Performance Ad Deals Rising: Costs, Targeting Issues Continue

Performance-focused TV deals are still on the rise, and the number of brands that plan to increase budgets has more than doubled compared to a year ago.

A survey from tvScientific, a connected TV (CTV) ad-technology platform, finds that 71% of brand executives say they will raise performance-linked TV ad budgets -- double the number versus 35% a year ago.

In terms of the specific media buys, research says these business outcome-performance budgets -- when looking at the dollar level -- are expected to increase 41% on average over previous deals.

Where is the money coming from? Social media, according to 53% of respondents.

“This is a massive statement,” say the authors of the study. “Budgets being pulled from other conversion-based channels indicates that performance TV is having a measurable impact, on the bottom line.”