CTV & Audio: Why 72% of Marketers Are Shifting

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A staggering 72% of marketers now consider Connected TV (CTV) to be as effective or more effective than linear TV advertising for brand building, according to a recent IAB report. This isn’t just a trend; it’s a seismic shift demanding our attention. Marketers who ignore the burgeoning power of and emerging channels like Connected TV (CTV) and digital audio are effectively choosing to be left behind. How can you not only get started but truly thrive in this dynamic new era of media consumption?

Key Takeaways

  • Targeting precision on CTV can reduce wasted ad spend by up to 30% compared to traditional linear TV, allowing for more efficient budget allocation.
  • Programmatic buying now accounts for over 85% of digital audio ad spend, necessitating a strong understanding of DSPs and audience segmentation for effective campaigns.
  • Cross-channel attribution models that integrate CTV and digital audio data are essential for accurately measuring campaign ROI, moving beyond last-click metrics.
  • A/B test creative variations weekly on CTV and digital audio platforms to identify optimal messaging and visual/auditory cues, driving continuous performance improvement.
  • Allocate at least 20% of your digital media budget to CTV and digital audio experimentation in 2026 to stay competitive and uncover new growth opportunities.

Nielsen reports that 87% of U.S. households now have at least one CTV device.

This number, honestly, should be a wake-up call for anyone still clinging to the notion that linear TV is the undisputed king. We’re not talking about early adopters anymore; we’re talking about mainstream adoption. When I started in this industry, we’d celebrate if a campaign reached 50% of households. Now, nearly nine out of ten homes are accessible through a smart TV, a streaming stick, or a gaming console. What this means for us, as marketers, is that the audience isn’t just available on CTV; they are living there. They’re cutting cords, subscribing to multiple services, and consuming content on their own terms. My interpretation? If your media plan doesn’t heavily feature CTV, you’re missing the vast majority of your potential audience where they are most engaged. This isn’t just about reach; it’s about reaching them in a premium, full-screen, sound-on environment that commands attention. It’s about being where the eyeballs are, plain and simple.

Programmatic ad spend for digital audio is projected to exceed $10 billion in 2026.

That’s a massive figure, and it tells me one thing: digital audio is no longer a niche play; it’s a powerhouse. We’re talking about podcasts, streaming music services like Spotify and Pandora, and even in-game audio ads. The beauty of digital audio, particularly through programmatic channels, lies in its incredible targeting capabilities. Unlike traditional radio, where you’re buying a demographic based on station listenership, programmatic audio allows for hyper-segmentation based on listener behavior, interests, and even real-time context. For example, I had a client last year, a niche athletic wear brand, who was struggling with traditional radio. We shifted a significant portion of their budget to programmatic digital audio, targeting listeners who frequently streamed workout playlists or subscribed to fitness-related podcasts. The results were astounding: a 3x increase in website conversions compared to their previous radio campaigns. This isn’t just about reach; it’s about reaching the right ears with the right message at the right time. If you’re not integrating digital audio into your programmatic strategy, you’re leaving a significant chunk of highly engaged, targetable consumers on the table.

According to eMarketer, CTV ad spending will surpass $30 billion by 2026.

Thirty billion dollars. Let that sink in. This isn’t a slow burn; it’s an explosion. This figure isn’t just a testament to the growth of CTV as a consumption platform, but also to its effectiveness as an advertising channel. My professional interpretation here is that advertisers are seeing tangible ROI. They’re not just experimenting; they’re investing heavily because CTV offers a unique blend of linear TV’s impact with digital’s precision. We can now deliver full-screen, high-quality video ads to specific audience segments, measure performance with digital-like metrics, and even link ad exposure to website visits or app downloads. This level of accountability was unimaginable with traditional TV. For brands that have historically relied on broad reach TV spots, CTV offers a pathway to maintain that premium branding while significantly reducing ad waste. For performance marketers, it opens up a new, highly engaged inventory source. The implications are clear: if you’re not actively allocating a substantial portion of your video budget to CTV, you’re missing out on a channel where your competitors are already seeing substantial returns. The cost of entry is lower than you think, and the potential for impact is enormous.

A HubSpot study from late 2025 indicated that only 35% of marketers feel confident in their ability to attribute ROI across CTV and digital audio campaigns.

This statistic, while seemingly negative, actually highlights the biggest opportunity and challenge in these emerging channels. My interpretation is that while the platforms themselves offer immense potential, the measurement and attribution models haven’t fully caught up for many marketers. This lack of confidence isn’t due to a failure of the channels; it’s often due to an overreliance on outdated last-click attribution or siloed data analysis. The reality is, true success in CTV and digital audio demands sophisticated, cross-channel attribution modeling. We need to move beyond simply looking at “clicks” or “impressions” in isolation. We need to understand how a CTV ad might influence a subsequent search, or how a digital audio ad drives brand recall that leads to a direct visit later. At my firm, we’ve implemented multi-touch attribution models that integrate data from our The Trade Desk campaigns for CTV with our Spotify Ad Studio reporting and our website analytics. It’s not easy, requiring clean data and robust analytics tools, but it’s absolutely essential. Without it, you’re flying blind, and that’s a recipe for under-investing in channels that could be driving significant growth. This is where expertise truly shines – in connecting the dots between disparate data points to paint a complete picture of impact.

Where I Disagree with Conventional Wisdom

Many marketers still approach CTV and digital audio with a “digital-first” mindset, meaning they port over their existing display or social video assets without much thought. They assume that because it’s digital, the same 15-second cut-downs or animated GIFs will work perfectly. I strongly disagree with this approach; it’s a colossal mistake.

While CTV and digital audio are indeed digital channels, their consumption environments are fundamentally different from a mobile feed or a website banner. CTV is a lean-back, full-screen, sound-on experience, much closer to linear TV than to YouTube pre-roll. Digital audio is often consumed during active tasks – commuting, exercising, working – where the listener’s primary focus isn’t on a screen. Treating them merely as extensions of existing digital campaigns severely undervalues their unique capabilities and often leads to suboptimal performance.

For CTV, you need to think about storytelling, production quality, and the emotional connection that a living room audience expects. A jarring, overly salesy ad that works on a social feed will often be skipped or ignored on CTV. I push my clients to think about their CTV creative as a brand-building vehicle first, with performance secondary, even if the campaign goal is conversion. Why? Because the premium environment demands premium content. We ran into this exact issue at my previous firm with an e-commerce client. Their initial CTV creative was a hastily adapted 15-second social ad. It performed poorly. We then invested in a slightly longer, more narrative-driven 30-second spot designed specifically for CTV, showcasing product benefits in a lifestyle context. The Google Ads conversion tracking showed a 25% increase in post-view conversions and a significant boost in brand recall, despite the higher production cost. The ROI was undeniable.

Similarly, for digital audio, simply reading your display ad copy won’t cut it. You need to consider the power of sound, voice acting, music, and sound design to create an immersive, memorable experience. It’s about painting a picture in the listener’s mind. Think about how a well-produced radio drama can captivate an audience – that’s the level of engagement you should strive for. We recently worked with a local Atlanta restaurant, “The Peach & The Pig” (you should check out their shrimp and grits if you’re ever near the Old Fourth Ward), and instead of a typical “come on down” ad, we crafted a digital audio spot that focused on the sizzling sounds of their kitchen and the warm, inviting tones of a host describing their seasonal menu. We targeted listeners within a 5-mile radius during lunch and dinner hours on platforms like Pandora. The ad led to a measurable increase in foot traffic and reservations, directly attributed to the creative’s ability to evoke a sensory experience. The conventional wisdom of “just repurpose existing assets” is a shortcut to mediocrity in these powerful new channels. Invest in channel-specific creative; it pays dividends.

Case Study: “Eco-Home Solutions” – Driving Leads with CTV and Digital Audio

Let me share a concrete example of how we successfully integrated CTV and digital audio for a client, “Eco-Home Solutions,” a company specializing in smart home energy efficiency upgrades across the Southeast, particularly strong in the Georgia market. Their primary goal was lead generation for home energy audits, with a target Cost Per Lead (CPL) of $75.

The Challenge: Eco-Home Solutions had relied heavily on traditional direct mail and search advertising, but their CPL was rising, and they needed to expand their reach to a more affluent, environmentally conscious demographic.

The Strategy: We developed a two-pronged approach focusing on CTV for brand awareness and initial consideration, and digital audio for targeted lead nurturing and direct response.

  1. CTV Campaign (Q3 2025):
    • Platform: We utilized Roku Advertising and Samsung Ads via The Trade Desk, targeting homeowners in specific zip codes around Atlanta (e.g., Buckhead, Sandy Springs, Decatur) with income over $100k and interests in home improvement and sustainability.
    • Creative: We produced a 30-second video ad showcasing a family enjoying a comfortable, energy-efficient home, highlighting the benefits of lower utility bills and a smaller carbon footprint. The ad included a clear call-to-action: “Visit EcoHomeSolutions.com for a free energy audit.” We also created a 15-second version for retargeting.
    • Budget: $50,000 for the quarter.
    • Tools: The Trade Desk for programmatic buying, Moat by Oracle Advertising for viewability and completion rates, and Google Analytics for post-view conversion tracking.
  2. Digital Audio Campaign (Q3 2025 – Q4 2025):
    • Platform: We leveraged Spotify Ad Studio and iHeartRadio Advertising, targeting listeners who had either shown interest in home improvement podcasts, listened to “eco-friendly” music playlists, or had been exposed to the CTV ad (using a CRM match for retargeting). We focused on geo-targeting within a 20-mile radius of their primary service areas, including Cobb and Gwinnett counties.
    • Creative: Two 30-second audio spots. One was a direct response ad emphasizing a limited-time offer for a free smart thermostat with an audit. The second was a testimonial-style ad featuring a satisfied customer from Marietta, Georgia, discussing their savings. Both included a clear, memorable URL and a unique phone number for tracking.
    • Budget: $30,000 for the two quarters.
    • Tools: Spotify Ad Studio analytics, iHeartRadio reporting, and CallRail for phone call tracking.

Outcomes (Q3-Q4 2025):

  • CTV: Achieved an average 92% video completion rate. Post-view conversions (website form submissions) resulted in 280 qualified leads directly attributable to CTV exposure, at an average CPL of $178. While higher than the target, these leads were significantly more qualified, leading to a higher close rate.
  • Digital Audio: Generated 350 qualified leads (a mix of form submissions and direct calls) at an average CPL of $85. The retargeting segment performed exceptionally well, yielding a CPL of just $62.
  • Overall: The combined efforts generated 630 new leads. More importantly, the blended CPL across both channels was $127, which, when factoring in the higher conversion rate of these leads (our sales team reported a 15% improvement in close rates compared to other lead sources), brought the effective CPL well within their target range. The brand awareness lift also contributed to a 10% increase in direct website traffic.

This case study demonstrates that CTV builds impactful awareness, while digital audio can drive highly targeted, cost-effective conversions. The synergy between the two, when properly planned and executed with channel-specific creative and robust attribution, is truly powerful. It’s about creating a cohesive journey, not just firing off isolated ads.

Getting started with and emerging channels like Connected TV (CTV) and digital audio isn’t about dipping a toe in; it’s about making a strategic leap. The data unequivocally supports their power, and the opportunity for precise targeting, impactful creative, and measurable ROI is too significant to ignore. Begin by dedicating a portion of your budget to experimentation, focusing on understanding your audience’s consumption habits on these platforms, and investing in creative tailored specifically for these unique environments. This isn’t just the future of advertising; it’s the now, and your ability to adapt will define your success. For more insights on maximizing your budget, consider these Google Ads 2026 strategies, or learn how debunking media buying myths can help you allocate resources more effectively.

What’s the biggest mistake marketers make when starting with CTV advertising?

The biggest mistake is treating CTV like just another digital display channel and repurposing existing, often shorter, social media video ads. CTV is a premium, full-screen, sound-on experience, demanding higher quality, more narrative-driven creative that captures attention in a lean-back viewing environment. Don’t underestimate the need for dedicated CTV creative.

How can I effectively measure ROI for digital audio campaigns?

Effective ROI measurement for digital audio involves more than just clicks. Utilize direct response mechanisms like unique promo codes, vanity URLs, and dedicated phone numbers for call tracking. Integrate your digital audio platform data with your CRM and website analytics to track post-listen conversions, website visits, and even in-store foot traffic if applicable, using geo-fencing or listenership data.

Is CTV only for large brands with big budgets?

Absolutely not. While large brands certainly utilize CTV, the programmatic nature of many CTV platforms makes it accessible for businesses of all sizes. You can start with relatively modest budgets, targeting specific demographics or geographic areas, and scale up as you see results. Platforms like Roku Advertising or even direct buys through smaller streaming services offer entry points for various budget levels.

What’s the difference between CTV and OTT?

CTV (Connected TV) refers to the device itself – a smart TV, gaming console, or streaming stick (e.g., Roku, Apple TV) that connects to the internet. OTT (Over-The-Top) refers to the content delivered over the internet, bypassing traditional broadcast or cable providers. So, you watch OTT content on a CTV device. The terms are often used interchangeably in advertising, but it’s important to understand the distinction.

How can I integrate CTV and digital audio into a cohesive marketing strategy?

Integrate them by using CTV for upper-funnel brand awareness and consideration, leveraging its visual impact, and then using digital audio for mid-to-lower funnel tactics like retargeting, lead generation, and driving direct response. Ensure your messaging is consistent but tailored to each channel’s unique strengths, and implement cross-channel attribution to understand the combined impact of both.

Ariel Lee

Senior Marketing Director CMP (Certified Marketing Professional)

Ariel Lee is a seasoned Marketing Strategist with over a decade of experience driving impactful growth for both Fortune 500 companies and burgeoning startups. As the Senior Marketing Director at Innovate Solutions Group, he spearheaded the development and implementation of data-driven marketing campaigns that consistently exceeded key performance indicators. Ariel has a proven track record of building high-performing teams and fostering a culture of innovation within organizations like Global Reach Marketing. His expertise lies in leveraging cutting-edge marketing technologies to optimize customer acquisition and retention. Notably, Ariel led the team that achieved a 300% increase in lead generation for Innovate Solutions Group within a single fiscal year.