Interactive CTV: Beyond the myths, towards the future

Connected TV (CTV) is at an inflection point. They have offered marketers the powerful way to reach their target audience with a great combination of the immersive and full-screen experience of traditional television along with the precise targeting, measurability, and interactivity of digital advertising. However, despite this powerful combination, a debate continues to surface: is interactivity on OTT and CTV even possible?

The hesitation is rooted in outdated assumptions about technology. For years, vPAID (Video Player Ad-Serving Interface Definition) has powered interactive video formats online. This protocol has proved effective on desktop and mobile but was found to be highly incompatible when it came to the emerging CTV environment.

The OTT platforms were the first to phase it out, and rightly so, citing concerns around security, user privacy, and playback stability. This led many in the industry to assume that interactivity itself had no place in the living room.

However, that assumption is no longer valid now. Currently all modern interactive ads run on VAST (Video Ad Serving Template) and not vPAID. This is a crucial distinction.

VAST aligns with OTT security and compliance requirements while still supporting the engagement layers that make ads clickable, swipeable, or even shoppable. In other words, interactivity hasn’t disappeared. VAST has made it more evolved, making it safer, more scalable, and future-ready.

The power of experience on the big screen

A case in point could be the upcoming festive season. Let us consider a traditional 20-second spot that will undoubtedly generate impressions and reinforce brand awareness. But an interactive CTV ad does something more powerful: it invites the household to participate.

Today, interactive CTV ads are ensuring that the communication is not just transactional but conversational, leading to an immersive experience for the audience. Viewers can browse product ranges, explore offers, play a quick branded game, scan a QR code, or send a query directly to the brand's contact via scan—all without leaving the big screen.

That shift from passive delivery to active engagement is not cosmetic; it’s transformational. Interactivity demands and rewards attention in an increasingly distracted consumer environment. It transforms an ad from background noise into a memorable brand experience.

And that leads to a larger point:

1. Media placement ensures an ad is seen.
2. Creative ensures it is remembered.
3. Interactivity ensures it is experienced.

From delivery to distinction

The question, then, is no longer “Does interactivity work on CTV?” The answer is clear: it does — securely, at scale, across both OTT/FAST platforms and OEM ecosystems. The real challenge is strategic: how will agencies and brands leverage interactivity to move from delivery to distinction?

For agencies, this means a lot of rewiring. They need to rethink planning and measurement frameworks. Instead of just focussing solely on reach and frequency, they need to optimise campaigns for engagement rates, dwell times, and conversion paths initiated on the big screen.

And for brands, it means designing creative not just for storytelling but for actionability — experiences that encourage audiences to lean in, explore, and respond.

This large shift is also economic in nature. Buying impressions is easy; platforms will happily deliver GRPs. But in a saturated advertising environment, earning interaction is the new premium. Brands that master interactive CTV will own a competitive advantage: their ads won’t just be watched; they will be used.

The future is interactive

CTV has matured from a broadcast extension into a two-way channel of engagement. As interactivity continues to evolve on VAST standards, the opportunity for brands is clear: move beyond the myth that CTV is a passive screen. The future belongs to those who understand that on CTV, the real win is not just in visibility but in experience-driven interaction.

(Karan Khanna, Co-Founder & COO of Huella Services, has 15 years' experience in brand management and digital solutions, driving growth through innovative tech and marketing strategies.)