Can you run CTV ads on Paramount Plus?

Overview

Paramount Plus, launched in March 2021 as a rebranding of CBS All Access, is a subscription video-on-demand service owned by Paramount Global. The platform offers both ad-supported (Paramount+ Essential) and ad-free (Paramount+ with SHOWTIME) tiers, with the ad-supported tier specifically designed to accommodate connected TV (CTV) advertising. CTV advertising refers to video ads delivered through internet-connected television devices, such as smart TVs, streaming sticks, and gaming consoles. Paramount Plus has grown rapidly since its launch, expanding its content library to include original series, movies, live sports, and news from brands like CBS, MTV, Nickelodeon, and Paramount Pictures. The platform's advertising model leverages Paramount's legacy in broadcast television, combining traditional TV ad sales expertise with digital targeting capabilities. As of 2023, Paramount Plus operates in multiple countries, including the U.S., Canada, Latin America, and parts of Europe, with plans for further international expansion.

How It Works

CTV advertising on Paramount Plus functions through its ad-supported tier, Paramount+ Essential, which allows advertisers to reach viewers during streaming content. The process begins with advertisers purchasing inventory either directly through Paramount's sales teams or via programmatic platforms using demand-side platforms (DSPs). Ads are served dynamically based on targeting parameters, such as demographics (age, gender), interests, viewing behavior, and geographic location. Paramount Plus uses advanced advertising technology, including addressable advertising and first-party data from Paramount Global's portfolio, to enable precise targeting. Ad formats include pre-roll, mid-roll, and post-roll video ads, with typical ad loads of 3 to 5 minutes per hour, which is lower than traditional broadcast TV. The platform also offers branded content and sponsorship opportunities, such as ad pods during live events or exclusive series. Measurement and analytics are provided through partnerships with third-party vendors, enabling advertisers to track metrics like reach, frequency, and engagement.

Why It Matters

CTV advertising on Paramount Plus matters because it represents a significant shift in the media landscape, blending traditional TV reach with digital precision. For advertisers, it offers access to a growing audience of cord-cutters and streaming viewers, with Paramount Plus reporting over 67 million subscribers as of Q4 2023. This allows brands to target specific demographics more effectively than linear TV, potentially improving return on investment. For consumers, the ad-supported tier provides a lower-cost option to access premium content, making streaming more affordable. The platform's advertising revenue, which reached approximately $1.9 billion in 2023, supports content production and expansion, contributing to the competitive streaming market. Overall, CTV ads on Paramount Plus highlight the evolution of advertising toward data-driven, cross-platform strategies in the digital age.