Industry Insights
Connected TV Viewership Trends Every Advertiser Should Know
Connected TV (CTV) isn't "the future." Most of your audience is already there.
The average U.S. adult watched more than two hours of CTV a day in 2024—with that figure expected to grow 25% by 2026, according to eMarketer. And as audiences continue to shift from traditional linear viewing to streaming platforms, advertisers are increasingly keen on following them there.
As you consider CTV ads for your business, here are some key trends in the space you should be aware of:
- Why your ideal customer is likely watching CTV right now (and what they're watching)
- What devices are driving the biggest growth in CTV viewership
- How trends like free ad-supported TV (FAST), demographic shifts, and shoppable ads are reshaping the landscape
We'll also explore what all this means for small and mid-sized businesses—and how CTV can become a powerful part of your media mix, even if you're just getting started.
The Rise of CTV
CTV is shifting how, where, and why people watch their favorite programs.
For advertisers, that means it's no longer enough to think only about who you're targeting—you also need to understand how they're tuning in.
1. More Households Than Ever Have CTV Devices
Nearly 88% of U.S. households now own at least one internet-connected TV device, with CTV now accounting for over one-third of total TV viewage, according to StackAdapt.
That includes everything from
- Smart TVs
- Streaming sticks like Roku and Apple TV
- Game consoles with internet access
In other words, CTV ads aren't limited to just one type of screen. And with tons of dynamic content available across all of these devices, ads can reach viewers wherever and however they stream.
2. And There Are More CTV Users Than Other Devices
While viewers can access CTV content through a range of devices, most are still watching the traditional way: on the couch, in front of the biggest screen in their home.
In 2024, smart TVs accounted for more CTV users than any other device, beating out Roku, Amazon Fire, and game consoles, according to eMarketer. An estimated 75% of CTV users in the U.S. will access content through a smart TV by 2027.
For advertisers, this shift matters. It means CTV ads aren't just being watched on mobile or tablet—they're showing up front and center, in full-screen format, often in group-viewing settings where attention is highest.
3. They're Watching on Free Streaming Platforms, Too
As more households look for ways to cut costs, free ad-supported streaming TV (FAST)—like Paramount's Pluto TV — has become a go-to option. In 2024, nearly one-third of the U.S. population was expected to use a FAST streaming service at least once per month—and 60% of CTV viewers said they'd watch ads if it meant they wouldn't have to pay as much.
That makes FAST platforms a high-impact, low-barrier entry point for advertisers. With millions of viewers tuning in across age groups and device types, these services offer broad reach—especially for brands looking to scale without a huge budget.
4. Younger Generations Dominate Baby Boomers
When it comes to CTV, younger generations are leading the charge.
2024 saw an estimated 62 million millennial CTV users in the U.S., making them the largest audience segment by age, according to eMarketer. Gen Z and Gen X aren't far behind, either. Meanwhile, older audiences seem content to stick with traditional TV—at least for now.
Viewers 65 and older still spend nearly five hours a day watching linear content, while younger age groups like 25- to 34-year-olds average just 1 hour and 12 minutes of linear viewing daily.
5. Your Future Customer is Already Watching on CTVs
As we mentioned earlier, Connected TV isn't just growing—it's become part of your audience's daily routines.
And they're not just watching casually. Viewers are watching everything from live sports and late-night reruns to buzzy originals across Paramount's premium content lineup.
Most importantly, these are "lean-back" moments for your customers—when they're often at their most relaxed, focused, and comfortable. That kind of attention creates real opportunities for advertisers.
CTV Advertising Trends to Know About
As viewer habits shift, so do marketing strategies. Here are some of the biggest CTV trends shaping the advertising landscape today.
1. CTV Ad Spending is Increasing
CTV ad spending has exploded in recent years—up nearly 400% since 2019, and still climbing. In 2024 alone, the format accounted for 1 in 10 U.S. digital ad dollars, with total spend projected to reach $40.9 billion by 2027, according to eMarketer.
And the reason is simple: it works.
- 65% of marketers saw increased sales when combining CTV with other paid channels
- 84% of advertisers say CTV offers better targeting than linear TV — a sure shot at reaching new audiences
- 43% say it's proven to drive higher conversions than other channels
- One-third of U.S. viewers have made a purchase directly through a CTV device
CTV isn't just growing because it's new—it's growing because it's effective, efficient, and measurable. That's why more brands are making it a central part of their media mix.
2. Omnichannel Strategies Provide Value
CTV shines brightest when it's part of a broader media mix. Advertisers who integrate CTV with search and social campaigns can drive stronger results across the board—from awareness to conversion.
- Mobile + CTV drives action: Brands that align their CTV and mobile messaging have seen a major lift in real-world impact. For instance, one agency found that their clients had more than doubled foot traffic and basket size when using both channels together.
- CTV fuels social momentum: Because streaming often happens in shared settings, CTV ads can spark real-time conversations, turning a product recommendation into instant word-of-mouth. As a result, viewers not only remember your brand—they talk about it.
- Omnichannel just works better: Consumers average nearly six touchpoints when making a purchase decision, and omnichannel strategies generate 80% of in-store visits. Retention is higher, too, with 90% better customer loyalty compared to single-channel campaigns.
CTV also offers transparency and flexibility. Advertisers can track outcomes like brand lift, purchase intent, and online behavior—enabling mid-campaign optimization that drives better results across all connected channels.
3. Interactivity and Shoppable CTV Ads
CTV isn't just about passive viewing anymore. Ads are becoming more interactive—allowing viewers to engage with content in new ways. For example, about 30% of consumers say they've scanned a QR code while watching a show or commercial, according to AdExchanger.
Shoppable CTV ads—where viewers can purchase directly from the screen—are also gaining traction. While adoption is still emerging (only 10% of U.S. adults have made a purchase this way), interest is growing. For instance, 45% of CPG marketers say shoppable video is the next big frontier for retail media, and 38% of ad buyers plan to increase investment in 2025.
Even without direct checkout, CTV drives action: The vast majority of consumers (79%) say TV ads influence their shopping decisions, and 47% report making a purchase after seeing a TV ad.
Interactivity is still developing—but it's already proving to boost engagement and drive results. As the tech improves, advertisers will have even more ways to turn attention into action.
The Bottom Line: Advertisers Are Shifting to Streaming
CTV isn't a trend—it's a transformation. Viewers are watching more streaming content than ever, especially on smart TVs and free platforms. Advertisers are following suit, increasing spend, exploring new formats, and integrating CTV into their broader media strategies.
The message is clear: if your brand isn't showing up here, you're missing where attention is shifting.
That's where Paramount Ads Manager comes in. With access to over 100 million full-episode monthly viewers across networks like CBS, MTV, Paramount+, and Pluto TV—the world's #1 FAST platform—you get the scale and quality you need to make an impact.
Your ads will appear alongside premium content (not user-generated noise), and they work. Paramount Ads Manager ads have seen an average 96% view-through rate, and 82% of viewers come away with a more positive opinion of brands featured on Paramount+ (Paramount Internal, USA, 2024).
Have questions? Want help getting started? Schedule time with our team to see how easy it is to make CTV work for your business.