A Guide for OTT

Advertising in
Southeast Asia
THE FUTURE OF TV
 A GUIDE FOR OTT ADVERTISING
OTT can help you reach more
than 100 million viewers
Now is the time to grow
your brand with OTT. As
consumers' media
consumption behaviors
diverge, advertisers will
face inflation in trying to
reach yesterday’s
audiences.
Additionally, Southeast
Asia’s OTT audiences are
accelerating their adoption
of ad-supported services.
THE FUTURE OF TV
Advertisers just need to get
started.
28
In our report, we detailed
the evolution of the OTT
landscape. This guide will
highlight how brands can
take advantage of the
OTT opportunity with new
types of ad inventory, new
use cases across the
marketing funnel, and best
practices for how to
plan, buy, and measure
winning OTT campaigns.
 A GUIDE FOR OTT ADVERTISING

Understanding the types of video

advertising inventory available on
OTT
Generally, there are three types of video ad inventory
available on OTT platforms: 98% KEY CONSIDERATIONS

Use non-skippable linear

In-stream Video ads play before (pre-roll), during (mid-roll), or of all global OTT video assets video ads to fully utilize
video ads after (post-roll) the streaming content. This is the were 15 or 30 seconds1. OTT advertising’s
main bulk of OTT inventory as most advertisers buy
pre- and mid-roll ads. effectiveness and market-

66%
leading viewability and
Non-linear Video ads overlay the video content while allowing completed view rates.
video ads the user a relatively unobstructed and
uninterrupted view of the content. Start testing small-scale
Companion Ads are served alongside content in the form of of all global OTT video assets campaigns by repurposing
ads text, static image display ads, rich media, or skins were 30 seconds1. existing 15/30/60-second
that wrap around the video experience to offer video ads.
THE FUTURE OF TV

>85%
sustained visibility of the sponsor throughout the
video streaming experience.

viewability and completed

view rates in Southeast Asia2.
1. ExtremeReach Video Benchmarks 2019 Q3, 2019
29 2. SpotX, Webinar: An Advertiser’s Guide to OTT in Southeast Asia, 2020
 A GUIDE FOR OTT ADVERTISING

Drive incremental reach.

Drive awareness.

Savvy advertisers are using

OTT advertising to
complement traditional TV
This is especially important
in Southeast Asia where
there is a growing base of
1 in 5 MARKETPLACE EXAMPLE

Regional player Viu’s

spend, driving brand younger digital-only Southeast Asian OTT content strategy reflects
exposure and lowering audiences and OTT viewing viewers have not watched both broad appeal and
overall media cost. OTT peaks during the TV traditional TV in the past niche audiences. Beyond
platforms also allow primetime slots. OTT three months1. bringing in popular hit
advertisers to connect with platforms with smaller Korean dramas, the
audiences who are reach also offer advertisers platform has continued
spending less time on an opportunity to reach investing in original series
traditional TV. niche audiences in a brand-
safe environment. 15% to win over niche and local
audiences. These include
THE FUTURE OF TV

Pretty Little Liars in

average incremental reach Indonesia, My Bubble Tea in
of TV and digital ad Thailand, and The Bridge,
campaigns vs TV-only an HBO Asia collaboration
campaigns in Indonesia featuring detectives in
and Thailand2. Singapore and Malaysia2.
1. The Trade Desk, The Future of TV Study, 2020
30 2. Nielsen, Total Ad Ratings (TAR) cross-media study, Thailand and Indonesia, 2020
3. The Drum, How streaming platform Viu is riding the Korean Wave, 2020
 A GUIDE FOR OTT ADVERTISING

OTT has a role in driving

consideration too

While OTT has yet to disrupt Advertisers can also use MARKETPLACE EXAMPLE KEY CONSIDERATIONS
traditional TV in Southeast first- or third-party data to
Asia the same way it has in re-target the same Regional player iflix allows If you have access to first-
western markets, it is a audiences across different brands to use their first-party or third-party data sets,
close competitor in platforms. These strategies intelligence, including consider experimenting
consumption hours and for will allow advertisers to use browsing and streaming data with re-targeting
primetime attention. OTT OTT platforms to build mid- as well as genre and campaigns on OTT
can be a cost-effective way funnel consideration and programming preferences platforms.
to reinforce brand salience brand preference. for targeting. Pre-defined
and association among a audience segments can also Develop ads that are
targeted audience. The be used for targeting2. contextually relevant to the

91%
wide variety of parameters content that viewers are
watching to reinforce key
THE FUTURE OF TV

on OTT platforms enables

advertisers to better focus brand association.
on a target audience and of Southeast Asia viewers
create engaging ads that have clicked through an ad
are relevant to viewers. on OTT, among those who
have seen video ads.
1. The Trade Desk, The Future of TV Study, 2020
31 2. iflix, iflix introduces market first contextual segment targeting to empower brands to better reach
audiences, 2019
 A GUIDE FOR OTT ADVERTISING

OTT has the power to shorten the

customer journey

Although nascent, OTT While the concept of MARKETPLACE EXAMPLE KEY CONSIDERATIONS
platforms in the region are “Shoppertainment” was
rapidly innovating to allow pioneered by e-commerce Indonesia platform Vidio has Advertisers can explore
viewers to make direct players, OTT platforms are integrated with e-commerce OTT content tie-ups that
purchases while viewing fast catching on to the Bukalapak to offer live allow viewers to make
online video content. The trend. As the ecosystems shopping functionality1. direct purchases as a
practice of shopping during and technical capabilities program is playing.
live streaming events of OTT platforms mature,

73%
hosted by influencers or advertisers can expect OTT Watch out for future
celebrities is already platforms to provide full- developments as more OTT
commonplace in China and funnel solutions that players integrate payment
is starting to take off in shorten the path to of Southeast Asian and e-commerce
respondents were receptive functionalities.
THE FUTURE OF TV

Southeast Asia. purchase.

to the idea of shoppable
TV2.

1. Vidio, expert interview, 2020

32 2. Brightcove and YouGov, Asia OTT Television Research Report 2019
 A GUIDE FOR OTT ADVERTISING

Buying OTT:
direct versus programmatic
There are two main ways to However, in fragmented
buy OTT inventory -- markets in Southeast Asia,
directly from publishers or
through a programmatic
platform. Agencies typically
buying directly means
cutting IOs multiple times
for different audiences.
47% 88%
have their preference, but Programmatic automates of media buyers in Asia of media buyers in Asia
advertisers who are this process while enabling predict video ads on OTT expect programmatic
deciding can consider the frequency capping, platforms will experience budgets to remain the same
following factors. retargeting and the greatest increase in or increase despite the
measurement across programmatic ad spend impact of the pandemic on
Some publishers offer cost multiple OTT platforms to from 2020-20211. overall advertising
savings to advertisers who help deduplicate reach at a budgets1.
buy insertion orders (IOs) lower frequency. It also
directly. Some publishers
enables more targeted
THE FUTURE OF TV

also reserve specific audiences using first- or

inventory for direct third-party data, and offers
purchases. real world measurement
options beyond clicks,
views and other online
actions.
33 1. Rubicon Project and Campaign Asia, Programmatic Ad Buying in Asia, 2020
 A GUIDE FOR OTT ADVERTISING

Enhance engagement with

interactive video formats

41s
While repurposing an In addition to first- and SAMPLE DATA POINTS
existing asset may be the third-party targeting,
• Time of day/
easiest way to jumpstart situational data such as day of week
OTT efforts, standard video GPS location or time of day additional time earned by
only just scratches the can enable data-driven • Weather interactive video
surface in terms of creative video. For example, movie • Device type campaigns vs standard
possibilities for advertisers. promoters can direct video campaigns1
Interactive video audiences to the nearest • Publisher data

550%
encourages users to theatres and upcoming
interact with the ads, such showtimes, or brands can
as watching the full video push real-time offers at SAMPLE DATA POINTS
(extended video content), nearby retailers. • Custom product lift in total user activity over
THE FUTURE OF TV

image galleries, TV-to- recommendations standard video campaigns1

mobile, and age gates.
• Dynamic maps and
addresses
• Store locations
• Real-time offers
34 1. Innovid, Innovid Global Benchmarks Report, 2017
 A GUIDE FOR OTT ADVERTISING

Reach viewers who are watching

alone with advanced targeting
parameters

50%
KEY CONSIDERATIONS
Since the majority of OTT viewing is done alone, OTT offers Leverage data from OTT
advertisers the opportunity to target individuals precisely. platforms and media
At the same time, OTT allows for more social viewing higher lift in brand
awareness through audience partners to identify the
occasions compared to user-generated content. Use OTT’s right parameters for your
targeting options to capture the right audiences. targeting vs demographic
targeting in a specific beauty target audience.
Demographics Age, gender, language preference campaign1 For longer campaigns,
Location Country, state, region, city postal code conduct A/B tests for

98%
different parameters and
Daypart Time of day, day of the week
optimize the audience
Genre (e.g. news, drama sports), category strategy over time.
THE FUTURE OF TV

Content
(e.g. TV shows, movies)
more unique users reached
Device Connected TV (CTV), mobile phone, tablet through audience targeting
vs demographic targeting in
Operating System iOS, Android
a specific beauty campaign1
Telco carriers Specific to each market

35 1. Think with Google, Audience Targeting vs Demographic Targeting, 2019

 A GUIDE FOR OTT ADVERTISING

Bring the data and precision of Performance lift of data campaigns across
digital to your TV advertising regions and industries1
Cost per Action Click-through Rates Conversion Rate
281%

On top of advanced Advertisers can also

targeting parameters, retarget viewers on
advertisers can incorporate additional devices, apps,
data to enhance the websites, etc. For example: 158%
performance of OTT
campaigns. Improved • E-commerce advertisers
outcomes include lower can use first-party data to
cost per action and higher share their latest
click-through and promotions with new and 56%

conversion rates. existing customers.

22%

With data from brands, • Brand advertisers can use

publishers, and third third-party data to reach
THE FUTURE OF TV

parties, advertisers can new high-value -14%

target specific customer audiences based on

-49%
passion points from a
attributes, e.g. brand
ownership. partner marketplace.
Retargeting site visitors Third-party data

36 1. Taboola, It’s time to leverage user data for your ad campaigns, 2019
 A GUIDE FOR OTT ADVERTISING

Make each exposure less

expensive with control over
frequency capping
By shifting traditional TV
spend to OTT, advertisers
can optimize their ROI on
Frequency capping in OTT
has the added benefit of
real-time optimization and
70% KEY CONSIDERATIONS

Check if partners allow for

audience exposure. adjusting the level of cap of CMOs globally believe frequency capping and
Frequency capping in based on audience and frequency capping can limit creative rotation to create
omnichannel buying performance. Audiences ad fatigue1 effective brand recall
platforms allows the get a better OTT viewing without ad fatigue.
optimal frequency to be experience, while
applied across CTV, display, advertisers can make their
and mobile, not just TV. This budgets work harder. As the
allows brands to increase industry continues to
the frequency of exposure experiment, OTT advertising
THE FUTURE OF TV

at a lower cost to drive will continue to ad

saliency among audiences experiences that are more
who watch both, while positive for viewers and
driving incremental reach deliver higher ROI for
for OTT-only audiences. advertisers.

37 1. CMO Club, Report: Tackling bad advertising experiences, 2018

 A GUIDE FOR OTT ADVERTISING

Move beyond standard TV Digital Metrics

OTT Only
metrics to better measure
Individual reach % of individual audiences reached
success
% of ad visible on the screen for at least 2
Viewability
seconds
OTT platforms allow advertisers to expand beyond
Video ad
traditional TV and use digital metrics to measure success. completion rates
% of ads that play through their entire duration

Across campaigns, four basic metrics advertisers should % of campaign delivery within the advertiser’s
understand are reach (individual, household for CTV, or on- On-target campaign-defined goals (a more advanced way
target percentage for more advanced advertisers), percentage (OTP) to understand the quality of a campaign’s
reach)
viewability, video ad completion rates, brand impact, and
cost per unique reach. Brand Lift
% increase in brand awareness, perception,
consideration, purchase intent
However, programmatic technology gives advertisers the
Number of in-store visits from viewers exposed
ability to go beyond tracking online actions. The Trade Footfall
to OTT ads
Desk enables you to work with measurement providers to
see whether in-store visits, online and offline sales, and OTT and TV
brand lift were influenced by your OTT campaigns. Use
THE FUTURE OF TV

these learnings to inform your future goals and buys. Household reach % of households reached

TV Only
Use the right metrics to compare performance across
platforms. When comparing CTV, mobile, or desktop Size of an audience reached by a specific
campaigns, use digital metrics. Use linear metrics to Gross Rating Point media vehicle or schedule, regardless of
(GRP) multiple exposures of the same advertising to
compare OTT campaigns to traditional TV.
individuals
38
 A GUIDE FOR OTT ADVERTISING

Understanding OTT video pricing

models and KPIs

Typically, OTT inventory is priced and sold on a CPM basis. KEY CONSIDERATIONS
Advertisers can additionally set KPIs to help them optimize
towards particular goals. The most common are: Definitions of a “view” vary
by OTT platform. Clarify
The advertiser pays for every time a video ad
Cost per definitions before
runs through to completion, rather than paying
completed view
for all views, some of which may have been confirming a pricing model
(CPCV) with an OTT partner.
stopped before completion.
Cost per view The advertiser pays for every time a video ad
(CPV) starts (each start is counted as a view).
Viewable cost Costs, views, and viewability are considered
per view (VCPV) to determine what the advertiser pays.
THE FUTURE OF TV

39
 A GUIDE FOR OTT ADVERTISING

Measuring unique reach across

platforms and channels

While OTT advertising Solving this is a key

offers many opportunities, it industry focus — major
is not without its global advertisers, agency
challenges. The biggest holding groups, and
advertiser pain point is how industry bodies have joined
to measure unique reach the World Federation of
across OTT platforms and Advertisers’ Cross Media
media channels. Working Group to promote
a common global approach

62% that can work for the whole

industry. In the short term,
advertisers are employing
THE FUTURE OF TV

of brand and agency third-party cross-media

executives globally studies to understand
reported measurement overlaps and incrementality
capabilities as one of the of audience reach.
top three obstacles to
adopting OTT advertising1.

40 1. Nielsen, Annual Marketing Report: The Age Of Dissonance, 2019

 A GUIDE FOR OTT ADVERTISING
Four tips for planning and optimizing a winning OTT campaign
LEAD WITH KPIs
Define campaign
objectives and KPIs at the
start to ensure creative,
targeting, and attribution
measures are aligned.
Determine the balance
between scale and
targeting early on.
THE FUTURE OF TV
41
MEASURE FOR SUCCESS
Use the right metrics to
compare performance
across platforms. When
comparing CTV, mobile, or
desktop campaigns, use
digital metrics. Use linear
metrics to compare OTT
campaigns to traditional TV.
The Trade Desk’s
partnerships with Lifesight,
Factual, Gojek, Zalora, and
InMobi enable advertisers
to go beyond proxy metrics
such as completion rates to
measure and attribute
online and offline sales and
footfall, and brand lift.
MAXIMIZE FIRST- AND
THIRD-PARTY DATA
Put your hard-earned first-
party data to work to cut
through the clutter and help
your campaign stand out
from the rest.
Use third-party data for
precise targeting and to
gain richer audience
insights.
Work with a data on-
boarder with the expertise
to map targeting segment
to ad/device identifier
and/or IP address.
OPTIMIZE, OPTIMIZE,
OPTIMIZE
Leverage frequency
capping and continually
monitor and fine-tune
campaigns.
Optimize in real time based
on live performance data.
The Trade Desk offers
advertisers the ability to
optimize OTT campaigns to
drive in-store visits and
online and offline sales, as
well as brand lift.
 A GUIDE FOR OTT ADVERTISING
Exploring the creative toolbox
• Tailor the look, sound, and feel of creatives to the
targeting parameters to deliver relevant and
personalized experiences, especially in the highly
personal environments of mobile devices.
• Leverage dynamic creatives to test different offers and
finetune messaging.
• Work with platform partners to understand and
experiment with new types of ad messaging, from
paused-content ads to menu places.
• Maximize clickable ad types with actionable creatives
to encourage viewers to engage with the brand. This
THE FUTURE OF TV
enables ads to capture data and drive immediate
purchase.
42
At the same time, keep in mind hygiene factors around
formatting to ensure seamless adaptation across formats and
platforms:
1. Keep non-skippable ads to 30 seconds or less as OTT
viewers have different expectations for streaming content
compared to traditional TV.
2. Capture your audience’s attention in the first few seconds.
Introduce the brand early or consider having a logo
throughout the commercial.
3. Use high-quality mezzanine file assets (use VAST and
high-quality MP4) to match the quality of ads to the
streaming content.
4. Identify sizing best practices to ensure creatives can be
formatted for multiple devices.
 A GUIDE FOR OTT ADVERTISING

Case study: OTT outperforms

user-generated content and
social platforms in Vietnam
CHALLENGE
Test and analyze the
performance of the same
15s video creative across
different digital platforms
for a household electronic
brand
RESULTS
Higher engagement of
audiences of professional
quality, long-form content
94%
completion rate vs MOAT
on big TV screens drove industry average: 68%
higher completion rates and
most efficient cost per

SOLUTION
The Trade Desk partnered
with FPT IPTV to target
females watching specific
THE FUTURE OF TV
4.7X
completed views (CPCV) of
$0.006, despite higher
CPMs.
higher completion rate than
user-generated content

content (e.g. Korean

74X
dramas, Vietnamese TV
series, short films) on CTV
devices with 15s skippable higher completion rate than
video creatives social platforms

43
 A GUIDE FOR OTT ADVERTISING

Case study: Reaching

incremental audiences through
OTT on mobile
CHALLENGE
To explore new channels
beyond linear TV and
YouTube to maximize brand
awareness for a baked
potato snack
SOLUTION
RESULTS
Exceeded target viewability,
completion rates, and
industry averages. By
94%
completion rate vs MOAT
focusing on mobile and OTT industry average: 68%
audiences, the brand
reached audiences
otherwise inaccessible on
linear TV and YouTube.

Eight-week campaign of in-

stream ads targeting men
THE FUTURE OF TV

and women aged 13-44

years old on iflix, Viu, iWant,
and HOOQ. 95 percent of
the spend was on mobile
with 61 percent on Android
devices.

44 SpotX, 2020
 A GUIDE FOR OTT ADVERTISING
Case study: Priming mobile
audiences for higher engagement
CHALLENGE
Raise awareness and drive
consideration for the movie
Cats by encouraging
engagement with video
content
SOLUTION
30-second pre-roll
interactive video ads within
THE FUTURE OF TV
in-app OTT platforms (iflix,
HOOQ, Viu, and iWant) to
drive viewers to Cats movie
playlist destination to watch
more
45 SpotX, 2020
RESULTS
Movie promotions fit
seamlessly with the
professionally produced
4x
click-through rate vs industry
long form content viewers
were consuming. At the IAB standards (0.23%)
same time, the simple
interactivity in a
mobile/app-based
environment that viewers
are used to clicking through
2x
click-through rate of non-
drives higher click-throughs interactive and non-clickable
and engagement. Effective
ads
optimization and a creative
spin allow the campaign to
perform above average
85%
benchmarks and reach out
to previously inaccessible
audiences. completion rate
 A GUIDE FOR OTT ADVERTISING

Work with The Trade Desk to make the most of the OTT opportunity
The future of TV buying has arrived. The Trade Desk platform delivers the tools to reach more than
100 million Southeast Asian viewers using data-driven OTT buying.

Layer rich first- and Tie OTT investment to When buying OTT Advertise alongside Maximize brand
third-party audience real business results with The Trade Desk, premium inventory safety without the
data on your media by measuring, advertisers decide from top local and need for third-party
buys — including attributing, and when, where, and regional OTT tools to manage and
interests, optimizing in-store how often their ads platforms. Activate track.
demographics, footfall and visits, appear — in real time and manage all your
contextual, content, and online and down to the minute, OTT deals within one
geography, and offline sales to ads hour, day, or week. platform.
more. Using our AI on OTT. Take
THE FUTURE OF TV

engine Koa™ you advantage of high

can automatically viewability and
optimize your completion rates to
campaigns toward build and measure
your most valuable brand awareness.
viewers.
46
 CONCLUSION

Future trends and developments in OTT in Southeast Asia

1. ULTRA HIGH-DEFINITION CONTENT 4. LIVESTREAMING OPPORTUNITIES

5G is set to usher in a new wave of OTT uptake as
internet speeds 10-20x faster than 4G are brought to
the masses, enabling ultra high-definition content on
mobile.
2. MOBILE NOW, MULTI-DEVICE NEXT
Expect the predominantly mobile audiences of
Southeast Asia to shift towards multi-device
streaming, widening the appeal of OTT and expanding
the creative possibilities of advertising.
3. THE GOLDEN AGE OF TV
THE FUTURE OF TV
Accelerated by COVID-19, live streaming is gaining
traction beyond sports to concerts, award shows, etc. As
viewership grows, live-streamed content offers advertisers
new ways to monetize content and reach consumers.
5. INNOVATIVE DISTRIBUTION MODELS
As Southeast Asia’s technology giants mature and grow,
OTT will be a key touchpoint for brands to reach
consumers through shorter customer journeys within their
ecosystems and super-apps.

Due to high demand, more high-quality local content

is being produced than ever. As content costs outpace
SVOD support and consumers are accustomed to free
content, AVOD platforms will level the playing field
and lead consumer preference.

47
 CONCLUSION

OTT is only getting

started
COVID-19 has accelerated demand for OTT in Southeast
Asia, already driven by internet and smartphone adoption.
Moving forward, OTT advertising is a core part of marketer’s
84%
toolkits, especially as a top-of-funnel, cost-efficient of APAC marketers
complement to traditional TV. expect to increase
OTT ad spend in the
The benefits of targeting and effectiveness outweigh the next 12 months 1.
challenges in measurement which can be mitigated by
cross-media studies.
Advertisers should start now to build in-house capabilities
and take advantage of the bright future of OTT. With better
THE FUTURE OF TV

connectivity on the horizon, OTT will pave the way for

advertisers to reach and target tomorrow’s affluent and
young Southeast Asian consumers.

1. SpotX, Poll results: What are APAC marketers’ attitudes towards OTT?, 2020
48
 About The Trade Desk and Kantar

The Trade Desk helps brands and their agencies advertise to audiences
across millions of ad-supported apps, websites, and streaming providers
— all around the world. Their media buying platform is focused solely on
the buy side, empowering advertisers with data, transparency, and
precision to reach and grow their audience everywhere. And helping to
power the content that fuels the free and open internet.

Kantar is the world’s leading marketing data, insight, and consultancy

company. Part of WPP, the company’s services are employed by over half
of the Fortune 500 companies in 100 countries. Our global team of
consultants blend people expertise and industry experience to build
solutions that help drive incremental growth for our clients. This
document is developed in partnership with the Consulting Division,
located in Singapore.
THE FUTURE OF TV

For more information, contact us at info@thetradedesk.com