By Mohammad Owais
November 28, 2025
As more consumers are abandoning traditional cable television for streaming, CTV advertising is rapidly positioning itself to be among the most influential digital marketing channels of 2025. CTV ads run on smart TVs and on streaming devices such as Roku, Apple TV, and Amazon Fire TV, among others, and on apps like Hulu, Peacock, and Disney+, offering brands the precision of digital targeting combined with the impact of full-screen video.
Marketers say the format is becoming a core part of modern advertising strategies, as it can reach highly specific audiences and deliver measurable campaign performance-something traditional TV has long struggled to provide.
CTV Advertising Explained
CTV ads are video ads that run on internet-connected TVs. Rather than broadcasting to huge, untargeted audiences, CTV lets advertisers reach viewers based on detailed demographic and behavioral signals.
The approach melds:
- Premium, TV-style viewing
- Advanced digital targeting
- Real-time reporting and measurable results
This combination will continue to drive many brands, from major retailers to small businesses, to shift more budgets toward CTV.
Why CTV Matters for Brands in 2025
Industry analysts point to four main reasons for the recent growth in CTV:
- More Precise Audience Targeting
Advertisers can target viewers by:
- Age, sex and household data
- Location and interests
- Streaming behaviour
- Purchase intention
This level of precision enables brands to focus spending on the viewers most likely to engage or convert.
- Measurable Performance in Real Time
CTV offers analytics never before accessible in television advertising, including:
- View-through rates
- QR-code scans
- Click-through activity
- Website visits and attributed conversions
Performance can be tracked daily, and marketers can thereby make necessary adjustments in campaigns.
- More Cost-Effective Than Traditional TV
With lower minimum budgets and flexible bidding, CTV has become more accessible to businesses of all sizes.
Advertisers report:
- Lower CPMs
- Better return on ad spend
- Higher accuracy in targeting
This makes CTV particularly attractive for regional businesses running local campaigns.
- Interactive, Action-Driven Engagement
CTV supports the following interactive mobile-connected features:
- On-screen QR codes
- Custom calls-to-action
- Shoppable formats
These formats bridge offline and online behaviors, converting viewers right away.
Small Businesses Are Adopting CTV Faster Than Expected
One surprising trend cited by marketing analysts is the remarkably fast take-up of CTV by small businesses. Hyper-local targeting lets neighborhood shops, restaurants and service providers run narrow campaigns cost-effectively, in some cases to only customers in particular ZIP codes.
For product testing, seasonal campaigns, or foot-traffic initiatives, CTV is becoming a strong alternative to Meta, Google, and traditional TV.
A Strategic Priority for 2025
With streaming continuing to dominate household viewing habits, advertisers will likely shift even more spending into CTV platforms in 2025.
Marketing leaders indicate that:
Viewers have more control over what they watch.
Streaming time continues to outpace cable. Younger audiences are spending most of their screen time on connected devices. For brands, CTV is a clear opportunity to capture attention on the largest screen in the house with the tracking capabilities and data precision of digital.
