Essential data on connected TV market growth, audience behavior, and advertising performance to inform your streaming media strategy
Connected TV advertising has fundamentally transformed how marketers reach audiences, with streaming now commanding a larger share of television viewing than traditional broadcast and cable combined. As CTV ad spending reached $33 billion in 2025, the opportunity for precise audience targeting has never been greater. However, the effectiveness of CTV campaigns depends entirely on the quality of consumer data powering your audience segments. Marketers who invest in accurate, processed, campaign-ready data consistently outperform those relying on generic targeting approaches.
Key Takeaways
- Streaming dominates television viewing – 44.8% of all TV viewing occurred through streaming platforms in 2025, surpassing broadcast and cable combined
- CTV ad spending continues rapid growth – The market grew 16% year-over-year in 2024 and reached $33 billion in 2025
- Household adoption is near-universal – 89.5% of US households now own at least one internet-connected TV device
- Completion rates far exceed other channels – CTV ads achieve approximately 90-98% completion rates, making every impression count
- Advertisers are shifting budgets rapidly – Among marketers increasing CTV investment, 36% reallocated budget from linear TV in 2025
- Programmatic buying dominates – 84% of CTV advertising is now purchased programmatically
What is CTV Advertising and Why Has it Grown?
Connected TV refers to any television set that connects to the internet, including smart TVs, streaming devices like Roku and Amazon Fire TV, and gaming consoles. This technology enables advertisers to deliver targeted video ads to households watching streaming content, combining the impact of television advertising with the precision of digital targeting.
1. Streaming captured 44.8% of all TV viewing in May 2025
Streaming reached 44.8% of total television viewing in May 2025, marking the first time streaming surpassed the combined share of broadcast and cable. This watershed moment signals a permanent shift in how audiences consume video content and where advertising budgets must follow.
2. CTV ad spending grew 16% year-over-year in 2024
CTV advertising rebounded to double-digit growth in 2024 after a slower 2023. This acceleration reflects advertiser confidence in the channel and growing inventory availability as more streaming services introduce ad-supported tiers.
3. U.S. CTV ad spending reached $33 billion in 2025
Total U.S. connected TV ad investment hit $33 billion in 2025, representing massive growth from just $6.9 billion in 2019. This 377% increase over six years demonstrates the fastest-growing segment in all of advertising.
4. Digital video captured nearly 46% of all TV/video ad spend in 2025
CTV/streaming TV accounted for 46% of digital video ad spending in 2025. Traditional linear TV continues losing share as advertisers chase audiences who have migrated to streaming platforms.
Understanding OTT Advertising: Definition and Market Impact
Over-the-top (OTT) refers to video content delivered via the internet, bypassing traditional cable or satellite distribution. While CTV describes the device, OTT describes the delivery method. Understanding both is essential for developing effective streaming advertising strategies.
5. CTV spending increased 377% between 2019 and 2025
The explosive growth trajectory shows CTV advertising expanding 377% over a six-year period. Few advertising channels have demonstrated such rapid adoption, reflecting both audience migration and advertiser recognition of the format’s effectiveness.
6. 72.4% of TV viewing time is ad-supported
Analysis reveals that 72.4% of television viewing occurs on ad-supported platforms. This high percentage creates substantial inventory for advertisers while indicating consumer acceptance of advertising in exchange for free or reduced-cost content access.
CTV vs. OTT: Clarifying the Difference for Marketers
The terms CTV and OTT are often used interchangeably, but they represent different concepts. CTV specifically means the television device, while OTT refers to any streaming content delivery regardless of screen. Understanding this distinction helps marketers develop precise media strategies.
7. 98.4% of CTV ad dollars go to video ads
Nearly all CTV advertising investment, 98.4% specifically, goes toward video ad formats. This concentration reflects the television viewing context and advertiser preference for high-impact video creative over display alternatives.
8. Streaming represents 42.4% of ad-supported viewing
Within the ad-supported television landscape, streaming accounts for 42.4% of viewing time. This figure has grown consistently as audiences shift from traditional cable toward streaming alternatives, bringing advertisers along with them.
9. 89.5% of US households own internet-connected TV devices
Near-universal adoption has been achieved, with 89.5% of American households now possessing at least one CTV device. This penetration rate means advertisers can reach virtually any demographic through connected television.
10. Streaming reached 44.8% of total TV viewing
Streaming represented 44.8% of total television viewing in May 2025, narrowly surpassing broadcast and cable combined for the first time. This milestone shows just how central streaming has become to modern television consumption.
CTV Advertising Performance and Effectiveness Metrics
CTV advertising delivers exceptional performance compared to other channels, combining the brand-building power of television with the measurability of digital. These metrics demonstrate why advertisers continue shifting budgets toward connected TV.
11. CTV ads achieve 90-98% completion rates
Unlike skippable digital ads, CTV advertising achieves approximately 90-98% completion rates. This exceptional view-through rate means advertisers can be confident their full message reaches audiences, justifying premium pricing.
12. 30-second CTV ads achieve around 92% completion
Standard-length television spots maintain strong performance on CTV, with 30-second ads achieving approximately 92% completion. Advertisers can repurpose existing television creative without sacrificing viewer engagement.
Audience Adoption and Viewership Statistics
CTV audience growth has been remarkable, with connected devices now present in the vast majority of American households. Understanding these adoption patterns helps marketers assess reach potential and plan campaigns effectively.
13. 248 million CTV viewers projected in 2026
The CTV audience continues expanding, with projections showing 248 million viewers in 2026. This massive reach rivals traditional television while offering superior targeting capabilities through quality audience data.
14. Over 75% of the US population will watch CTV by 2030
Looking further ahead, more than 75% of Americans are projected to watch connected TV content by 2030. This trajectory suggests CTV will become the dominant television advertising channel within the next several years.
Advertiser Behavior and Budget Allocation Trends
Marketers are responding to audience migration by dramatically shifting budgets toward CTV. These statistics reveal how advertising investment patterns are evolving to match viewing behavior changes.
15. 56% of global marketers plan to increase OTT and CTV spending in 2025
A 2025 annual marketing report found that 56% of marketers globally planned to increase their CTV and OTT budgets in 2025. This majority consensus signals continued growth in the channel.
16. 69% of advertisers consider CTV essential in media plans
CTV has moved from experimental to essential, with 69% of advertisers considering connected television a mandatory component of their media mix. This classification ensures sustained investment growth.
17. Marketers reallocated 36% of linear TV ad spend to CTV
Marketers on average reallocated 36% of linear TV spend to CTV in 2025, The shift reflects advertisers following audiences toward streaming while taking advantage of CTV’s more flexible targeting and activation options.
18. 84% of advertisers believe CTV delivers better targeting
The targeting advantage drives budget shifts, with 84% of advertisers recognizing CTV’s superior targeting capabilities compared to traditional television. This precision depends on quality audience data from providers who understand data-driven marketing.
19. 65% of marketers increased sales using CTV with other channels
Integration with other channels drives results, with 65% of marketers reporting increased sales when using CTV in combination with other paid advertising. This omnichannel effectiveness makes CTV valuable as both a standalone and complementary channel.
Streaming Platform and Device Market Share
Understanding which platforms and devices command audience attention helps marketers allocate budgets effectively across the fragmented streaming landscape.
20. Roku represents major share of programmatic CTV traffic
Data places Roku among the leading CTV device platforms based on open programmatic advertising traffic. That scale makes Roku an important consideration for advertisers buying CTV inventory programmatically.
21. Netflix’s ad tier reached 94 million monthly users globally
Netflix’s ad-supported tier grew rapidly, reaching 94 million monthly users globally. This substantial audience on a premium platform creates valuable inventory for advertisers seeking engaged viewers.
22. 125.6 million people expected to use FAST services in 2026
FAST adoption continues growing, with projections showing 125.6 million monthly users in 2026. This represents roughly one-third of the U.S. population engaging with free, ad-supported streaming content.
Programmatic CTV and Buying Methods
The infrastructure for purchasing CTV advertising has matured rapidly, with programmatic buying now dominating the market. These statistics reveal how advertisers access CTV inventory.
23. 84% of CTV advertising purchased programmatically
The vast majority of CTV ads, 84% specifically, are now purchased through programmatic platforms. This shift enables more efficient buying, better targeting, and improved measurement compared to traditional upfront deals.
Future Projections and Market Forecasts
CTV advertising growth shows no signs of slowing, with projections indicating continued expansion over the coming years. These forecasts help marketers plan long-term investment strategies.
24. CTV ad spending projected to reach $37.95 billion in 2026
Industry projections show CTV advertising investment reaching $37.95 billion in 2026, representing continued double-digit growth from 2025 levels.
25. CTV spending projected at $40-42 billion by 2027
Looking to 2027, CTV ad spending is expected to hit $40-42 billion, maintaining strong growth momentum as audiences continue migrating to streaming platforms.
26. Linear TV ad spend declined 7% in 2025
In contrast to CTV growth, traditional linear TV advertising fell 7% in 2025. This decline accelerates the crossover point where CTV surpasses linear television in total advertising investment.
CTV Advertising’s Data-Driven Future
The statistics presented throughout this analysis paint a clear picture: connected TV advertising has evolved from an experimental channel into the fastest-growing segment of the advertising industry. With streaming now commanding nearly 45% of all television viewing and CTV ad spending exceeding $33 billion in 2025, the shift is undeniable. Yet the most significant insight from these figures isn’t simply about market size or growth rate, it’s about the fundamental change in how advertisers can reach audiences with precision previously impossible in traditional television.
The combination of near-universal household adoption (89.5%), exceptional completion rates (90-98%), and superior ROI performance creates a compelling case for CTV investment. But these advantages materialize only when campaigns are built on accurate, campaign-ready audience data. The 84% of advertisers who recognize CTV’s targeting superiority understand that generic demographic segments cannot unlock the channel’s full potential.
As programmatic buying dominates 84% of CTV purchases and platforms like YouTube, Netflix, and Roku continue expanding their advertising inventory, the infrastructure for precision targeting has matured. Marketers who invest in household-level data enriched with behavioral and lifestyle attributes and who maintain consistency across audience segmentation strategies spanning CTV, direct mail, email, and social consistently outperform competitors relying on pre-packaged segments. The projected growth to $52.53 billion by 2029 ensures CTV will remain central to media strategies, making the quality of your audience data not just an operational detail but a strategic imperative.
Building Campaign-Ready Audiences for CTV Success
The effectiveness of CTV advertising depends directly on audience data quality. Premium inventory means nothing without precise targeting, and generic demographic segments fail to capture the full potential of connected television’s capabilities.
Marketers achieving the strongest CTV results invest in:
- Accurate household-level data – CTV targets households, making address-level accuracy essential
- Behavioral and lifestyle attributes – Moving beyond basic demographics to reach in-market audiences
- Custom audience segments – Building audiences around specific campaign goals rather than pre-packaged segments
- Data hygiene and processing – Ensuring match rates and deliverability before campaign launch
- Multi-channel consistency – Using the same audience data across direct mail, email, social, and CTV
Working with a marketing data partner who understands campaign objectives transforms CTV from a broad reach channel into a precision targeting tool. The difference between generic lists and campaign-ready data often determines whether CTV campaigns deliver acceptable or exceptional results.
Frequently Asked Questions
What is the primary difference between CTV and OTT advertising?
CTV (Connected TV) refers specifically to the device, meaning any television connected to the internet including smart TVs and streaming devices. OTT (Over-the-Top) refers to the delivery method, encompassing any video content delivered via the internet regardless of screen type. CTV advertising specifically targets the television screen experience, while OTT includes mobile and desktop streaming as well.
How do CTV advertising statistics impact current marketing strategies?
CTV statistics reveal a fundamental shift in audience behavior that requires corresponding changes in media planning. With 44.8% of TV viewing occurring on streaming platforms in 2025 and 89.5% of households owning connected devices, marketers must reallocate budgets from linear television to CTV to maintain reach.
What are common challenges in measuring the ROI of streaming advertising?
CTV measurement challenges include cross-device attribution, connecting television impressions to downstream conversions, and fragmented viewing across multiple platforms. However, a significant percentage of advertisers now use cross-device dashboards or attribution tools to address these challenges. Quality audience data that enables consistent identification across channels significantly improves measurement accuracy.
Can quality marketing data improve CTV advertising audience targeting?
Absolutely. While 84% of advertisers recognize CTV’s superior targeting versus linear TV, the actual targeting precision depends entirely on underlying data quality. Custom audience segments built from accurate, processed data consistently outperform generic demographic targeting. DataPartners helps marketers build campaign-ready audiences using demographic, household, lifestyle, and behavioral attributes that support broader digital audience activation strategies.
How does the rise of cord-cutting affect CTV and streaming ad spend?
Cord-cutting directly fuels CTV advertising growth as audiences who cancel cable subscriptions migrate to streaming services. With linear TV ad spending declining 7% in 2025 while CTV grew 16%, the advertising dollars follow the audience. This trend accelerates as younger demographics increasingly never subscribe to traditional cable, making CTV the primary way to reach them through television advertising.