Connected TV Advertising Rates Have Increased
Premium placement costs rose by up to 30% as viewership demand spiked during the 2026 festive season.
Updated on Oct. 12, 2026 in Spending
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Connected TV advertising rates climbed by up to 30% during the 2026 festive season, driven by a surge in demand for premium placements. The total audience for these platforms doubled to 60 million viewers as advertisers shifted budgets away from traditional television.
Why it matters
Advertisers are increasingly prioritizing Connected TV to combine the broad reach of traditional television with digital-style targeting. Limited premium inventory during the festive peak has intensified price competition among brands seeking measurable audience engagement.
Connected TV cost per thousand impressions grew by up to 20% compared to the pre-festive period. Market data indicates that total Connected TV audience size reached 60 million viewers, with each impression reaching an average of 2.5 people.
The players
Media Partners Asia
This independent research and consulting firm provides comprehensive analysis of the media and telecommunications industry across the Asia Pacific region.
The details
Brands are locking in premium spots to reach a wider demographic, as viewership in rural areas spiked 110% year on year compared to 21% growth in metro regions. This migration of advertising capital is underscored by an estimated ₹2,200 crore in quick-commerce festive spending, reflecting a 50% year-on-year increase in that segment.
Timeline
2022: Connected TV viewership levels reached one-third of current totals.
2025: Connected TV penetration experienced 85% growth.
2026: Festive season ad rate increases were recorded.
2031: Projected date for Asia Pacific Connected TV ad revenue reaching $20.6 billion.
Market Dynamics
This rapid shift toward Connected TV reflects a broader transition in global advertising where digital platforms are systematically capturing market share from traditional broadcasting. Media Partners Asia projects that digital advertising will command 80% of the Asia Pacific market by 2031.
The shift toward Connected TV signals that companies heavily invested in traditional linear television may face increased pressure on profit margins due to rising digital ad costs. Retail investors should monitor the digital advertising shift as a primary indicator for long-term growth in media sector portfolios.
The takeaway
The rapid expansion of Connected TV audiences suggests that digital-first strategies are no longer optional for brands during major retail holidays. Advertisers should prepare for continued price volatility in premium digital inventory as penetration rates and rural viewership continue to rise.
Further reading
For more information on advertising trends, visit Spending.
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Is now a good time for brands to increase their spending on connected television advertising?
