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The Complete CTV Advertising Strategy Guide for 2025

Kateryna Metsler

Kateryna MetslerSenior Growth Marketer: Content

Published: | Updated:

The streaming revolution changed television advertising. Connected TV now captures 41% of total TV viewing time. Traditional cable dropped to just 26%. The question isn't whether to invest in CTV advertising—it's how to build a CTV advertising strategy that works.

In 2024, CTV advertising hit $30.10 billion. Projections show $48 billion globally by 2025. Audiences moved to streaming. Advertisers must follow.

This guide shows you how to build a winning CTV marketing strategy. We'll cover goal setting, budget planning, creative decisions, and measurement. Learn how Simulmedia's CTV advertising services can help implement these strategies.

Strategic Foundation: Setting Your Streaming TV Goals

Clear objectives drive successful campaigns. Your goals shape every decision—targeting, creative, measurement. Get this right first.

Aligning Connected Television Objectives with Business Goals

Upper-Funnel Strategy:

  • Use CTV advertising for brand storytelling
  • Reach 60-80% of your target market
  • Show ads 3-5 times for awareness
  • Measure: Brand lift, awareness metrics

Lower-Funnel Strategy:

  • Drive conversions with precise targeting
  • Focus on buyers and site visitors
  • Show ads 7-10 times for action
  • Measure: CPA, ROAS, conversions

Case Example: Streaming Platform Launch

A streaming platform wanted awareness and app installs for a new show. They reached 8.8% of the launch audience. Results: 7,344 app installs (44% lift) and 2,271 payment completions (31% lift). CTV advertising delivered both goals.

Hybrid Approach (Recommended):

Most successful CTV strategies balance both:

  • Allocate 60% budget to awareness, 40% to performance
  • Use sequential messaging to guide viewers down funnel
  • Start broad, then retarget engaged viewers
  • Measure both brand and performance KPIs

Setting Realistic KPIs

Your connected television marketing strategy succeeds when KPIs align with channel capabilities:

Awareness KPIs:

  • Reach 70% of target audience
  • 10-15% brand lift
  • 95%+ completion rate

Performance KPIs:

  • $30-75 CPA (varies by vertical)
  • 2.5-4x ROAS
  • 1-3% conversion rate

The key is understanding that connected TV delivers both brand building and performance—your strategy determines the balance.

Strategic Audience Planning

Successful connected television advertising strategies start with strategic audience planning that goes beyond basic demographics. For detailed targeting implementation, see our CTV targeting guide.

Audience Strategy by Objective

Awareness Campaigns:

  • Start with broader audiences (2M+ households)
  • Layer light behavioral targeting
  • Focus on content alignment
  • Avoid over-targeting that limits scale

Performance Campaigns:

  • Begin with first-party data
  • Create lookalike audiences for scale
  • Layer intent signals
  • Use exclusion lists to improve efficiency

The Hybrid Viewer Opportunity

Platform data reveals 54% of viewers consume both linear and streaming content. This insight drives strategic decisions:

  • Don't duplicate reach unnecessarily
  • Use linear for broad coverage, connected TV for precision
  • Coordinate frequency across channels
  • Leverage each channel's strengths

Creative Strategy Framework for Connected Television

Your creative must match your objectives. Technical specs are in our creative guide. Here's the strategic approach.

Strategic Creative Decisions for Streaming TV

Brand vs. Performance Creative:

  • Brand: Tell stories, use 30-second spots
  • Performance: Clear CTAs, 15-second spots work best
  • Test both approaches

Platform-Specific Strategies:

  • Premium platforms: High-quality production
  • FAST channels: Quick brand recognition
  • YouTube CTV: Authentic, less polished

Creative Refresh Schedule:

  • Check performance weekly
  • Refresh when metrics drop 20%
  • Update every 6-8 weeks
  • Keep 3-4 versions running

Strategic Investment & Timing Principles

Smart budgets and timing make campaigns work. Every CTV marketing strategy needs the right investment approach. For detailed costs, see our CTV inventory guide and TV advertising cost article.

Investment Philosophy

  • Test-Learn-Scale: Start small, grow what works
  • Mix Premium and Efficient: Balance quality with reach
  • Plan for Seasons: Q4 costs jump 30-50%
  • Match Your Sales Cycle: Always-on or burst campaigns

Strategic Timing

  • Best Times to Launch: Q1 and early Q3 save money
  • Build Over Time: Awareness first, then conversion
  • Watch Competitors: Find gaps in their schedules
  • Sync Channels: Time CTV with other marketing

Omnichannel Integration Strategy

CTV's true power emerges when integrated with other channels. This orchestration multiplies impact across the customer journey.

Linear + CTV Harmony

Strategic Integration:

  • Linear delivers mass reach efficiently
  • CTV provides targeting precision and frequency control
  • Combined measurement prevents waste
  • Budget split varies by campaign (typically 40-60% either direction)

Digital Channel Amplification

Search Synergy:

  • Increase search bids 25-50% during CTV flights
  • Create CTV-specific landing pages
  • Track branded search lift

Social Media Extension:

  • Retarget CTV viewers on social (typically 20-40% lower CPMs)
  • Use similar creative themes
  • Test social-first creative on CTV

Email/CRM Integration:

  • Suppress current customers from acquisition campaigns
  • Trigger email sequences for CTV-exposed prospects
  • Use CRM data for CTV lookalike audiences

Measuring Connected TV Campaign Success

Effective measurement goes beyond basic metrics. For detailed measurement guidance, see our CTV metrics guide.

Building Your Measurement Framework for Streaming TV

Multi-Touch Attribution:

  • Connected TV rarely works alone—measure its role in the journey
  • Typical attribution windows: 1, 7, 14, 30 days
  • Weight touchpoints based on your sales cycle

Incrementality Testing:

  • Hold-out markets for true lift measurement
  • A/B test creative and targeting strategies
  • Measure beyond direct response

Business Outcome Focus:

  • Move beyond vanity metrics (impressions, reach)
  • Connect streaming TV to sales, market share, brand health
  • Build econometric models for long-term impact

Common Connected TV Strategy Mistakes to Avoid

Learn from these common errors. Smart CTV strategies for media buyers avoid these pitfalls. For more challenges and solutions, see our guide to CTV challenges.

Over-Targeting

Mistake: Making audiences too small Fix: Keep segments above 500K households

Running CTV Alone

Mistake: Not connecting to other channels Fix: Plan CTV with your full media mix

Performance-Only Thinking

Mistake: Ignoring brand building Fix: Use CTV for both goals

Set and Forget

Mistake: Not optimizing campaigns Fix: Review weekly, adjust monthly

Platform Confusion

Mistake: Treating each platform separately Fix: Unified planning and measurement

Cheap Inventory Chase

Mistake: Buying lowest CPMs only Fix: Balance cost with quality

Future-Proofing Your Connected TV Strategy

Stay ahead with new opportunities and current tech:

AI Powers Today's Campaigns

CTV advertising now benefits from AI automation:

  • Find Better Audiences: AI identifies valuable segments
  • Optimize Automatically: Budgets shift to what works
  • Pick Best Creative: AI matches ads to viewers
  • Improve Constantly: Campaigns get smarter daily

Read more about CTV ad optimization with AI in our CPO Steve Paul’s article

Interactive Formats Work Now

QR codes drive engagement:

  • 2-5% engagement rates
  • Place lower-right on screen
  • Show for 20+ seconds
  • Best for exclusive offers

Dive Deeper: QR codes in TV ads

Coming in 2025

  • Shoppable TV expands
  • Voice shopping arrives
  • Better data partnerships
  • Retail media meets CTV

Strategic Preparations

  • Build first-party data assets now
  • Test interactive formats early
  • Develop AI-powered measurement capabilities
  • Create flexible creative systems that adapt to new formats

Case Example: Metro Vein Centers. This healthcare provider demonstrates connected television's precision targeting power. By combining hyperlocal geographic targeting (25-mile radius) with demographic layering and retargeting, they achieved an 85% reduction in cost per visitor - proving that strategic targeting transforms streaming TV efficiency.

Your Connected TV Strategy Action Plan

Immediate Actions (This Week):

  1. Define clear campaign objectives and KPIs
  2. Audit current video creative assets
  3. Assess available first-party data
  4. Review competitive CTV presence

Short-Term (Next 30 Days):

  1. Develop creative strategy and variants
  2. Select initial platform mix
  3. Build measurement framework
  4. Launch pilot campaign ($25-50K)

Long-Term (Quarterly):

  1. Scale successful tactics
  2. Expand platform testing
  3. Integrate with broader media mix
  4. Build always-on presence

Conclusion

Building a successful connected TV advertising strategy requires balancing multiple elements: clear objectives, smart targeting, compelling creative, strategic budget allocation, and integrated measurement. The channels and tactics will evolve, but these strategic principles remain constant.

Connected television offers unprecedented opportunity to combine television's emotional impact with digital's precision and measurability. Success comes from understanding these unique advantages and building strategies that leverage them fully.

Next Steps

Ready to dive deeper? Explore our comprehensive resources:

The streaming revolution isn't coming—it's here. Transform your advertising strategy to capture its full potential.