Disintermediation is getting real, upfront advertisers want their programmatic CTV spending accounted for, and Google shares early results from the Privacy Sandbox.

Consumers’ appetite for quality, on-demand content has contributed to connected TV’s (CTV’s) stronghold as the fastest-growing major ad format in the US. “There’s a lot more for [advertisers] to weed through in terms of the opportunities and options of where to place our clients’ ad dollars,” Jennifer Kohl, executive director and head of US media at VMLY&R, said of CTV during our virtual “Attention!” summit last week.

Linear upfront spending is expected to remain flat for the foreseeable future, but marketers are increasingly turning to connected TV (CTV), with advertisers projected to spend more than $8 billion on CTV ads at this year’s upfronts and NewFronts.

Netflix’s enhancements to its ad-supported tier has helped it amass 5 million monthly active users worldwide, though its password crackdown could slow momentum. Meanwhile, Max, the combined streaming service of HBO Max and Discovery+, debuted to “early positive feedback,” and Paramount+ hopes partnering with Showtime will prevent it from losing subscribers.

It’s been an upfronts season like none other as digital creeps into linear’s territory and the Writers Guild of America writers’ strike rages on. “We’re kind of at an inflection point,” said our analyst Paul Verna. From a buyer’s market to tumult at NBCUniversal, here are five trends Verna noted from upfronts so far.

The 2023 upfront market will likely be the last one transacted primarily on Nielsen’s legacy currency. A shift from traditional TV to digital video advertising is the main factor driving this change.

YouTube is no longer separate from the streaming wars: Almost half of its viewership is on TVs, and advertisers are spending heavily on the platform.

While the platform’s ad-supported tier gains momentum, Netflix needs to beef up its targeting capabilities to win advertisers over. Meanwhile, viewers may be turned off by a heavy ad load and a crackdown on password sharing. But global growth shows promise for Netflix’s future.

The way advertisers think about TV is changing as it shifts from linear to ad-supported streaming. Here are three developments shaping TV ad measurement, streaming behaviors, and consumer targeting.

Ad-supported video gains viewership, time spent on digital video surpasses TV, and streaming services pivot from audience growth to profitability.

To make an Upfront commitment is to make a bet—a bet that buying inventory ahead of time is worth the discount and that buying closer to when ads run is not worth the premium. It’s a better bet to grab ad space now in case it runs out later.

Warner Bros. Discovery cuts costs and preps for advertising cool-off: The media giant is slashing 1,000 jobs from its global ad sales team.

US TV ad spending will decline from next year through 2026 except for a slight uptick in 2024. At the same time, connected TV ad spending will grow at double-digit annual rates, more than offsetting the losses on the traditional side.

As brands strategize on how best to engage consumers, Mint Mobile is looking to leverage event programming such as live news and sports. In this Q&A, Mint Mobile's Aron North, CMO, discusses the importance of experimentation, and why the brand allocates 10% of its budget for exactly that.

In analyzing the media landscape, the Interactive Advertising Bureau (IAB) is reimagining the future of digital viewership. In this Q&A, the IAB's Eric John, vice president, media center, discussed continuous growth in video advertising and connected TV, why the old model of a million-dollar TV commercial playing once everywhere is gone, and how to make creative work better.

Whether it’s fluctuating viewership or leveraging data-driven technologies to identify the right time and place for brand awareness, there's power in being flexible. In this Q&A, Mediahub's Carrie Drinkwater, chief investment officer, shares where marketing attention is shifting, what clients are looking for, and where new obstacles are rising.

While TV investments have remained resilient, YouTube is looking to drive viewership in a unique, consumer-first way. In this Q&A, Google's Brian Albert, managing director, shares why linear TV is largely going to revolve around live sports and news and connected TV is going to be the main topic in every Upfronts negotiation this year.

Roku soars at the upfronts: Advertisers’ upfront spending commitments with the platform doubled from last year, as interest in CTV continues to rise.

On today's episode, we discuss how many Americans watch sports on streaming platforms, how TV companies are tackling the digital sports rights balance, and what this year’s Tokyo Olympics can do to help boost NBCUniversal's streaming platform Peacock. We then talk about the key takeaways from the 2021 Upfronts, the potential impact of Univision's Spanish language streaming service, and how the entertainment industry is balancing box-office releases and streaming. Tune in to the discussion with eMarketer principal analyst at Insider Intelligence Paul Verna.

For the first time, we have broken out the portion of US upfront digital video ad spending that goes to connected TV (CTV). This year, advertisers will increase their upfront CTV video ad spending by almost 50% year over year to $4.51 billion.