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OTT Vs CTV: Unraveling the Best Choice for Your Business

21/05/2023

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In the ever-changing landscape of digital marketing, businesses have numerous options for effectively reaching their target audience. Over-the-top (OTT) and connected TV (CTV) are the two fastest-growing platforms in the 20th century. As the battle between these two titans intensifies, one question looms large: which platform is the best choice for your business?

In this article, we’ll break down the key distinctions between OTT vs CTV services to aid companies in selecting the right choice for their specific requirements and goals.

OTT Vs CTV: Unraveling the Best Choice for Your Business
Source: World trademark review

Understanding of Both: What is OTT vs CTV?

OTT (Over-The-Top) and CTV (Connected TV) are two rising terms in the realm of television and video content. While they are interconnected, understanding the distinction between OTT and CTV is crucial for comprehending the modern viewing experience.

What is OTT (Over-the-top)?

Bypassing the traditional telecommunications, multichannel television, and broadcast television platforms, Over-the-top (OTT) refers to content providers that distribute streaming media as a standalone product directly to viewers over the Internet. To eliminate these established middlemen – as suggested by the prefix “over” in “over-the-top” – is the goal of OTT streaming platform.

Understanding of Both: What is OTT vs CTV?
Source: Insys Video Technologies

In other words, over-the-top (OTT) TV services enable viewers to watch shows online rather than via traditional broadcast methods such as an aerial or satellite dish installed on the roof.

Some examples of OTT services include:

  • Netflix
  • Hulu
  • Amazon Prime Video
  • Disney+
  • HBO Max

What is CTV (Connected TV)?

The all-encompassing phrase “connected TV” (or CTV) refers to TVs that may connect to the Internet to access content from sources beyond a cable or broadband provider. No cable or satellite subscription is required. Consequently, CTVs include OTT devices linked to conventional TVs, allowing the latter to connect to the Internet alongside smart TVs and IPTVs.

Most people access OTT services like Hulu and Netflix through CTV, which offers its own set of advantages for advertisers. So, CTVs and other common devices such as smartphones, tablets, and PCs may now access OTT content.

What is CTV (Connected TV)?
Source: Fall Off The Wall

While this may sound confusing, the foremost thing to remember when comparing CTV vs OTT programming is that OTT material is seen through CTV.

Some examples of CTV are:

  • Roku TV
  • Amazon Fire TV
  • Apple TV
  • Samsung Smart TV
  • Google Chromecast
  • Android TV

The Growing Impact of OTT and CTV in the Business World

The Growing Impact of OTT and CTV in the Business World
Source: Digital Dealer

Hyper-personalized Experience

Although traditional linear TV still plays an indispensable role in reaching a considerable proportion of the population, OTT content shows outstanding advantages by customizing each viewer’s experience. Enterprises can effectively target specific demographics with OTT advertisements, such as classifying various aspects such as age, gender, location, financial capability, ethnicity, etc. Companies may narrow down their ideal demographic via OTT content rather than broadcasting to a large audience as they would with TV commercials.

More Data, Better Precision

Thanks to OTT advertising technologies, enterprises may target audiences based on age, gender, location, hobbies, and viewing habits. Meanwhile, linear TV only used broad data from Comscore and Nielsen, which had huge margins of error and only supported top-of-funnel advertising at best.

Eliminate the Intermediary

By deploying OTT campaigns internally with DSPs, companies have more say over where their ads appear. You may use programmatic technology to make rapid and cost-effective decisions about where and when your ads will display, down to the specific programs and audiences.

More Effective Measurement

In order to evaluate CTV in comparison to KPIs such as VCR, digital marketers are increasingly resorting to more complex methodologies. Brands can determine the efficacy of their media tactic by using more sophisticated CTV measurement capabilities, such as attribution against onsite page visits or actions and external Third-Party solutions like foot traffic or brand lift.

CTV Vs OTT: Comparing the Differences

If a company wants to reach its intended demographic via digital advertising, it must have a firm grasp of the distinctions between CTV and OTT. While both platforms offer unique opportunities to reach viewers in the digital streaming space, they have distinct characteristics that set them apart.

CTV Vs OTT: Comparing the Differences
Source: Strategus
FactorsOTT (Over-the-top)CTV (Connected TV)
Audience reach and demographics• Provides a vast audience reach with diverse demographics.
• Appeals to viewers of all ages, interests, and geographic locations.
• Accessible through various devices.
• Specifically targeting viewers who consume content on television or TV-connected devices. 
• Offers a more traditional TV viewing experience, appealing to households.
Pricing modelsOffers flexible pricing models including: 
• Subscription-based: Pay a recurring fee for unlimited access to content (e.g., Netflix, Hulu).
• Ad-supported: Access content for free but must view ads during playback (e.g., YouTube, Crackle).
• Hybrid models: Combine subscription and ad-supported options.
• Primarily follows ad-supported models, allowing viewers to access content for free while watching ads.
• Some provide ad-free watching for a monthly cost through a membership program.
Ad targeting capabilities• Uses advanced ad targeting capabilities based on user data and behavior.
• Enables advertisers to target specific demographics.
• Leverages data collected from user accounts and interactions to deliver personalized and relevant ads.
• Provides similar ad targeting capabilities to OTT platforms.
• Utilizes data collected from smart TVs and streaming devices.
• Allows for targeted advertising to the appropriate people at the correct time.
User behavior and engagement• Offers high user engagement through on-demand content consumption.
• Users can freely choose their preferred watching option.
• Provides interactive features, personalized recommendations, and additional content options.
• Provides a lean-back viewing experience similar to traditional TV.
• Offers a more relaxed and passive content consumption experience.
• Limited user control over content playback with essential functions handled by remote controls.

Picking the Right Platform for Different Business Models

With the proliferation of CTV (Connected TV) and OTT (Over-The-Top) platforms, it’s becoming more important to grasp their differences in order to choose the one that best fits certain business models.

Picking the Right Platform for Different Business Models
Source: LinkedIn

OTT for B2C Businesses

OTT platforms are generally more suitable for B2C (Business-to-Consumer) businesses.

White-label OTT platforms are focused on reaching customers where they already are – on their smart TVs, smartphones, and other streaming devices. B2C businesses can leverage OTT platforms to reach a larger audience, engage with consumers, and monetize their content through subscription or ad-supported models.

On the other hand, B2B (Business-to-Business) businesses typically have a narrower target audience and require communication channels that cater specifically to professionals and industry-related needs. B2B businesses often rely on industry-specific events, trade shows, professional networks, and direct business partnerships to reach and engage their target audience.

CTV for B2B Businesses

In contrast to OTT, Connected TV (CTV) provides a completely different aspect. CTV content is generally more suitable for B2C (Business-to-Consumer) businesses.

Let’s take a look at why CTV is mostly suited for B2B business:

  • Exact targeting: Unlike the goal of B2C businesses using white-label OTT services, when reaching as many audiences are the top priority. CTV enables accurate targeting at the individual level by using third-party databases with information on firm size, industry, job type, intent, and other usual B2B media purchases. The data generated from CTV is said to be accurate and provides more valuable insights.
  • Optimal Cost: Undoubtedly, CTV advertising has a higher CPM (Cost Per Mille) than other forms of advertising. However, you’ll see substantially lower rates when considering the exact targeting and the decreased waste.

Therefore, it seems that B2B businesses most benefit from CTV advertising because it can reach and engage customers in a targeted manner. This capability is well-suited for B2B businesses promoting consumer products, services, or brands.

Which Platform is Better for Startups, SMBs, and Large Corporations?

Small and medium-sized businesses (SMBs) frequently have limited resources and need inexpensive methods to contact their customers. OTT platforms provide a more affordable option in this regard, with many price tiers.

In contrast, large businesses may have the resources to investigate both OTT and CTV options. The extensive reach and sophisticated ad-targeting capabilities of OTT platforms are a boon for large firms with a business-to-consumer (B2C) emphasis. In contrast, CTV platforms may be more appropriate for B2B-emphasis organizations.

Which Platform is Better for Startups, SMBs, and Large Corporations?
Source: Keynes Digital

Embrace Change and Make The Right Choices with SupremeTech

Generally speaking, it is important to thoroughly consider your individual demands, target audience, and marketing goals while deciding OTT vs CTV for your organization. The benefits of OTT and CTV platforms are distinct, and they each serve a different kind of company.

As you navigate this decision-making process, consider engaging with a trusted technology partner like SupremeTech. As a product-driven development company with expertise in digital solutions and a commitment to exceptional results, we pride ourselves on providing valuable insights and support to help you deliver the best choice for your business.

One solution you may want to explore is OTTclouds, an OTT streaming solution offered by SupremeTech. OTTclouds provides a comprehensive platform for streaming media content and can be a valuable asset in reaching your target audience effectively. Don’t hesitate to contact us for the earliest advice and support!

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Without proper infrastructure, performance will degrade, leading to slow response times or outages.Solution: Use scalable cloud-based servers, load-balancing, and rigorous stress testing under simulated high-traffic conditions. Monitor app performance continuously to prevent downtime during critical periods 3. User Adoption & Promotion Even a well-built app won't succeed without user adoption. Customers may be hesitant to download yet another app or worry about privacy and data entry.Solution: Ensuring Security & Compliance by choosing a trustworthy IT outsourcing company. In addition, developers already know how to adopt best practices early and continuously. Run effective app-store optimization, use in-store signage and QR codes, offer discount, and promote via email, SMS to existing customers. Make the value clear to encourage downloads and use. Summary Table of Key Challenges & Solutions: ChallengeWhy It MattersRecommended SolutionPOS/Inventory IntegrationPrevents order and stock mismatchesStrong APIs, cloud sync, vendor flexibilityPoor UX / Complex InterfaceLeads to low engagement and high abandonmentPrioritize simplicity, early user testingHigh Traffic & Scalability IssuesCauses slow performance or downtime at peak usage- Cloud-based servers- Performance testing- Continuous monitoringData & Payment Security RisksLiability for breaches and brand damage- Secure protocols- Encryption- Compliance standardsToo Much Customization ComplexityOverwhelms users and complicates kitchen workflows- Limit options- Guide user choices- Use recommendation logicDevice & Platform TestingInconsistent performance across OS versions and devicesTest on emulators and real devices frequentlyLow User AdoptionApp fails to reach critical mass of users- Incentives- Clear value messaging- In-store promotionPartner Expertise & ReliabilityDevelopment delays, misalignment, or hidden costs- Review case studies- Ask technical questions- Confirm ongoing supportMarket Saturation / DifferentiationHard to attract customers in a sea of existing apps- Add branded loyalty- Personalization- Integrated featuresOngoing Maintenance NeedsApps become outdated quickly without consistent updatesPlan support contracts and phased feature rollouts Lessons Learned from Unsuccessful Restaurant Apps 1. Ando: David Chang’s Delivery‑Only Restaurant App Ando was created in 2016 by famous chef David Chang (founder of Momofuku) as a delivery‑only restaurant brand in New York City, accepting orders via its own mobile app and website, with delivery handled by UberRUSH. It gained significant attention and raised about $7 million in funding. Despite the buzz, by early 2018 Ando was acquired by Uber Eats and shut down as a standalone brand. Why Ando Failed: Limited scale and delivery-only model: Operating only in limited zones without physical dining locations made it hard to build broad customer loyalty.Low user adoption beyond early adopters: Despite backing from a high‑profile chef and investors, the app did not achieve mainstream traction.No long-term differentiation or experience: Without sit-down experience or a broader brand ecosystem, its novelty faded quickly.Acquisition rather than growth: Uber Eats acquired and absorbed Ando, effectively ending its app as a separate entity suggesting it underperformed as a standalone digital brand. Lesson: A novel concept and strong branding don’t guarantee long-term success. Without sufficient distribution, differentiation, and repeated customer experience, app-only formats can struggle to scale. 2. GarfieldEats: A “Entertainment + Ordering” Themed App GarfieldEats launched in 2018 as a Garfield-themed ghost kitchen and delivery app across cities like Toronto, Dubai, and London. Through its own branded app, customers could order Garfield‑branded food and even play games or watch Garfield cartoon episodes while ordering. Despite the creativity, the brand shut down by late 2020, ceasing both the restaurant and app operation. Why GarfieldEats Failed: Overly complex concept: Combining dining with gaming and branding added novelty but diluted focus on core food quality and ordering reliability.Poor economics and unprofitability: High overhead licensing costs, themed decor, app maintenance without sufficient volume undermined margins.Pandemic pressures and rent disputes: COVID‑19 shutdowns and financial issues like unpaid rent forced closures across locations.Low repeat usage or engagement: The app experience was more gimmick than utility; customers did not return regularly. Lesson: Entertainment value and branding alone can’t sustain an app-driven dining concept. If food, app reliability, or repeat value are weak, novelty quickly wears off. Build Smart, Grow Long-Term Industry reports and expert analyses were used throughout for example, recent restaurant surveys show 75% of orders are now off-premises, top chains drive 60% of sales from repeat app users, and third-party delivery platforms charge roughly 15–30% fees. These trends underline why owning your app and engaging customers directly is now essential.  A great restaurant app is an investment, not a cost so you must start by choosing the IT partner wisely. When planned and executed well, it pays dividends in customer loyalty, data, and higher-margin sales. Remember that choosing the right development partner is as important as the app’s idea. Start with a clear vision and minimum viable features, then launch based on real customer use. Over time, the app will become a cornerstone of your brand’s experience. 📩 Read more articles about us here: https://www.supremetech.vn/blog/  ☎️Contact us to see how we can support your loyalty app strategy.

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                  Key Considerations When Planning Restaurant Mobile App Development

                  06/08/2025

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