The demand for highly effective, personalized creative has never been greater – particularly across CTV and digital video. But while the advertising industry leverages data in almost every aspect of digital media planning, one area where we’re lagging is creative optimization. So, how can brands leverage data to increase the relevance of their campaigns to consumers, particularly across these growing channels? This is exactly what we aimed to demystify in a proprietary study with MAGNA: The Intersection of Audience Data + Creative Optimization: How to Drive Action on Streaming TV.
On the heels of this report’s release, Les Seifer, Nexxen’s Senior Vice President, Global Creative, further unpacks the gaps in creative strategies so that advertisers can create more engaging and impactful ads. Here’s what he had to say.
Where do you see gaps in how advertisers approach their creative for CTV & digital video?
From my perspective, there is one major gap: many creative teams are not producing content that’s fully optimized for different screens or tailored to specific audiences, particularly in the realms of CTV and digital video. And honestly, it’s not entirely their fault.
A big part of the problem is bandwidth—creative teams are stretched thin and often lack the resources to create multiple versions of an ad for every audience or screen. Another challenge is visibility. These teams don’t always have complete insight into how their ads will be distributed across multichannel platforms, nor how specific audiences will respond to their creative. Lastly, many of these teams have limited access to actionable insights, often relying solely on post-campaign brand lift reports that provide little more than surface-level data and lack the nuance needed to make real improvements.
What opportunities are there for advertisers to address those gaps?
The advertising industry excels at leveraging data in almost every aspect of digital media planning. Yet, ironically, one area where it’s lagging is creative optimization. And I say “ironically” because, at the end of the day, it’s the creative—the ad—that drives consumer response. Significant investments can be made in reaching the right audience, but if the content isn’t informed by data, all of that effort risks falling flat.
We hear a lot about making creative relevant to audiences, but how do you make that actionable?
To make creative genuinely relevant, going beyond surface-level data and digging into actionable insights is essential. This means understanding audience behavior and preferences as well as how consumers interact with content across different devices.
One of the most effective ways to gather these insights is through pre-flight testing. By sharing creative assets with real consumers—who self-report their interests and demographics—advertisers can gather both voluntary feedback (like surveys) and involuntary feedback (such as facial coding, active attention and emotional reactions). This combination of data helps reveal who’s engaging with the content and how it resonates, providing a clearer picture of how the campaign might perform.
With these insights in hand, advertisers gain a deeper understanding of audience response before committing to paid impressions. If issues like low purchase intent or weak brand recall surface, they can be addressed early in the process. For example, strong purchase intent might suggest adding interactive elements—especially in CTV ads—while low brand recall could be improved with simple tweaks, like incorporating a logo or branded frame.
To make creative genuinely relevant, going beyond surface-level data and digging into actionable insights is essential. This means understanding audience behavior and preferences as well as how consumers interact with content across different devices.
To make creative genuinely relevant, going beyond surface-level data and digging into actionable insights is essential. This means understanding audience behavior and preferences as well as how consumers interact with content across different devices.
How does Nexxen approach solving these challenges?
At Nexxen, we take a holistic approach to creative testing. We begin by recruiting panels of real consumers to watch ads. As these panels watch the ads, we collect voluntary and involuntary data and feedback, as mentioned.
The real value of this approach is the 360-degree view it provides, capturing both conscious feedback and subconscious reactions. Because we conduct this testing before the campaign goes live, we can make quick, cost-effective adjustments to the creative, improving performance before launch. Tackling insights and optimizations early delivers more value than relying on post-campaign results, which often come too late to execute.
Additionally, Nexxen offers “Creative Engaged Audience” data, identifying viewers who are not just watching the ad, but also showing greater attention, better brand recall and stronger purchase intent. Ignoring this segment means missing a key opportunity to connect with the most engaged part of an audience.
What’s interesting is that this highly engaged group may not always align with the intended target audience. For example, a campaign aimed at parents might find that younger professionals are more engaged with the ad. Once these engaged groups are identified, we leverage tools like Nexxen Discovery to understand their interests and content consumption further, enabling the creation of more refined audience or contextual segments for the campaign.
The key takeaway? These highly engaged viewers are more likely to take action—they click more, buy more and interact with the brand more than others. By targeting them with the creative that resonates most, based on pre-flight testing, a stronger connection is built between the ad and the audience, leading to better campaign performance.
And finally, what’s next for creative optimization in digital video? What has you excited?
Current solutions are only scratching the surface. As more advanced tools like AI and machine learning come into play, we’re already seeing creative optimization become even more sophisticated. We’re working on ways to better predict what will resonate with different audience segments and enable more dynamic, personalized creative messaging in real time.
The true game-changer will come as advertisers start to not only optimize their creative before launching, but also adjust it dynamically as the campaign unfolds. With the right data from pre-flight testing and mid-flight performance, we can continually optimize throughout the campaign, ensuring every dollar spent is working as hard as possible. It’s a super exciting time for the industry.
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