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The CTV advertising cost jumped 16% last year, which is a significant jump from 2023, when he laged for online and social videos, according to the IB digital video advertisement and a report on the strategy published today.
The CTV revival indicates a key moment because the digital video has become a dominant force on the TV/video market.
CTV is expected to grow another 13% in 2025 to reach $ 26.6 billion. This will firm CTV firmly in front of an internet video, with the CTV ad spend in 2025. 43% higher than an online video ($ 18.6 billion).
One critical force increasing is for streaming platforms improved programming tools for activating and self -service. These progress significantly facilitated the role of their dollars to ads for brands of all sizes.
This simplicity of activation, in combination with CTV, makes the target and measurement capabilities, makes it a channel of choice in the thoughts of advertisers. Over two -thirds (68%) advertisers said that CTV is crucial to their media plans, setting it on top of the “Must Buy” list, with a social video closed with 62%.
Digital video strengthens dominance, pulling in front of linear television
The CTV revival is part of the wider increase in all digital video advertising. Digital video – CTV, social video and internet video – rose 18% in 2024, and it is predicted to grow another 14% in 2025, reaching $ 72 billion. This is two to three times faster than the total total number of media.
By the end of the year, it is expected that the consumption of digital video ads will be almost 60% of the total spending of TV/video ad, which has more than doubled its share in the last five years. It was only last year that digital video advertising first surpassed Linear TV. The gap is likely to increase in 2025, partly because Linear TV will not have the reinforcement of the costs of the president or the Olympic Games.
Where did the money come from?
The money entering CTV primarily comes from the redistribution. The best sources of these funds (each specified equal percentage of those who increase CTV consumption) are:
- Linear TV (36%).
- Social media (36%).
- Internet video (excluding YouTube, 34%).
- Paid search (32%).
- Digital display (31%).
The search and screen reversal highlights the traders who prioritize the priority of CTV and the target and achievement capabilities.
You are deeper: How to Make CTV Ads Advertisements
Key categories of growth and strategy of emergence
While most categories project double -digit growth in a digital video in 2025, it is predicted that CPG, retail and Pharma are the largest users.
These categories use a digital video for specific strategic advantages:
- Consumption of CPG brands encourages networks of retail media and retail media data, strategic pressure on the diversification of its video presence outside social and internet videos and expanding CTV bids.
- Retail, car and restaurant brands are focused on real time, messages at the location and integration of ad format that can be purchased.
- Pharma brands are increasingly using AI and data to personalize messages, aligning with wider trends in CTV -Ui social video. It is significant that it has been shown that CTV is encouraged by high engagement rates for pharmaceutical ads.
Market dynamics and methodology
As with all recent marketing surveys, this one comes with a big and reasonable star: “Due to its permanent economic insecurity, including tariffs, a geopolitical conflict and a change in consumer feelings, this year’s market is more dynamic than usual.”
The report is based on 364 polls on February 17th and March 7th. Respondents have been checked as industry leaders involved in the recommendation, allegations or approval of advertising spending in a digital video, spent at least $ 1 million on advertising 2024 and working in agencies or directly for brand marketers. It is available to members of the IAB.
