Boston business owners are expected to spend $511,032,000 on streaming video advertising in 2021, according to Borrell Associates, a company that tracks online marketing expenditures across the country. This spending will be 25% higher than in 2020.
Streaming video advertising expenditures are accelerating as Boston consumers continue to abandon shows on local TV stations and cable systems in favor of programming streamed via an internet connection. These online channels include Netflix, Hulu, Prime, Disney+, Paramount+, Peacock, Prime Video, Roku Channel, SlingTV, PlutoTV, and dozens more.
This type of streamed video content is known collectively as OTT (Over-The-Top-Television) or CTV (Connected-Television). These two terms are sometimes used interchangeably but do have a subtle difference.
OTT generally means the video is watched on a small device like a computer, tablet, or smartphone. CTV, on the other hand, typically means the content is viewed on a smart-TV or a regular television using a streaming device like a Roku or Amazon stick.
In Boston, according to Nielsen, OTT/CTV has exceeded the weekly reach of local newspapers and streaming audio services such as Pandora and Spotify. The medium is rapidly approaching the reach of local cable and broadcast TV stations.