Despite the exponential rise in connected TV (CTV) ad spending, many marketers still see it as a flashy branding tool; great for awareness, but not designed to drive conversions or loyalty. That perception is shifting rapidly. With the right strategy, CTV can do much more than build brand recall—it can drive measurable results across every stage of the marketing funnel.

That shift couldn’t come at a better time. Nearly 70% of the U.S. population is expected to be CTV users by 2026, and over 87% of U.S. households are projected to be CTV households, according to eMarketer. Streaming has officially outgrown its “emerging channel” status. The question now is whether marketers are keeping pace with how audiences are engaging, and what that means for campaign design.

Old Habits Die Hard

CTV’s reputation as a top-of-funnel channel makes sense. It mimics the traditional TV experience: immersive, full-screen, and often viewed in a relaxed setting. That environment is ideal for brand awareness, and many marketers stop there.

But CTV has changed. Today’s platforms offer precision targeting, sequential messaging, dynamic creative, and even interactive elements that can encourage consumers to take immediate action. In other words, the same tools that drive results on mobile and display are now available on the biggest screen in the house.

The catch? Marketers have to rethink how they structure their CTV campaigns. That means reworking both creative and strategic elements to fit the different stages of the funnel and ensuring they’re measuring the right things along the way.

CTV Can (and Should) Be Full Funnel

Here’s how CTV can deliver value at every stage of the customer journey:

Top of Funnel: Capture Attention at Scale

CTV remains an awareness engine. Its lean-back viewing environment makes it easier to grab attention and leave a lasting impression. At this stage, the creative should do three things quickly: establish the brand, clearly convey what it offers, and spark curiosity. Strong storytelling, paired with broad but relevant audience targeting, ensures you’re showing up in the right living rooms.

Middle of Funnel: Deepen Engagement

This is where CTV often goes untapped. Viewers who saw a top-of-funnel ad can be retargeted with more specific messaging, such as seasonal promotions, product features, testimonials, or benefits. Sequential storytelling and audience segmentation allow brands to build relevance over time. When paired with display, social, or email, this mid-funnel layer reinforces brand value and strengthens consideration.

Bottom of Funnel: Drive Conversions

CTV is increasingly being used to prompt action, and consumers are responding. According to eMarketer and Shopsense AI, nearly 39% of consumers have searched online to consider buying something they saw on TV. That figure jumps among Gen Z and millennials, who are more likely to act on what they see. Interactive features, such as QR codes, shoppable overlays, or native commerce integrations, make this process frictionless. In fact, 18% of Gen Z consumers made a purchase through a CTV platform in the past year.

Marketing Technology News: MarTech Interview with Liat Barer, Chief Product Officer @ Odeeo

Audience Growth, Inventory Expansion, Lower Costs

As more streaming services add ad-supported tiers, CTV inventory is becoming more accessible. Supply is outpacing demand, and that’s driving average ad prices down. This is especially promising for marketers looking to build out the full funnel. Lower CPMs mean budgets can stretch further, allowing brands to invest not just in brand awareness, but also in consideration and conversion stages.

It’s also easier than ever to reach highly engaged audiences. Millennials are now the most populous generation of CTV users, with nearly 85.6% of the group tuning in. That’s a generation known for second-screening, online shopping, and discovery via digital content.

And viewers are sticking around. eMarketer forecasts that U.S. time spent with CTV will reach two hours and 37 minutes daily by 2026—almost double what it was in 2020. That gives advertisers more opportunities to engage in longer sessions where attention is sustained.

Why Measurement Still Gets in the Way

The most significant barrier to full-funnel adoption isn’t awareness; it’s attribution. Measurement in the CTV space remains fragmented, with no universally accepted standard for evaluating performance across platforms. While progress is being made, many advertisers still rely on metrics like impressions or brand awareness as proxies, making it harder to capture the channel’s actual impact on consideration and conversions.

That’s slowly changing. Advertisers are incorporating more holistic measurement frameworks, combining brand lift studies, third-party attribution tools, and campaign-specific benchmarks to track what happens after an ad airs. Some are looking at co-viewing behavior or using platform-specific studies to isolate the impact of CTV.

It’s not perfect, but it’s progress. And for marketers who are already applying cross-channel measurement elsewhere, extending that approach to CTV is a natural next step.

Five Questions to Ask Your Team

If CTV isn’t pulling its weight in your media mix, it might not be the channel, but the approach. Here are five questions to help identify gaps:

1. Are our creatives tailored to different stages of the funnel?

One spot won’t work for everyone. Match message to mindset.

2. Are we using sequential or retargeting strategies? 

Reinforce what people saw before and guide them toward the next steps.

3. Are we measuring impact beyond completion rates?

Track site visits, search volume, and downstream conversions.

4. Are we thinking strategically about time and place? 

Timing and context matter—reach viewers when they’re most engaged, not just when inventory is available.

5. Are we taking advantage of CTV’s commerce potential?

QR codes, pause ads, and shoppable video are no longer experimental.

CTV Works Harder When You Let It

CTV has matured from a top-of-funnel tool to a versatile, full-funnel performer. Its unique blend of storytelling, targeting, and interactivity makes it one of the few digital channels that can truly do it all: build awareness, reinforce value, and drive action. But realizing that potential requires marketers to let go of old TV habits and start thinking like digital strategists.

As viewers stream more, shop smarter, and demand relevance, CTV will continue to rise. The brands that adapt now, who treat it not just as prime media, but as a performance engine, will be the ones driving results long after the credits roll.

Marketing Technology News: Marketing That Speaks the CFO’s Language: Lessons from My First Year at BlackLine