What is over-the-top (OTT)?

OTT stands for “over-the-top” and refers to technology that delivers streamed content over the internet. In previous years, a consumer would take out a cable subscription and their cable TV provider would be responsible for the supply and availability of programming. Now, users can sign up to OTT streaming platforms and access their content over the internet. This transition has big implications for mobile advertising. But before we jump into OTT advertising, let’s clear up some confusion.

What is OTT streaming?

There are two types of OTT streaming; pay-to-access and free-to-access. Many OTT services now operate on a paid subscription basis, but a large number run advertisements on their platform as an alternative monetization method. Some platforms offer a mix, providing tiered packages that allow users to either access for free with ads or pay for an ad-free experience.

What is the difference between OTT and streaming?

OTT describes the platform that delivers streaming content via the internet across devices including mobile phones, smart TVs, computers, and tablets. The content that is streamed can include video, music, and messaging.

What are OTT platforms?

The most commonly referred to OTT service is video streaming. Netflix, Amazon Prime, HBO Max, Disney+, Hulu, and YouTube are OTT providers in the video streaming space. Spotify is considered an OTT platform in the audio streaming space for both music and podcasts, while WhatsApp, Telegram, Slack, and Signal are considered OTT platforms in the internet messaging space.

Free-to-access services offer a golden opportunity for mobile marketers. OTT advertising is much like legacy media advertising, typically taking place between songs or episodes, but it is delivered through OTT streaming platforms. However, there are two main types of OTT marketing set-ups:

Client-side

In a client-side setup, the viewport for the streaming media loads the ad before the episode or film is shown.

Service-side

In a server-side ad insertion, the ad is integrated seamlessly into the frames of the media, meaning it is not possible to ad-block. However, it is a much more technically challenging proposition to support server-side ad insertion, so it is still relatively uncommon.

Because OTT is a relatively new phenomenon, it has tremendous growth potential. Lots of companies are entering the OTT advertising space via connected TV (CTV) advertising, leading to a wide variety of content consumption options for consumers, and increasing ad inventory types for marketers. As more people cut the cord and move towards online-only media consumption, the way to reach these consumers will increasingly be via CTV OTT advertising.

In legacy media ad buying, it can be hard to measure impact. As viewers move toward the OTT space, the ability to show them personalized ads and track click-through rate will mean marketers getthe benefits of old media in terms of attractive packages of content — but with a very modern ability to quantify impact and leverage measurement.

In legacy media ad buying, it can be hard to measure impact. Previously, CTV was considered a ‘brand only’ channel. As viewers move toward the OTT space, the ability to show them personalized ads and track click-through rates will mean marketers get the benefits of old media in terms of attractive packages of content–but with a very modern ability to quantify impact and leverage measurement. Adjust’s CTV AdVision solution has turned CTV into a performance channel with clear data for both CTV to mobile and CTV to CTV app campaigns.

Learn more about our industry-leading CTV solution, CTV AdVision.