Latin America. The Spanish company SunMedia presented the main conclusions of the study recently conducted by Comscore, which analyzes the use of Connected TV in seven countries in Latin America, including Argentina, Brazil, Chile, Colombia, Mexico, Peru and Uruguay.
The survey investigates how consumers in the region use connected TV -that is, Internet-connected television-, the content they consume and their perception of advertising, among others.
The study developed in collaboration with IAB Argentina, Chile, Colombia, Mexico, Peru and Uruguay, sponsored by SunMedia as main sponsor and other leading companies in the industry, reveals key information for brands to make the most of this new advertising medium.
The consumption of Connected TV in Latin America has been growing steadily and today has reached more than 150 MM watchers, that is, 41% of the Latin American population consumes Connected TV. This not only reflects a business in full development, but also gives the pattern that its evolution will be accelerated in the coming years due to the new opportunities offered by this market.
Being that 97% of households that consume CTV have at least one Smart TV, this turns out to be the preferred device to watch content. 96% of respondents claimed to watch a video on a Smart TV in the last month; while 22% did it through other streaming devices and 18% on a video game console. In addition, most users have watched digital video using smartphones, computers or tablets. This reaffirms the growing trend of multi-screen consumption.
Among the main benefits identified for advertisers in CTV is the possibility of accessing young audiences, specific segments and, above all, the ability to control the frequency of exposure to advertising. This last point makes advertising investment more efficient significantly by avoiding waste.
One of the biggest advantages of CTV is that audiences take actions after being exposed to advertising, such as: after seeing an ad, 32% of people know about a new product, 31% search for the product advertised online, 24% discuss what they saw, 19% talk about advertising with someone and 15% have bought something they have seen. In a deeper analysis of viewing habits, two very common behaviors are identified: marathoning and multitasking.
"Among the report's most relevant findings for advertisers, we found that 40% of respondents expect ads to be relevant to themselves and their interests. Knowing what consumers expect from advertising is a key fact to develop effective campaigns in connected TV for brands, an important differential that cannot be achieved through linear television, especially in the sub 35 targets, "says Indiana Quiñones, Country Manager Southern Cone of SunMedia.
And he adds: "It is worth mentioning that the CTV solution allows advertisers to reach the lowest age targets, in this way impact the light tv viewers, and without going any further to obtain an incremental reach that today they can not achieve through linear TV. That is, achieve more extra points of coverage at a cost per fixed point. This benefit is an exclusive attribute of the digital industry since it works with minimum frequencies and capping in which each impact can proportionally increase the reach points. If we think about the future of the business in the medium to long term, thanks to the increase in sales of smart TVs, the improvement in internet connections and the benefits achieved for brands from CTV advertising, we can anticipate that we are on track to reach an outstanding level of maturity in Latin America".
