Advanced Television

Study: US CTV users seek better shoppable TV experience

January 16, 2024

Findings from LG Ad Solutions’ latest streaming survey, The Shoppable TV Report: 2024 and Beyond, suggest that 53 per cent of CTV users wish all TV ads had a quick option to buy the product and 63 per cent wish they could see store/brand inventory from their TV.

“While marketers have long understood the impact of reaching audiences via the largest screen of the house, the rise of shoppable ads unlocks an even more direct pathway to consumers,” advises Ed Wale, VP Europe, at LG Ad Solutions. “The TV experience is no longer simply a passive format that sits outside of other digital channels, becoming highly connected and interactive. This revolutionary development enables marketers to employ a more holistic and connected approach to their campaigns, and offer audiences a more convenient way to shop.”

The study surveyed more than 1,200 US consumers to determine their perceptions of shoppable TV advertisements and subsequent purchasing behaviour.

Among CTV users, 81 per cent are influenced by TV ads in their shopping decisions and 63 per cent often discover new brands and products through TV ads. Beyond influence and product discovery, 47 per cent have made a purchase after seeing a TV ad in the past three months. Of those consumers, most (56 per cent) completed a purchase using their mobile phone, followed by laptop/desktop (45 per cent), in-store (31 per cent), tablets (31 per cent) and on CTV (29 per cent).

The survey also reveals:

  • Consumers like QR codes:Seve in 10 viewers like TV ad creatives that include a QR code, with 62 per cent open to scanning a QR code on a TV ad in the next 12 months and 38 per cent likely to make a purchase after scanning a QR code on a TV ad. Additionally, 49 per cent say they will scan a QR code on a TV ad to take advantage of a discount.
  • But QR codes must be made more effective with personalisation: The primary reason consumers don’t scan QR codes on TV ads is a lack of interest in the product or brand (70 per cent). Additionally, respondents note that the ad did not appear for long enough (21 per cent), their phone/tablet was out of reach (13 per cent), they don’t know how to scan a QR code (10 per cent) and there was no discount code (8 per cent) as reasons why they didn’t scan.
  • Shoppable TV reaches consumers throughout the purchase funnel: By category, Clothing/Apparel and Electronics showed the highest engagement/attention potential with Shoppable TV ads, while Grocery/CPG, Restaurants, and TV/Film represent the largest opportunities for purchase intention using QR codes in creative.

“The study’s finding that relevance is consumers’ overwhelming impetus behind scanning or purchasing after seeing a TV ad, highlights advertisers’ need for accurate audience targeting,” notes Tony Marlow, CMO at LG Ad Solutions. “Marketers need to take advantage of niche audience datasets, such as consumer purchase and ACR segments, available in our LoopIQ solution, to create personalised and interactive shoppable ad experiences within CTV environments that will drive better engagement and outcomes for both advertisers and consumers.”

Categories: Ads, Advertising, Articles, Broadcast, Connected TV, OTT, Targetted

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