When it comes to driving purchase intent, the OTT ads (for the purpose of the study, those on Roku) performed better than those on broadcast and cable television. The report also found that consumers consider brands that run video ads on OTT to be twice as innovative as those that run ads on traditional linear TV alone.

In addition, consumers found the ads to be more memorable than those on linear TV, due in part to the reduced ad load of OTT.

“It’s clear that OTT offers advertisers distinct advantages over traditional TV,” said Kara Manatt, SVP, intelligence, solutions & strategy, Magna. “Given that OTT needs fewer exposures to generate the impact that linear TV provides at higher exposure levels, brands can run campaigns on OTT that are both more efficient and effective.”

To drive comparable brand lift, advertisers need ten linear TV exposures, seven Roku exposures or six and a half exposures on Roku and linear TV together, the study found.

“Consumers are shifting their TV time from linear to OTT, making it important for marketers to also shift their ad investments,” said Scott Rosenberg, Roku GM, Platform Business. “This study demonstrates that ads on Roku deliver not only incremental reach, but also higher ROI than linear TV ads.”