The non-skippable 30 secs: Are brands ready to pay the premium?

The 30-second ad is returning to the living room, but not through traditional television. Connected TV is emerging as the new arena where long-form storytelling is being rebuilt within a digital framework. The introduction of non-skippable 30-second ads on YouTube’s CTV inventory signals a broader shift in how brand advertising is being valued and delivered.

For years, digital video has been shaped by skippability, short formats and performance metrics. Television, on the other hand, has retained its dominance in long-form brand storytelling. The arrival of non-skippable ads on the big screen begins to dissolve that distinction. It brings together guaranteed attention with digital precision, creating a hybrid model that is forcing advertisers to rethink both creative strategy and media allocation.

At its core, this is not a format change. It is a shift in the economics of attention. As consumers move toward connected screens and lean-back viewing experiences, the value of uninterrupted storytelling is being recalibrated. The question now is whether brands are willing to pay a premium for that attention and whether CTV can emerge as a central pillar in brand-led video strategies.

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The Big Screen Reclaims Attention

The rise of CTV is closely linked to evolving consumption patterns. Viewers are increasingly shifting toward on-demand content on television screens, combining the comfort of traditional viewing with the flexibility of digital platforms. According to YouTube, a large share of its CTV audience in India prefers the platform over linear television, indicating a structural change in viewing behaviour.

More than half of YouTube’s CTV watch time is spent on content longer than 21 minutes, suggesting that the living room continues to favour immersive, long-form engagement. This creates an environment where 30-second non-skippable ads can function as intended, delivering complete narratives rather than fragmented impressions.

A YouTube spokesperson says, “YouTube has always been a powerful engine for full-funnel performance. As audiences embrace the big screen, it has opened newer avenues for advertisers to drive both brand building and actionable outcomes through immersive mastheads, shoppable QR codes and send to phone options.”

According to YouTube, over 65 per cent of the adult audience it reaches is incremental to television, highlighting the platform’s ability to extend beyond traditional broadcast reach. The company also claims strong brand impact metrics, with studies indicating higher uplifts in affinity, purchase intent and brand perception compared to social platforms. While these are platform-attributed findings, they align with a broader industry shift toward attention-led advertising.

Why are advertisers still finding value

Pricing the Value of Guaranteed Viewing

The introduction of non-skippable formats inevitably brings pricing into focus. Guaranteed exposure on the largest screen in the home is positioned as a premium offering, but the willingness to pay depends on how brands perceive its value relative to television and OTT.

For advertisers, the comparison is nuanced. Traditional TV operates on reach and frequency, while digital video is measured through impressions and engagement. CTV sits at the intersection, combining elements of both.

Read more on CTV in India

Lalit Arora, COO and Co-Founder of UBON, reflects this complexity. “CTV non-skippable inventory will cost more, and it should. You are guaranteeing full viewer attention on the largest screen in the home, and that is worth paying for. When you compare it with premium OTT inventory, the gap is not as wide as people assume, and the performance data tends to be stronger. A 15 to 20 per cent premium is a conversation worth having.”

This perspective signals a shift in how media value is being calculated. Cost efficiency is no longer viewed in isolation. Metrics such as attention, recall and audience quality are increasingly shaping investment decisions.

Arora adds, “What CTV now offers is that same storytelling canvas with the targeting precision that traditional TV never had. The combination of reach and digital precision is genuinely compelling. It is just a matter of building enough confidence in the data to commit at scale.”

Early Signals from Brand Adoption

While large-scale budget shifts are still evolving, early campaigns suggest that CTV can deliver measurable outcomes across both brand and performance metrics.

Nykaa Fashion’s festive campaign demonstrates how the big screen can drive commerce outcomes. By targeting high-value audiences through a CTV-led strategy, the brand reported an 8.5 per cent uplift in incremental orders across test markets, alongside significant reach and co-viewership.

Esha Jain, AVP Marketing at Nykaa Fashion, says, “Measurement is critical when testing new channels. By utilizing a rigorous GeoX experiment and causal studies, we were able to isolate the true impact of our Connected TV strategy. The results were clear. Narrowing our targeting to affinity audiences on the big screen drove a distinct 8.5 percent incremental uplift in orders across our test markets.”

For legacy FMCG brands, the role of CTV extends beyond performance into reach and brand building. Nestle India’s campaign for Maggi offers a clear example of how cross-screen strategies are evolving.

As part of its effort to reach cord-shaving audiences, the company integrated YouTube CTV into its existing TV and mobile mix. The campaign reached 156 million unique users with optimised frequency. The impact of this approach was significant. The campaign delivered 5 percent net incremental reach at 30 percent lower cost compared to television. It also drove an 8.37 per cent absolute uplift in ad recall, more than double the industry average of 3.83 per cent, and a 6.47 percent absolute uplift in purchase intent, nearly eight times the industry average of 0.82 percent. These results established YouTube CTV as a strong driver not just of reach but also of behavioural shifts and purchase intent for a legacy FMCG brand.

Gazal Bajaj, Head Integrated Media and Experiences at Nestle India, says, “CTV is gradually becoming an important part of our media mix. Adding YouTube CTV to our integrated media strategy is a forward-looking decision keeping in spirit with growing consumer trends.”

These outcomes suggest that CTV is not limited to a single role within the funnel. It is being used to extend reach, improve recall and influence purchase intent, depending on campaign objectives.

The Pace of Budget Reallocation

Despite these encouraging signals, brands are approaching CTV with measured optimism. Budget reallocation is happening gradually, often driven by performance validation rather than upfront commitment.

Arora notes that adoption will be closely tied to consistent results. “If non-skippable CTV campaigns across a couple of cycles show consistent brand lift and improved recall, scaling can happen within a quarter or two. Product launches, festive campaigns, brand-building moments are exactly the contexts where the format earns its keep. Performance will drive the pace.”

The criteria for shifting budgets are becoming more complex. It is no longer about a single metric but a combination of indicators that together signal effectiveness.

“It will not be a single metric that tips the decision,” Arora says. “Incremental reach matters because a meaningful chunk of the audience we want is simply not on traditional TV anymore. Brand lift and attention scores tell us whether we are actually landing in memory. Cost efficiency matters too, but not as the lead variable.”

This reflects a broader industry shift where media is evaluated through a multi-dimensional lens rather than isolated benchmarks.

Competition Intensifies for Big-Screen Budgets

As CTV gains traction, the competitive landscape is becoming more dynamic. Broadcasters, OTT platforms and digital players are all vying for a share of brand budgets that have historically been concentrated in television.

YouTube’s scale and data capabilities position it as a strong contender, but it operates within a fragmented ecosystem where each player brings distinct strengths. Broadcasters continue to offer mass reach and live programming, while OTT platforms provide curated environments and premium content.

The differentiation increasingly lies in the ability to combine scale with targeting and measurement. According to YouTube, adoption of CTV formats is strongest among CPG and retail advertisers, with traditionally TV-heavy sectors such as automotive also beginning to experiment with the medium.

This suggests that the battle for the living room is no longer just about audience size. It is about delivering measurable outcomes in an environment where attention is both scarce and valuable.

A Market in Transition

The introduction of 30-second non-skippable ads on Connected TV reflects a broader transition in advertising. As digital platforms evolve, the boundaries between traditional and digital media are becoming less defined.

CTV sits at the centre of this transition. It combines the immersive experience of television with the accountability of digital, creating a model that is still being shaped by experimentation and data.

For brands, the opportunity lies in leveraging this convergence to build more effective campaigns. The challenge is navigating an ecosystem where pricing models, measurement standards and benchmarks are still evolving.

What is clear is that the value of the big screen is being redefined. Not as a legacy medium, but as a critical component of a modern, data-driven advertising strategy.

As advertisers continue to test and scale, one question remains central. Whether CTV will remain an incremental layer or emerge as a dominant gateway for brand advertising in the years ahead.