Interactive CTV ads boost engagement, fall short on purchases
Interactive CTV ads boost brand recall and engagement but struggle to drive immediate purchases, highlighting its promise and limitations.
A new study reveals the promise and limitations of interactive TV advertising. The key findings:
- 36% stronger unaided brand recall vs. standard video ads
- 95% of viewers prefer adding products to cart over immediate purchase
- Higher CPMs: 10-15% above industry standards
Why it matters. As CTV ad spend is projected to reach $33 billion by 2025, interactive formats could become a major player in the space.
By the numbers:
- 79% aided recall for interactive ads vs. 72% for standard video ads.
- 58% stronger unaided recall when combining standard and interactive ads.
Why we care. While not yet driving direct sales, interactive CTV ads offer a wealth of benefits that can significantly impact brand awareness, consumer understanding and overall marketing effectiveness.
What they’re saying:
- “TV isn’t coming over an antenna anymore… interactive ads yield a more effective ad experience,” said Robert Aksman, BrightLine co-founder.
- “With these interactive elements, you have proof that not only is somebody watching—they’re engaging,” said Andrea Kwiateck, Goodway Group.
The big picture. Interactive CTV ads represent a shift from passive viewing to active engagement, offering new opportunities for brands to connect with audiences.
What to watch. Development of add-to-cart functionality and potential for direct purchasing through streaming accounts.
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