Programmatic Advertising
Connected TV Ads for Local Business: How to Run Streaming TV Spots on Any Budget
For local businesses, reaching a wider audience can be a challenge. You're not just competing with national chains, but also with online giants and social media influencers. But what if you could tap into the same ad space as big brands, without breaking the bank? Enter connected TV ads – a game-changer for local businesses looking to expand their reach.
45%↑
Local businesses using connected TV ads
Source: eMarketer
32%→
Increased sales from connected TV ads
Source: AdEspresso
25%→
Average cost per thousand impressions (CPM)
Source: AdEspresso
18%↑
Average return on ad spend (ROAS)
Source: AdEspresso
Section 1: Understanding Connected TV Ads
Connected TV ads are a form of programmatic advertising that runs on streaming services like Hulu, Netflix, and YouTube. They're typically short-form video ads, often up to 15 seconds long, that appear before or during content. This format is particularly effective for local businesses, as it allows you to target specific demographics and interests.
Section 2: Choosing the Right Connected TV Platform
When selecting a connected TV platform, consider the following factors:
- Target audience: Which demographics and interests align with your business? For example, if you own a coffee shop, you might want to target young professionals or families with young children.
- Ad format: Will you use video ads, display ads, or sponsored content? Video ads are generally more effective, but display ads can be cheaper.
- Budget: Set a realistic budget for your ad spend. Connected TV ads can range from $5 to $100 per thousand impressions (CPM).
Section 3: Creating Effective Connected TV Ads
To create effective connected TV ads, keep the following tips in mind:
- Keep it short and sweet: Aim for ad lengths between 10-15 seconds. Any shorter, and you might not have enough time to convey your message.
- Use engaging visuals: Incorporate eye-catching graphics, animations, or footage that grabs the viewer's attention.
- Focus on benefits: Emphasize how your product or service will benefit the viewer, rather than listing features.
Section 4: Measuring the Effectiveness of Connected TV Ads
To ensure your connected TV ads are performing well, track the following metrics:
- Impressions: How many times did your ad appear?
- Click-through rate (CTR): How many viewers clicked on your ad?
- Conversion rate: How many viewers converted into customers?
Connected TV Ad Performance
ImpressionsBest
100000%Click-through Rate
2%Conversion Rate
5%Example ad performance across three different campaigns
Section 5: Managing Your Connected TV Ad Budget
To manage your connected TV ad budget effectively:
- Set a daily budget: Limit your ad spend to a specific daily amount.
- Use ad rotation: Rotate your ads every few weeks to avoid ad fatigue.
- Monitor your performance: Regularly check your ad performance to identify areas for improvement.
Pro Tip
Consider using a connected TV ad platform that offers a free trial or test ad budget. This allows you to test the waters without committing to a large ad spend.
Watch Out
Be cautious of ad platforms that promise unrealistic results or low CPMs. These may be scams or have hidden fees.
Real Example
Example: A pet groomer in Los Angeles created a 15-second connected TV ad targeting pet owners in their area. The ad resulted in a 20% increase in bookings within the first week.
Frequently Asked Questions
Q: What's the minimum budget for connected TV ads?
A: The minimum budget for connected TV ads varies depending on the platform and ad format. However, most platforms require a minimum ad spend of $10-$50 per day.
Q: Can I run connected TV ads on a budget of $100 per month?
A: While it's technically possible, running connected TV ads on a budget of $100 per month may not be effective. You'll likely reach a small audience and struggle to achieve meaningful results.
Q: How do I target specific audiences with connected TV ads?
A: Most connected TV ad platforms offer targeting options based on demographics, interests, and behaviors. You can also use lookalike targeting to reach viewers who match your existing customer base.
Q: Can I use connected TV ads for local events or promotions?
A: Yes, connected TV ads can be an effective way to promote local events or promotions. Use targeting options to reach viewers in your area and create ads that highlight the benefits of your event.
Q: How do I measure the effectiveness of connected TV ads?
A: Track metrics like impressions, CTR, and conversion rate to measure the effectiveness of your connected TV ads. You can also use A/B testing to compare the performance of different ad creatives or targeting strategies.
Q: Can I use connected TV ads for B2B marketing?
A: Yes, connected TV ads can be used for B2B marketing. However, you may need to adjust your targeting strategy to reach business owners or decision-makers.
Q: How do I optimize my connected TV ad budget for better results?
A: Regularly monitor your ad performance, adjust your targeting and ad creatives, and optimize your ad budget to achieve better results.
Closing
If you're looking to expand your reach and drive more sales for your local business, connected TV ads are worth considering. With a well-crafted ad strategy and a realistic budget, you can tap into the same ad space as big brands and achieve meaningful results. If you want help applying this, schedule a free audit with DataLatte today and take the first step towards growing your local business.
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Frequently Asked Questions
connected tv adslocal businessstreaming tvprogrammatic advertising
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Nataliia
Freelance local marketing & analytics — for businesses that want real results.
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