Connected TV Advertising - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The connected TV advertising market size was valued at USD 46.37 billion in 2025 and is projected to reach USD 84.91 billion by 2031, at a CAGR of 10.35% during 2026-2031. This report is Segmented by Ad Placement (Pre-Roll, Mid-Roll, and Post-Roll), Ad Format (Video Ads, Display Ads, Interactive Ads, and More), Device Type (Smart TVs, Gaming Consoles, and More), End User (Media and Entertainment, Automotive, and More), and Geography (North America, South America, Europe, Asia-Pacific, Middle East, and Africa). The Market Forecasts are Provided in Terms of Value (USD).

Global Connected TV Advertising Market Trends and Insights

Streaming Audience Migration from Linear Television

Audience movement away from linear television remains the most basic force behind the connected TV advertising market. Viewers are spending more time in streaming environments, and that is changing where advertisers look for household reach and repeated exposure. This shift matters because connected TV combines the living room screen with digital delivery, which makes campaign control stronger than in traditional television buying. The result is a market where brand budgets are following audience behavior rather than waiting for old viewing patterns to return. That audience migration also strengthens the long-term case for the connected TV advertising market because inventory growth and buyer demand are moving in the same direction.

Expansion of Ad-Supported Streaming and FAST Inventory

The expansion of ad-supported services and FAST channels is increasing the amount of sellable inventory across the connected TV advertising market. Gracenote reported that active FAST channels in key markets reached more than 1,610 as of March 2025, and the total nearly doubled from mid-2023, with channel count rising 21% during 2025. That growth gives advertisers more access to broad-reach viewing environments that sit outside traditional subscription video models. It also gives publishers more room to test new ad loads, packaging models, and audience groupings without depending on a single type of streaming service. Wurl stated that FAST ad revenues are projected to exceed USD 12 billion by 2027, which shows why the connected TV advertising market continues to attract more demand from buyers looking for scalable video inventory.

Measurement Fragmentation Across Walled Gardens

Measurement fragmentation remains one of the clearest limits on faster spending growth in the connected TV advertising market. Buyers still face different reporting methods, identity frameworks, and attribution rules across major streaming platforms, which makes cross-platform comparison difficult. This matters because budget migration depends on a clear link between campaign spend and business outcomes, especially when brands are moving money from long-established television plans. IAB responded to this problem in 2025 with guidance that called for standardized Conversion API adoption for connected TV, which shows that the market still needs common measurement practices to improve advertiser confidence. Until those standards are used more widely, the connected TV advertising market will continue to face friction when large brand budgets are reviewed against more measurable digital channels.

Other drivers and restraints analyzed in the detailed report include:

• Programmatic Buying and Automated Yield Optimization
• Live Sports and Premium Event Monetization
• Limited Show-Level Transparency and Content Visibility

Segment Analysis

Mid-roll ads held 45.49% of the connected TV advertising market size in 2025, which kept this format in the leading revenue position. The segment benefits from being placed inside the viewing session rather than at the start or the end, which makes it more central to monetization for premium streaming services. In the connected TV advertising market, mid-roll inventory also fits well with longer-form content where platforms can manage ad load without changing the basic viewing experience. That makes it useful for both premium subscription services with ad tiers and FAST services that depend more heavily on advertising revenue. The segment’s current lead suggests that platforms still prefer formats that can be inserted naturally into established content breaks.

Pre-roll ads are projected to grow at a 10.81% CAGR through 2031, which shows that buyers still value formats that are simple to deploy and easy to scale across varied content types. Pre-roll placement works well for advertisers entering the connected TV advertising market from digital video and display campaigns because it aligns with familiar buying logic and broad reach goals. Post-roll ads remain part of the placement mix, though they are more often used to extend message exposure than to carry the core burden of campaign delivery. The IAB Tech Lab’s CTV Ad Portfolio, published in December 2025, also widened the placement discussion by standardizing 6 new formats for programmatic trade, including pause ads, menu ads, screensaver ads, in-scene ads, squeezebacks, and overlays. That standardization gives the connected TV advertising market more ways to package attention beyond the traditional pre-roll, mid-roll, and post-roll structure.

Video ads accounted for 78.83% of the connected TV advertising market size in 2025, which shows that the format still defines how advertisers use the television screen in streaming environments. Full-screen video remains the most direct way to deliver reach, recall, and brand messaging on connected television devices. Its lead also reflects the fact that most premium streaming inventory is built around video delivery rather than static or companion formats. In the connected TV advertising industry, this keeps video at the center of pricing, inventory planning, and campaign design. The segment’s position is unlikely to weaken quickly because video continues to match both advertiser expectations and platform economics.

Interactive ads are forecast to expand at an 11.12% CAGR through 2031, which signals that performance-led use cases are becoming more important across the connected TV advertising market. The move toward interactivity reflects demand for formats that can connect viewing with shopping, search, or response actions in a more direct way. Display ads still matter in the connected TV advertising market, especially on home screens and pause surfaces where platforms can create new inventory outside standard video pods. The IAB Tech Lab’s 2025 portfolio supports this shift by making more nontraditional CTV formats easier to transact programmatically across demand and supply platforms. As these formats become easier to buy and measure, the connected TV advertising industry is likely to support a broader mix of branding and conversion-led campaigns on the same screen.

Complete Report Scope:

• Ad Placement
  • Pre-roll ads
  • Mid-roll ads
  • Post-roll ads
• By Ad Format
  • Video Ads
  • Display Ads
  • Interactive Ads
  • Other Ad Formats (Audio Ads etc)
• By Device Type
  • Smart TVs
  • Gaming Consoles
  • Other Device Types
• By End User
  • Media and Entertainment
  • Retail and E-Commerce
  • Automotive
  • Healthcare and Pharmaceuticals
  • Financial Services
  • Travel and Hospitality
  • Other End Users
• By Geography
  • North America
    • United States
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Chile
    • Rest of South America
  • Europe
    • Germany
    • United Kingdom
    • France
    • Italy
    • Spain
    • Rest of Europe
  • Asia-Pacific
    • China
    • Japan
    • India
    • South Korea
    • Australia
    • Rest of Asia-Pacific
  • Middle East
    • Saudi Arabia
    • United Arab Emirates
    • Qatar
    • Rest of Middle East
  • Africa
    • South Africa
    • Egypt
    • Nigeria
    • Rest of Africa

Geography Analysis

North America held 38.42% of the connected TV advertising market size in 2025, which kept the region in the leading position. The region benefits from mature programmatic systems, broad streaming inventory, and high household use of connected television devices. It also remains the most developed market for packaging premium content with data-led audience buying. In the connected TV advertising market, this gives North America a strong advantage in monetization depth and transaction efficiency. Fox’s announced acquisition of Roku in June 2026 showed how valuable platform control has become in this region because it combines content, operating system reach, and ad infrastructure in one proposed structure.

Asia-Pacific is forecast to grow at a 10.64% CAGR through 2031, making it the fastest-growing region in the connected TV advertising market. Growth is being supported by rising smart TV adoption, broader broadband availability, and a less entrenched linear television structure in several countries. Japan stands out within the connected TV advertising market because CyberAgent reported that the country’s CTV video advertising market grew 127% year over year in 2025 to JPY 129.5 billion, (USD 869 million). The region is not moving at the same speed in every country, but the direction is clear and the base of connected viewing households is widening. That makes Asia-Pacific an important growth engine for the connected TV advertising market over the forecast period.

Europe is becoming more important to the connected TV advertising market as digital video gains a larger place in regional advertising budgets. IAB Europe reported that European digital ad spend reached EUR 131.1 billion (USD 147.8 billion), and video accounted for more than half of all display investment in 2025. This matters because connected television is part of the wider video expansion taking place across the region. Data use and consent rules also remain important in Europe, which gives first-party data management and clean-room partnerships a larger strategic role. In the Middle East, IAB MENA reported that CTV advertising grew 31% in 2025, ahead of overall digital market growth of 17.8%, which shows that connected viewing is gaining weight beyond the largest established regions. Africa remains a longer-term opportunity for the connected TV advertising market as broadband coverage improves and streaming adoption becomes more widespread across younger populations.

List of Companies Covered in this Report:

• Alphabet Inc.
• Amazon.com, Inc.
• Comcast Corporation
• Disney Advertising Sales LLC
• Google LLC
• Innovid Corp.
• LG Electronics Inc.
• Magnite, Inc.
• Microsoft Corporation
• NBCUniversal Media, LLC
• Nielsen Holdings plc
• Paramount Global
• PubMatic, Inc.
• Roku, Inc.
• Samsung Electronics Co., Ltd.
• Samba TV, Inc.
• The Trade Desk, Inc.
• Tremor International Ltd.
• Viant Technology Inc.
• Yahoo Inc.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support