The AdNews end of year Perspectives, looking back at 2024 and forward to next year.
By James Young, Regional Director, ANZ, PubMatic
The digital advertising industry is nothing if not dynamic, and 2024 has proven to be a year of transformation. As we reflect on the shifts across APAC, it’s clear that Connected TV (CTV) has emerged as a focal point for advertisers, reshaping how brands connect with audiences and pushing the boundaries of what's possible in digital advertising.
CTV's evolution in 2024: From growing pains to maturity
This year has been marked by the rise of ad-supported subscription video-on-demand (SVOD) services. Global players like Paramount+, Netflix, and Disney+ have introduced or expanded their ad-supported tiers across APAC, joined by local platforms like Stan Sport and Binge. This shift is more than a response to economic pressures—it reflects a strategic move to capture diverse consumer preferences. The result has been a dramatic expansion of the CTV advertising landscape, as ad-supported models lower entry barriers for consumers and increase premium inventory for advertisers.
As the number of players in the CTV space grows, so does its sophistication. Longstanding hurdles—like frequency management, targeting, and measurement—are being addressed, enabling more streamlined and effective campaigns. However, with new entrants to the market, broadcasters who once dominated the space face increasing competition for ad dollars. This intensifies the need for innovation in content and strategy.
The rapid adoption of programmatic trading in CTV has further enhanced its appeal. The ability to target specific audiences in real-time, combined with the unmatched screen presence of TV, has positioned CTV as a hybrid between upper-funnel awareness and performance-driven marketing. Advancements in programmatic transparency—driven by closer collaboration between buyers and publishers—are also helping to bridge trust gaps.
But with this evolution comes new challenges, particularly around audience measurement and the growing fragmentation of inventory across walled gardens.
Looking ahead: CTV in 2025
As we move into 2025, the CTV landscape will face both opportunities and hurdles. Key trends to watch include:
- The challenge of walled gardens
The rise of proprietary ecosystems in CTV—where platforms control inventory access and trade dynamics—creates hurdles for advertisers seeking a unified view of their audiences. The inability to holistically track viewers across platforms not only complicates targeting but also impacts campaign efficiency and measurement. Advertisers will need to advocate for more transparent, interoperable solutions to ensure seamless planning and execution. - Audience measurement
Measurement continues to be a critical issue. Industry leaders like OzTAM have made progress, but fragmentation remains a challenge. The announcement that Foxtel will shift to Kantar for measurement, coupled with the formation of the Video Futures Collective by players like Amazon, SBS, and YouTube, highlights the lack of consensus. For CTV to deliver on its potential, the industry must converge around shared standards that facilitate cross-platform insights without compromising proprietary data. - CTV as a full-funnel solution
Historically seen as a premium upper-funnel channel, CTV is now evolving into a performance-driven medium. As targeting and attribution tools mature, more advertisers are using CTV to drive mid- and lower-funnel outcomes. The expansion of ad-supported tiers will likely continue to exert downward pressure on CPMs, making the channel more accessible to performance marketers. - Content as a differentiator
The battle for audience attention will increasingly hinge on content quality and diversity. Publishers who invest in compelling, localised, and exclusive content will not only attract viewers but also secure premium ad spend. The success of FAST (Free Ad-Supported TV) channels in the U.S. offers a glimpse of what's possible in APAC, where consumers seek cost-effective ways to access diverse entertainment options. - Seamless advertising across touchpoints
In 2025, leading brands will prioritise creating cohesive journeys that integrate CTV with other channels. CTV’s big-screen impact, paired with interactive formats like QR codes and shoppable ads, will be increasingly leveraged to drive omnichannel experiences. Combining CTV with online video will further amplify reach and efficiency, especially in diverse APAC markets where media habits vary widely.
The road ahead: Collaboration and innovation
As CTV cements its role in APAC’s advertising ecosystem, collaboration will be key. Publishers, tech platforms, and advertisers must work together to overcome fragmentation, streamline measurement, and ensure a premium user experience. The ability to innovate—whether through advanced ad formats, dynamic creative optimisation, or audience analytics—will determine who thrives in this rapidly evolving space.
For brands, 2025 represents an opportunity to rethink their strategies and fully embrace the power of CTV. By aligning content, targeting, and measurement, they can connect with audiences in ways that are both impactful and measurable, establishing CTV as a cornerstone of their media mix in the years to come.
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.