Shoppable CTV is turning the small screen into a big advantage. LG Ad Solutions’ CMO Tony Marlow unpacks how marketers can blend precision targeting, immersive formats, and seamless checkouts to turn viewers into buyers.
While this year has brought its share of economic uncertainty, there are still promising signs for a robust holiday shopping season ahead. Retail experts are predicting up to 3% growth during 2025’s key shopping period. This encouraging outlook is also reflected in better-than-expected retail sales earlier this year, coupled with a 30% YoY spike in online sales for Prime Day – widely seen as a forecast for holiday-season consumer demand.
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But it’s not time to pop the champagne just yet. Advertisers spent an estimated $74 billion on digital ads during the holiday season last year; and this year’s optimistic outlook only piles on the pressure. Brands must deliver in a hugely competitive race for attention that begins earlier than ever: 15 million more adults started their holiday shopping in October last year, according to Ipsos.
Enter connected TV. Within this challenging climate, the fast-evolving face of CTV provides a strategic advantage. A recent study from LG Ad Solutions discovered that 59% of CTV viewers find TV ads useful for inspiring holiday purchases – a 73% YoY increase.
Consumers, in other words, are hungry for CTV holiday content. Why? And how can brands build on this new reality for record ROI?
To understand why, we need to look at the increasingly powerful crossover between shopping and smart TVs. The availability of Automatic Content Recognition Data (ACR) data means brands can pinpoint and engage CTV audiences in a very precise way, reaching specific locales with zip targeting and optimizing ad performance based on live attention signals.
At the same time, a new generation of innovative shoppable formats has emerged. These allow shoppers to interact with brands and buy products on-demand via their smart TVs, making the process as frictionless as possible. Sixty per cent of CTV viewers are willing to save their shipping and payment details on their TV for a quick checkout.
This major opportunity to capture consumer attention with shoppable ad experiences is turbo-charged during promotions and special events. Just as shoppable ad inventory is changing the face of campaigns during Oscars season, or the Super Bowl, so it provides front-row access to holiday shoppers during the season’s tentpole deal days like Black Friday.
Indeed, retail giant Macy’s found QR codes to be a “really powerful” way of “meeting [audiences] where they are” during a half-hour-long streaming special that premiered on Peacock over Thanksgiving last year.
This insight is backed by LG Ad Solutions’ research, showing that a massive 89% of CTV viewers want holiday shopping ads with a specific deal or promotion attached. An additional 71% like holiday shopping TV ads personalized to their preferences.
These findings are even more valuable given the wider picture that’s emerging around how CTV audiences behave. Streaming now represents over 43% of overall TV time in America, and 93% of CTV viewers shop on other devices while watching TV. Moreover, 59% of consumers are likely to stay home more in response to increasing out-of-home entertainment price hikes.
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Consumers are waiting for brands to serve them relevant, customized ads – and make their holiday shopping experience as seamless as possible. Smart TVs sit at the very heart of that experience, straddling both content and commerce in a way few other platforms can.
That’s why CTV inventory – particularly the smart TV home screen as the gateway to CTV discoverability – has become such an unmissable opportunity for brands.
The fast-evolving interactivity of smart TV is something that advertisers should seize on this holiday season. The challenge lies in crafting standout CTV experiences – the kind that make it fun, and instinctive, to buy from. Here’s your prime-time to-do list:
Via this perfect blend of data and creativity, CTV may well yield advertising’s most fruitful holiday season yet.
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LG Ad Solutions
Global leader in connected TV advertising, helping brands find hard-to-get unduplicated reach at optimal frequency across the fragmented streaming TV landscape.