Articles

Differences Between Linear TV and CTV

Discover the key differences between Linear TV and Connected TV (CTV) in terms of audience targeting, ad delivery, content access, and viewing experience.

By Keira Manifold

September 27th, 2024

Differences Between Linear TV and CTV

As technology continues to evolve, the way people consume content has dramatically changed. Linear TV (traditional broadcast television) and Connected TV (CTV) represent two distinct approaches to media consumption. While Linear TV has been the dominant form of content delivery for decades, CTV has gained significant traction in recent years due to its flexibility, on-demand content, and personalized viewing experience.

In this blog, we’ll explore the key differences between Linear TV and CTV, providing a detailed comparison that highlights how each platform operates, its advantages, and how it affects both viewers and advertisers.

1. Definition & Basic Functionality

Linear TV:
Linear TV refers to traditional television broadcasts through cable, satellite, or over-the-air (OTA) signals. Content is delivered in a scheduled, real-time format, where viewers tune in to specific channels at a designated time to watch shows or events.

CTV:
Connected TV (CTV) is any television that connects to the internet to stream content. This includes Smart TVs or devices like Roku, Apple TV, Amazon Fire Stick, and game consoles. CTV allows users to access apps and on-demand services like Netflix, Hulu, YouTube, and other streaming platforms.

2. Content Delivery

Linear TV:

  • Scheduled Programming: Linear TV relies on a pre-set schedule of shows and programs. Viewers watch at a specific time or miss the show unless they use DVR or catch re-runs.

  • Real-Time Broadcasting: Popular for live events such as sports, award shows, and breaking news, Linear TV excels in providing real-time content that everyone watches simultaneously.

CTV:

  • On-Demand Access: CTV platforms allow viewers to choose what they want to watch at any time. There is no reliance on schedules; users can pause, rewind, or binge entire seasons of shows at their convenience.

  • Content Variety: CTV offers access to a wide range of content through multiple streaming services, from mainstream networks to niche platforms that cater to specific audiences.

3. Advertising

Linear TV:

  • Mass Audience: Ads are delivered to a broad, often non-targeted audience, making it effective for high-reach campaigns.

  • Commercial Breaks: Advertisements are aired during scheduled commercial breaks, with viewers often skipping channels or multitasking during these breaks.

  • High Cost: Linear TV ad slots, especially for prime time or major events like the Super Bowl, are expensive but can guarantee large viewership numbers.

CTV:

  • Targeted Advertising: CTV ads are highly personalized and targeted, based on the viewer’s preferences, behavior, and demographic data.

  • Ad Flexibility: Advertisers can use dynamic ad insertion to serve different ads to different viewers watching the same content. For example, one person might see an ad for a car, while another sees an ad for a tech gadget.

  • Cost Efficiency: While CTV ads are generally cheaper than Linear TV, they can be more effective due to better targeting and lower ad waste.

4. Audience & Reach

Linear TV:

  • Older Demographics: Linear TV primarily appeals to older audiences who are accustomed to scheduled programming.

  • Declining Viewership: With the rise of streaming services, many younger viewers are cutting the cord and turning to CTV, resulting in a steady decline in Linear TV’s viewership.

CTV:

  • Younger, Digital-Savvy Audience: CTV is favored by younger audiences who prefer on-demand content and are more comfortable navigating apps and streaming platforms.

  • Rapid Growth: The number of CTV users is growing rapidly as more people move away from traditional cable and satellite TV subscriptions.

5. Content Experience

Linear TV:

  • Channel Surfing: Many viewers engage in channel surfing, flipping through different channels to find something to watch, often settling for what’s available.

  • Limited Interactivity: Linear TV offers a passive viewing experience, with little to no interaction between the viewer and the content.

CTV:

  • Personalized Content: Streaming platforms on CTV use algorithms to recommend shows and movies based on past viewing habits, making it easier to discover new content.

  • Interactive Features: CTV platforms often allow viewers to interact through features such as voting, comments, or choosing alternative storylines in certain shows or movies.

6. Measurement & Analytics

Linear TV:

  • Traditional Metrics: Linear TV viewership is typically measured using Nielsen ratings, which provide an estimate of how many people watched a program but don’t provide detailed data about individual viewers.

  • Delayed Feedback: Advertisers may have to wait for post-broadcast reports to gauge campaign success, and even then, results are generalized.

CTV:

  • Real-Time Analytics: CTV offers real-time, precise data on viewer engagement, such as impressions, ad completions, and demographics, which allows for quicker optimization of campaigns.

  • Advanced Tracking: Advertisers can track user behavior, including how long they watched the content, which ads they engaged with, and even if they made a purchase or took action afterward.

7. Viewer Control

Linear TV:

  • Low Viewer Control: Linear TV offers minimal control to viewers over what they can watch at any given time. You either tune in or wait for re-runs or special recordings.

  • Limited Accessibility: Viewers must be home to access their cable or satellite feed unless they use a remote access tool provided by their TV provider.

CTV:

  • High Viewer Control: CTV gives viewers full control over their experience, with the ability to watch content on any internet-connected device, from TVs to smartphones and tablets.

  • Multi-Device Access: Users can start watching a show on their TV and finish it on their mobile device, providing a seamless viewing experience across platforms.

Conclusion

Both Linear TV and CTV offer distinct experiences for viewers and advertisers, each with its own strengths. Linear TV is ideal for real-time, mass-market broadcasting, especially for live events and older demographics. However, with changing media consumption habits, CTV’s on-demand, interactive, and targeted approach is rapidly gaining ground, especially among younger audiences.

For advertisers, the choice between Linear TV and CTV will depend on the campaign’s goals. Linear TV provides unparalleled reach for big events, while CTV allows for precision targeting and detailed analytics, making it a powerful tool for modern advertising strategies. Understanding these differences can help brands optimize their media buying efforts and better connect with their target audiences.