- Brazil CTV market hit BRL 3 billion, up 55% YoY.
- CTV ad spend per impression rose 12% in US 2023.
- Global CTV devices shipped: 150 million units in 2023.
- UK CTV ad revenue: £1.2 billion, 25% growth in 2023.
- CTV overtook desktop video ads in spend share Q2 2023 globally.
- Mexico CTV ad market: $900 million, 48% YoY increase.
- CTV ad allocation by agencies up 35% in 2023 surveys.
- 2024 US CTV forecast: $25.7 billion, 20% growth.
Market Size and Growth Interpretation
The connected TV ad market is staging a global coup, with explosive growth from São Paulo to Sydney proving that the future of advertising isn't just on the screen, but decisively off the grid of traditional television.
Platform and Device Usage
- Roku share of US CTV ad impressions: 35% in 2023.
- Amazon Fire TV: 22% of US CTV households.
- Apple TV penetration: 18% in US streaming homes.
- Smart TVs direct: 45% of CTV viewing devices.
- Google TV/Android TV: 25% market share globally.
- Hulu CTV ad impressions: 15% of total US FAST.
- Samsung TV OS: 12% of connected TVs in Europe.
- Gaming consoles for CTV: 10% US usage.
- LG webOS: 14% share in smart TV OS market.
- Peacock platform: 8% of CTV streaming hours.
- Chromecast devices: 20 million active US users.
- Vizio: 11% of US CTV ad platform share.
- Netflix ad-tier: 5% of CTV ad impressions Q4 2023.
- Hisense smart TVs: 9% global shipment share.
- Disney+: 12% CTV viewing share in US.
- Tablets for CTV casting: 7% usage rate.
- TCL Roku TVs: 28% of Roku-enabled devices.
- Paramount+: 6% ad-supported CTV hours.
- Mobile-to-CTV casting: 22% of sessions.
- Sony TVs: 8% connected TV market share.
- YouTube CTV app: 40% of US streaming time.
- FAST platforms like Pluto TV: 18% CTV share.
- Xbox/PlayStation CTV: 9% gamer households.
- Amazon Prime Video: 25% of ad-tier CTV views.
- Voice assistants on CTV: 35% device integration.
- Hybrid devices (stick + TV): 15% growth in adoption.
- European Roku expansion: 10% penetration in UK.
- Apple TV+ ads planned: targeting 10% share by 2025.
- Smart TV OS fragmentation: top 5 control 85%.
- CTV gaming apps: 12% of platform usage.
- Global Fire Stick sales: 50 million units 2023.
Platform and Device Usage Interpretation
The CTV landscape is a Wild West of competing platforms, desperately in need of a sheriff, as no single player dominates enough to declare a clean victory.
Trends and Future Projections
- CTV projected to reach $40 billion US spend by 2026.
- Addressable CTV to grow 50% annually through 2027.
- FAST channels expected to double to 1,000 by 2025.
- AI-driven CTV targeting to dominate 60% of buys by 2026.
- Shoppable ads on CTV: 30% penetration by 2025.
- Global CTV households: 1.2 billion by 2027.
- Programmatic share to hit 85% of CTV by 2025.
- CTV measurement standardization by 2026 across 90% platforms.
- Live sports streaming on CTV: 40% share by 2025.
- User-generated content on CTV platforms up 200% by 2026.
- Privacy-first CTV: 70% cookieless by 2025.
- AR/VR integration in CTV ads by 2027: 15% campaigns.
- CTV local ads to grow 35% annually to 2028.
- Global FAST revenue: $10 billion by 2027.
- Cross-screen CTV orchestration: 80% adoption by 2026.
- CTV e-comm direct response: 25% of spend by 2025.
- 5G impact: 50% faster CTV load times by 2026.
- Interactive CTV pods standard by 2027: 50% usage.
- CTV for B2B marketing: 20% growth annually.
- Unified ID solutions cover 75% CTV inventory by 2025.
- CTV podcast integration: 10% platforms by 2026.
- Sustainable CTV ad tech: 40% priority by 2027.
- Global CTV CAGR: 24% through 2030.
- Headless CTV experiences: 30% by 2026.
- CTV influencer partnerships: 25% campaigns by 2025.
- Blockchain for CTV transparency: 15% adoption by 2027.
- CTV in emerging markets: 40% annual growth.
- Voice commerce via CTV: $5 billion by 2027.
- 8K CTV adoption accelerates ad formats by 2026.
- CTV social commerce features: 35% platforms by 2025.
- Predictive CTV audiences: 60% usage by 2027.
Trends and Future Projections Interpretation
The CTV revolution is a tidal wave of cash, cleverness, and complexity, where ads will not only find you watching dinosaur documentaries in your pajamas but will also let you buy that exact-model shovel, all while a computer you can't see politely pretends it doesn't know your name.