With AI search threatening click-through rates, connected television may be advertising’s next frontier

CTV advertising is emerging as a potential new channel for B2B marketers as traditional digital marketing faces increasing challenges with AI search and rising social media costs.

Market dynamics: Connected television advertising spending is projected to grow 13.8% in 2025, making it one of the fastest-growing media channels.

• Current CTV platforms enable precise targeting through IP addresses, allowing B2B marketers to reach specific industry decision-makers
• Nearly 40% of business decision-makers consume television content daily for business information
• Unlike traditional TV advertising, CTV offers flexible pricing and broad inventory access across streaming services

Performance metrics and costs: Early data suggests CTV advertising delivers strong engagement and return on investment for B2B advertisers.

• MNTN platform reports an average cost of $0.03 per completed ad view
• Return on ad spend averages 4.36x according to platform data
• Demandbase reports that combined CTV and display campaigns increased domain visits by 46% and clicks by 54%

AI’s role and limitations: While artificial intelligence will reduce video production costs, it won’t guarantee advertising success.

• AI-powered video creation tools are making content production more accessible and cost-effective
• The ability to produce multiple content variations for testing has increased
• Technical quality of AI-generated content remains a concern for some advertisers

Creative challenges: The fundamental challenge of producing effective B2B video content persists despite technological advances.

• ROI continues to depend heavily on creative concept quality
• Skilled creative professionals who understand B2B audiences and CTV as a medium are in limited supply
• The combination of easier access and creative talent scarcity may temporarily reduce average ad quality

Strategic considerations: Companies exploring CTV advertising need to focus on fundamental marketing principles while embracing new technology.

• Success depends on reaching the right audience with compelling messages
• Investment in creative talent remains crucial despite lower production costs
• The human element in creative development continues to drive campaign effectiveness

Future outlook: The temporary decline in ad quality may create opportunities for B2B advertisers who maintain high creative standards and strategic focus.

• As more companies enter the CTV space, differentiation through superior creative execution becomes more important
• Organizations that balance technological capabilities with strong creative strategy will likely see the best results
• The learning curve for B2B advertisers in CTV may create early-mover advantages for companies that master both technical and creative aspects