Advertisements volume on OTT platforms rose 150% during lockdown
Left to right: Bhaskar Ramesh, LV Krishnan, Gourav Rakshit, Ajay Kakar, Vivek Jain
Over-the-top streaming platforms saw a massive rise in user base during the lockdown. As a result advertisers too migrated from TV to digital. While, during lockdown, advertisement on TV nosedived by 60-70%, advertisements volume on OTT platform rose by 150%. “Digital as a medium allows two-way communication, hence, it’s easy to track ROI on digital. Further, with the reach of OTT now getting closer to that of TV, the advertisement shift from TV to digital has already started,” Vivek Jain, COO, MX Player, said. He was speaking at the inaugural edition of BrandWagon Conclave, held virtually. The panel was moderated by LV Krishnan, CEO, TAM.
With digital video advertising, the ability to personalise advertisements for the targeted viewers has now become an important tool. However, for Gourav Rakshit, COO, Viacom18 Digital, while the ability to be precise and personalise is a fantastic tool, it puts a lot more responsibility into the hands of a marketer. With personalisation, marketers have to be completely sure of their strategy whereas a slightly more imprecise tool will be able to garner a much more holistic outcome. “Personalisation is a great tool but I am hesitant to call it the only holy grail for marketers,” he added.
Echoing the same sentiment, Bhaskar Ramesh, Director – Technology, FMCG, Auto, Media and Entertainment, Google India, stated that advanced advertisers are now moving from a precision era to a predictive era and are using real time advertisements to gain better insights and results.
For Ajay Kakar, CMO, Aditya Birla Capital, marketers should be focusing on customer first strategy rather than digital first strategy. Since, consumers are now migrating to digital so are advertisers, but this is not dependent on any strategy but simply following viewership. “Every marketer is backing the OTT industry based simply on their gut feeling. However, nobody knows whether their gut feeling is certified or not. I don’t think the OTT industry will be able to reach its true potential until it gets an independent company such as BARC to provide insights,” he observed.