Advertising Comparison! Streaming TV vs Broadcast And Cable TV

Posted On

The short answer is: it depends on your audience, budget, and goals. Connected/streaming TV (CTV) often provides better targeting and measurement than traditional local television, while local TV can still be more effective for reaching broad audiences quickly in a specific geographic area.

Detailed Comparison

Feature	Connected / Streaming TV (CTV)	Local Television
Where ads appear	Streaming apps and smart TVs	Broadcast and cable TV channels
Audience targeting	Individual households and interests	Everyone watching a program in a market
Measurement	Detailed impressions, completion rates, conversions	Ratings and estimated viewers
Minimum budget	Often $500–$5,000+ depending on platform	Often several thousand dollars per campaign
Flexibility	Can change campaigns anytime	Usually purchased in scheduled time slots

What is Connected/Streaming TV (CTV)?

Connected TV (CTV) refers to televisions connected to the internet, including:

• Roku
• Amazon Fire TV
• Apple TV
• Google TV/Android TV
• Samsung Smart TVs
• LG Smart TVs

Streaming TV includes services like:

• Hulu
• Peacock
• Paramount+
• Disney+
• Max
• YouTube TV
• Sling TV
• Pluto TV
• Tubi

Advertisers buy commercial time that appears while viewers stream content instead of watching traditional broadcast television.

Example:

Instead of buying a commercial during the local 6 p.m. news, you show your commercial only to homeowners aged 35–60 within 20 miles of your business while they watch Hulu.

What is Local Television Advertising?

Local TV advertising means buying commercial spots from local TV stations, such as:

• ABC affiliate
• NBC affiliate
• CBS affiliate
• FOX affiliate

or local cable providers.

The same commercial is shown to everyone watching that program in your market.

Example:

A commercial airs during the evening news in Portland and reaches everyone watching regardless of age or interests.

Who is Streaming TV for?

Streaming TV works well for:

Small businesses

• Dentists
• HVAC companies
• Auto dealerships
• Furniture stores
• Restaurants

Medium businesses

• Hospitals
• Colleges
• Real estate companies
• Banks

National brands

• Nike
• Amazon
• Toyota
• Apple

It is especially valuable if you want to reach a specific audience rather than everyone watching TV.

Who is Local TV for?

Local TV is often best for organizations that want broad awareness within a market, such as:

• Political campaigns
• Hospitals
• Grocery chains
• Auto dealers
• Major retail stores
• Sports teams

It is useful when reaching as many local viewers as possible matters more than precise targeting.

Typical Costs

Costs vary widely by market and season.

Connected TV

Typical pricing uses CPM (cost per 1,000 impressions)

Typical CPM:

• $20.00 to $50.00
• Premium inventory may be $50.00 to $80.00+

Example:

• CPM = $30.00
• Budget = $3,000.00

You receive roughly:

100,000 impressions

Platforms often allow campaigns starting around:

• $500.00
• $1,000.00
• $2,500.00

depending on the provider.

Local TV

Local TV pricing depends on:

• City size
• Station
• Program
• Time of day
• Season

Examples

Small market:

• $50.00 to $30.00 per commercial

Medium market:

• $300.00 to $2,00.00

Large market:

• $2,000.00 to $10,000.00+

Prime-time events or sports can cost substantially more.

Benefits of Streaming TV

Better Targeting

You can target by:

• ZIP code
• Household income
• Homeowner or renter status
• Interests
• Age
• Purchase behavior
• Devices
• Geography

Better Measurement

You can see:

• Impressions
• Completed views
• Frequency
• Website visits
• Store visits (through some attribution providers)
• Conversions

Traditional TV generally provides less granular reporting.

Less Wasted Spending

Instead of paying to reach everyone watching, you can focus on likely customers.

Example: A luxury furniture store targets households with incomes above $150,000.00.

Flexible Budgets

You can:

• Pause campaigns
• Increase spending
• Change creative
• Optimize performance

without waiting for new broadcast schedules.

Higher Video Completion

Many streaming ads cannot be skipped, leading to high completion rates (often above 90% for standard CTV placements).

Limitations of Streaming TV

Limited reach for some audiences

Older viewers or those without streaming services may be harder to reach through CTV alone.

Fragmentation

People watch many different streaming services.

A campaign may need multiple platforms to maximize reach.

Frequency management

Without proper controls, the same household may see your ad repeatedly.

Creative requirements

High-quality video is still important.

A weak commercial usually performs poorly regardless of targeting.

Benefits of Local TV

Massive reach

One commercial can reach tens or hundreds of thousands of viewers in a single airing, depending on the market and program.

Strong Local Credibility

Appearing on trusted local stations can enhance brand perception.

Good Community Awareness

Effective for:

• Grand openings
• Elections
• Hospital campaigns
• Charity events
• Seasonal promotions

Major Event Audiences

Local news, sports, and weather can still attract large audiences.

Limitations of Local TV

Limited Targeting

Everyone watching the program sees the commercial.

You pay for viewers who may have no interest in your product.

Harder To Measure

Traditional TV relies on audience estimates and ratings rather than detailed household-level metrics.

Higher Entry Costs

Producing and airing television commercials can require a larger upfront investment.

Less Flexibility

Changing campaigns often requires new media buys and revised schedules.

Alternatives

Besides streaming TV and local TV, consider:

Option	Best For
YouTube Ads	Broad video reach with strong targeting
Facebook & Instagram Video	Local businesses and direct response
TikTok Ads	Younger audiences
Digital Display	Retargeting and awareness
Radio	Cost-effective local reach
Podcasts	Niche audiences
Streaming Audio (Spotify, Pandora)	Audio branding
Local newspapers	Community visibility
Digital billboards	High-traffic local awareness

Examples

Example 1: Local dentist

Goal:

• New patients within 10 miles

Best choice:

• Streaming TV plus Google Search

Why:

• Reach nearby households and capture people actively searching for a dentist.

Example 2: Regional hospital

Goal:

• Build trust and awareness across an entire metro area

Best choice:

• Local TV combined with streaming TV

Why:

• Local TV provides broad reach, while streaming TV reinforces the message among targeted households.

Example 3: Auto dealership

Goal:

• Weekend sales event

Best choice:

• Local TV, streaming TV, and digital retargeting

Why:

• TV builds broad awareness, CTV targets likely buyers, and retargeting reminds interested shoppers.

Example 4: National retailer

Goal:

• Back-to-school promotion

Best choice:

• Heavy use of streaming TV

Why:

• Ability to target households with school-age children and optimize based on performance.

Which Is Better?

There isn’t a universal winner:

• Choose streaming TV if you want precise audience targeting, measurable results, flexible budgets, and the ability to optimize campaigns in real time.
• Choose local TV if your priority is broad local awareness, especially around news, sports, or community programming with large audiences.
• Use both together if your budget allows. Many advertisers combine local TV’s reach with CTV’s targeting and measurement to maximize both awareness and efficiency.