leverage streaming devices
by CDK Global | 05/09/2019

How to Leverage Streaming Devices to Promote Your Dealership

Are you seeing diminishing returns from your efforts to reach customers through traditional media channels? More customers are cutting the cord and relying on streaming devices to view media, reducing the effectiveness of your TV ads. Why not follow them to where they’re going?

Consumer attention is shifting toward OTT video

As more people ditch cable (Amazon predicted 5.4M people would do so in 2018), the popularity of over the top (OTT) devices is on the rise. An OTT device is any device that is not desktop, laptop, or mobile, but is used to consume OTT content. Examples include smart TVs, Apple TV, Chromecast, Playstation, Xbox, and the Amazon Fire TV Stick.

Consumers are not only becoming more tech-savvy, they’re also more tolerant of commercials since they’re getting content for free (or at a drastically reduced price from cable). This allows consumers to pick and choose the content they want to pay for subscription video on demand (SVOD).


On average, U.S. adults spend more time on Connected TV than on social media. Consumers spend more than double the amount of time on a weekly basis watching ad-supported content than on subscription services with no ads.

OTT advertising creates new opportunities for dealerships

But what does this mean for dealers who are used to — and sometimes prefer — traditional media to advertise their dealerships? Don’t make the mistake of overlooking OTT, which is second in overall reach in video watching, ahead of VOD and DVR and behind live TV.

For marketers, OTT/Connected TV advertising provides the opportunity to create dynamic, interactive, and even “shoppable” ad experiences that can drive increased engagement and brand recall, bringing consumers further down the purchase funnel.

Studies show that these are the shoppers you want to reach. Over 80 percent of Amazon Fire TV device owners are Amazon Prime members. According to eMarketer, Amazon Prime members are more likely to: have a household income above $100,000, be under 35 years old, and research products online before purchasing them. What better place to reach people considering buying a car than in their living room?

OTT advertising gets the full attention of consumers

Another competitive advantage of using Amazon for your OTT advertising is their ability to leverage competitive separation. Because shows are being watched through their app or Fire TV Stick, Amazon can track what ads are played during a program. With this data, they can ensure another dealer’s ad won’t run next to yours in the same segment.
OTT advertising provides a great opportunity for car dealers to target shoppers in their area. These ads can’t be skipped and often repeat throughout a program. This allows a dealer to ensure their ads are being seen. Consider adding these to your marketing mix and see how it impacts your revenue.

Of the $70B spent annually in the U.S. on television advertising, less than 5 percent is spent on OTT ads. This happens despite the massive shift in consumer attention toward OTT and the fact that OTT ads are very effective. What does this mean for automotive dealers? OTT is a large untapped channel that is ripe for your advertising and should be considered as part of your overall cross-channel strategy.

Source: 12019 Consumer OTT Report