Over the past couple of years, connected TV (CTV) has emerged as a productive new advertising medium. It offers two key benefits: precise household-level targeting and accurate tracking for attribution. This is exactly what B2B marketers need: zero waste and clear accountability. 

B2B marketers, except some for big brands such as IBM or Google Cloud, have generally avoided broadcast advertising due to the large buys required and the enormous waste. So, why is CTV any different? Here are seven reasons. 

1. Laser targeting. Compared to linear TV, where the waste that characterizes mass media has kept B2B marketers away, CTV allows precise targeting at the individual level, based on third-party database variables such as company size, industry, job role, intent, and other items typical in B2B media buying. You can also use your first-party data for targeting and retargeting, to existing names as well as lookalikes, the same way you would in other digital media channels. If you use account-based marketing, CTV is the perfect complement to it.
2. Omni-channel integration. As work-from-home has grown, B2B marketers understand that they need to be wherever their prospects and customers are. They are watching CTV. Take advantage. 
3. Accurate tracking. B2B marketers who complain about attribution problems in multitouch communications will find deep satisfaction here. You can track site visits and form fills straight back to the CTV impression. 
4. Cost. CPM rates on CTV are higher, to be sure. But when you factor in the precise targeting and the reduced waste, you’ll realize dramatically lower rates. Plus, there’s better cost—and quality—per lead. 
5. The medium of the future. Initial experiments suggest that CTV is especially good for connecting with younger audiences, the millennials and Gen Xers who are rapidly entering the buying group at your target accounts. 
6. Less competitive clutter. The medium is still in its infancy. So, this is the time to test it out. Experiment with targeting options, offers, and creative, while your competitors are still asleep. 
7. High impact messaging for a complex sale. CTV ads can’t be fast-forwarded. So, you can rely on the full 15 or 30 seconds to get your point across, in a medium that has far higher recall than other digital channels. 

A case in point comes from Hamid Quayyum, EVP of product and marketing at Stirista. In May, Stirista ran a B2B CTV campaign for a telecom company targeting SMBs. Stirista matched the ad impressions to the client’s website visits, revealing 2,151 matches (2.3% of their total SMB site traffic), despite running in just a couple of their focus markets. 

Caveats

No matter how precise, most of your targeting will be at the household level. So, there will still be some waste, as you reach children or spouses of your business prospect. You are also dependent on match the rates with your first- and third-party data, so don’t expect 100% access. 

If you’re looking for volume, keep in mind that CTV advertising is growing rapidly but still comprises only 4.2% of total media spend. Fortunately, most B2B marketers care more about cost-per-response, where CTV offers a distinct advantage. 

One thing that perplexes me, though, is why the CTV advertising we are seeing today seems to be structured as strictly branding and awareness messaging. B2B marketers typically evaluate media on response metrics such as cost-per-lead and conversion rates. I advise B2B marketers to approach CTV the same way they would any digital channel: As an opportunity to engage, generate a response, develop a lead, and kick off a long-term relationship. This means adding an offer, a call to action, and a response vehicle; for example, an SMS code or a unique URL. Consider the awareness a bonus. 

This is the time to test out CTV. Don’t dawdle. Try it now. 

About the Author

Ruth P. Stevens, past president of DMCNY, consults on B2B marketing and teaches marketing at NYU Stern and other business schools here and abroad. Reach her at ruth@ruthstevens.com