Mobile vs. Connected TV: The IPL 2024 digital advertising scoreboard

It is a good time to be a cricket lover. One is not only spoiled for choice with a variety of tournaments in different formats but also has an array of mediums to choose from- television on Star Sports, mobile device or connected TV (CTV) on JioCinema. But just as a cricket enthusiast has to choose between these mediums, so does the advertiser. 

In the first half of this season of the Indian Premier League (IPL), Connected TV (CTV) saw a significant increase in advertising volume compared to mobile platforms across the top five categories: BFSI, services, food and beverages (F&B), household products, and automobiles revealed a recently released mFilterIt report. 

Categories like automotive, entertainment, premium F&B, and health products are appealing to metro audiences. Finance products such as credit cards and forex cards, along with travel and hospitality offerings, also target metro and tier one consumers, prioritising connected TV. Consumer electronics, banking, and retail, are notably more active on CTV compared to mobile. On the other hand, mass-market brands like FMCG, and BFSI savings products favour mobile advertising for their broader reach.

According to Srinivas Rao, chief investment officer, Wavemaker India, advertisers are overwhelmingly favouring CTV over mobile. 

“This shift can be attributed to several factors, notably the heightened talkability and buzz surrounding CTV in recent months and the larger screen impact of CTV than mobile. The traction and engagement on CTV have surged, following a trend observed during events like the World Cup last year, which has carried over into this year's IPL. Consequently, there's a notable skew towards CTV in both conversations and investment allocations, reflecting its growing importance in the advertising landscape,” he says.

Vaibhav Choudhari, vice president, west, Carat India, says, ad spends on mobile platforms remain high due to their extensive reach, but now a mixed strategy is being adopted. For instance, a brand allocates 70% of its budget to mobile ads for broad reach and 30% to connected TV targeting premium audiences with a different product line. 

CTV is considered premium as one needs a smart TV and a strong internet bandwidth. Premium brands prefer CTV for its ability to reach relevant audiences, especially in metro and tier-one cities. Brands targeting wider geographic areas opt for a mix of connected TV and mobile, while those focused on tier two and three cities predominantly stick to mobile ads.

Mayank Shah, senior category head, Parle Products, says, for mass markets, SD or mobile are preferred, whereas, brands may opt for CTV or HDTV to reach affluent viewers. Younger generations favour CTV, while older generations lean towards HDTV. 

“Factors like product and consumer interaction influence decisions. Ultimately, the target audience determines the choice,” he says.

In this edition of IPL, the brand launched a corporate ad featuring all its products, due to which they are present across both television and digital. He believes that if it was for a particular product like Parle-G, they would have traditionally focussed on SD or mobile platforms, whereas a premium brand like Milano would opt for HD or CTV. 

GroupM India’s TYNY 2024 report underscores the rapid growth of connected television, projecting it to reach 45 million households with a year-on-year increase of 21%. 

According to Choudhari, TV advertising has experienced a slight decline, around 5 to 8%. CTV advertising for Dentsu's clients has doubled since the last season of IPL. This has eaten a slight share of mobile, but a majority of television advertising. 

“Advertisers recognise that the audience size available on television is comparable to mobile. Consequently, they're opting for a combination of both platforms. For instance, in the IPL, there's a combination deal offered by Jio Cinema. Advertisers favour this approach, adjusting funds from existing television budgets to accommodate it,” he says.

Rao says both television and digital platforms have experienced growth compared to last year. However, the digital landscape has undergone significant changes, with mobile dominance shifting towards CTV this year. 

TVS Eurogrip Tyres, unlike IPL 2023, has chosen an alternate avenue to advertise, owing to the rising costs of advertising on digital platforms. To take mileage out of the IPL, it has collaborated with Cricinfo and Cricbuzz through in-show integrations and advertisements. Moreover, it wanted to focus its ad spends on the Lok Sabha elections, as it is a once-in-a-five-year event. 

P.Madhavan, EVP- Sales and Marketing, Eurogrip Tyre, says, this enables it to maximise its reach and impact, catering to diverse sets of viewers and optimising its return on investment.

The mFilterIt report also adds that for matches held on weekdays, brands are evenly targeting both CTV and mobile platforms. However, during weekend matches, there is an aggressive focus on targeting CTV.

Ajay Macaden, chief evangelist, mFilterIt, says, “When the match starts viewers are still commuting or heading home, hence mobile viewership dominates. However, during the match itself, viewership spikes, contingent on game dynamics.”

Both mobile and connected TV offer similar features; the distinction lies in screen size and usage context. Mobile is portable, while CTV is home-based, offering larger screens for family viewing. Then what makes CTV advertising attractive? 

Rao says CTV complements traditional TV viewing, offering ads on larger screens compared to mobile. Additionally, the co-viewing experience, especially during events like cricket, is more prevalent on TV than on mobile. 

Choudhari says CTV boasts advantages like reaching New Consumer Classification System (NCCS) A1 audiences in metros.

The choice of medium depends on various factors, like advertiser objectives, product premiums, and distribution channels. Premium products like electric vehicles lean towards connected TV and HD television ads, while mass-market products opt for standard definition and mobile platforms, with some considering CTV as an additional option.

“There's a common perception among advertisers that viewers are shifting from traditional high-definition television (HDTV) to connected TV. In the future some of them will progress from standard definition directly to CTV bypassing the extra layer of HD,” he says.

According to reports, JioCinema is seeking ad rates of Rs 200-Rs 250 per 10 seconds for mid-roll ads and Rs 250-300 per 10 seconds for pre-rolls. On CTV, the spot rate is Rs 6.5 lacs per 10 seconds.

Speaking about the pricing, Shah says CTV may appear expensive on an all-viewer basis, but when targeting specific demographics, it becomes a value buy. 

While the CTV growth is undeniable, Rao says that there are still some factors, like measurement, requiring refinement. “It's an evolving medium, but the pace of evolution is surpassing expectations. If we had this conversation a year ago, I might not have been as confident about CTV. However, today, I'm optimistic that within a year, the remaining issues, such as measurement, will be resolved,” he says.