insights

OTT Advertising: How to Reach the Audience That Left Cable Behind

OTT advertising is how you put your brand inside the streaming content people actually watch. OTT stands for over-the-top, meaning video delivered straight over the internet, on top of the old cable and satellite pipes, to whatever screen the viewer is holding. When you run an OTT ad, you are buying a spot inside a streaming show or service the way a brand used to buy a spot on network television, except now you can choose who sees it. It is television’s attention with digital’s aim.

Here is why that matters right now. The audience you grew up advertising to on cable has been leaving for years, and they are not coming back. Major US pay-TV providers lost about five million subscribers in a single year, and the largest providers have shed more than twenty million subscribers across five years, falling from 91.5 million to 71.3 million (Leichtman Research Group). Those people did not stop watching television. They moved their eyes to streaming, and the ad budgets are following them. Digital video is now set to capture close to sixty percent of all TV and video ad spend, with connected TV among the fastest-growing pieces of it (IAB).

Below are the questions a business owner actually asks before putting money into OTT. Read the one that matches where you are, or read straight through.

What is OTT advertising, exactly?

It is a video ad served to a viewer through a streaming service rather than through cable, satellite, or broadcast.

Over-the-top means the content reaches the viewer over the open internet, bypassing the traditional providers entirely. Connected TV, or CTV, is the most common place those ads land: a smart TV or a streaming device pulling a show down over wifi. The ad plays full screen, in the show, the same way a commercial used to. The difference is everything sitting behind it. A cable buy puts your spot in front of everyone watching a given channel at a given time. An OTT buy puts your spot in front of the specific people you choose, the same way a digital ad targets by interest, location, job, and behavior.

So you get the format of television, a full-screen video with sound and motion that nobody scrolls past, joined to the precision of digital. That combination did not exist a decade ago. It is the reason a small business can now buy the kind of attention that used to be reserved for companies with a national television budget.

Why does OTT work when other ads get ignored?

Because it borrows the one thing digital advertising keeps losing: undivided attention.

A streaming ad arrives at a moment most ads never reach. The viewer sat down to watch something. The screen is theirs, the volume is up, and for the length of your spot there is no feed to scroll, no tab to switch to, no way to skip. That is the same captive attention that made television advertising work for fifty years, and it is exactly what the modern feed has trained people to deny every other format. We have written before about how attention actually gets won or lost on a screen in how to beat the algorithm, and OTT is the rare case where the platform hands you the attention instead of rationing it.

But the borrowed attention comes with a borrowed risk, and it is the whole reason most OTT ads fail.

What makes an OTT ad land or backfire?

Relevance. Nothing else is close.

Think about what your ad is actually doing. It is interrupting a show someone chose to watch. If what you put in front of them speaks to something they want, the interruption is forgiven and your brand gets credit for the attention. If it doesn’t, you have not wasted an impression, you have made an enemy. A person who sits through a 15-second spot for something irrelevant does not feel neutral about it. They feel interrupted, and the feeling attaches to your brand. That is the cost cable never charged you, because cable never knew enough about the viewer to be relevant in the first place.

So the targeting is not a convenience. It is the safeguard. The reason you point an OTT buy at a narrow, well-matched audience is not only to save money. It is to make sure the people you interrupt are the people who will be glad you did. Get the match right and 15 seconds is plenty to grab attention and hold it. Get it wrong and the same 15 seconds works against you.

An irrelevant ad does not just fail to sell. It teaches the viewer to dislike you.

Tyler Kelley

This is also why a strong OTT spot starts from the same place a strong anything starts: knowing exactly who is on the other side of the screen. If you have not done that work, do it before you spend a dollar on media. Our guide to building a buyer persona is the place to start, and the message itself lives or dies on the fundamentals in copywriting secrets.

How should I budget and buy OTT?

Buy for reach against the right people, and stop thinking in raw frequency.

Traditional television media buying runs on frequency: show the same spot to a broad audience enough times that it sinks in, because you cannot pick who is watching, so you pay to blanket everyone and repeat until the message sticks. OTT inverts that logic. When you can choose your audience, the win is precision, not repetition. You are paying to reach the right people, not to wear down the wrong ones. Pouring budget into hammering a narrow, well-targeted list with the same spot over and over spends money you do not need to spend.

A few practical realities to plan around:

  • You pay for fewer people, which is the point. Because you are not buying a whole broadcast audience, you are not spending on viewers who would never become customers. That is what makes OTT reach affordable for a small business in the first place.
  • Expect a minimum buy. Most streaming platforms and OTT ad networks set a floor on what you can spend. Know that number before you build a plan around a channel, so the budget is real and not aspirational.
  • Match the buy to the job. Reaching new people who have never heard of you is a different objective than staying in front of an audience that already knows you. We break that distinction down in our social media best practices, and the same discipline applies here: decide what the spend is supposed to do before you place it.

The throughline is the same one that governs every channel we recommend. Spend where your actual customers already are, in the format that earns their attention, with a message built for them specifically. OTT simply happens to be the channel where the audience that left cable went, which is why it has moved from a curiosity to a line item worth planning for.

So is OTT right for you?

Here is the whole thing in one line: if your customers stream, and they do, OTT lets you reach them with television’s attention and digital’s aim, for a fraction of what a broadcast buy used to cost. The catch is relevance. The channel rewards a sharp message pointed at the right audience and punishes a generic one, because a full-screen interruption is only welcome when it is wanted. Get the targeting and the message right, and you are buying the most valuable attention left on any screen.

To go deeper on the message that makes the spot work, read copywriting secrets. And to make sure you are pointing it at the right person, start with how to build a buyer persona.

Sources

  1. IAB, Digital Video Is Set to Capture Nearly 60% of All TV/Video Ad Spend in 2025 (2025 Digital Video Ad Spend & Strategy Report)
  2. Leichtman Research Group, Major Pay-TV Providers Lost About 5,000,000 Subscribers in 2023 (press release, March 8, 2024)
Talk with us about your marketing

In good company. A few of the organizations we have worked alongside.