How Much Does TV Advertising Cost?
Olena Svietlova
2025-05-21 • 3 min to read
If you’ve ever wondered, “How much does it actually cost to run an ad on streaming TV?” — you’re in the right place. We’re talking Connected TV (CTV) only here, and we’re keeping it friendly, clear, and totally relevant for small-to-medium-sized businesses and agencies who want to get on the big screen without blowing the budget.
Let’s break down how CTV pricing works, what affects the cost, and how to stretch every dollar. Plus, we’ll show you how to forecast what you’ll get with Skybeam via our TV Impact Forecaster.
What Affects TV Ad Costs?
Think of TV ad pricing like your grocery bill — it depends on what you’re putting in the cart. Here’s what impacts the cost:
Targeting
The more specific you get with your audience (like “Millennial coffee lovers in Austin who shop organic”), the more you’ll likely pay per 1,000 views (a.k.a. CPM — cost per thousand impressions). Broad targeting usually means lower CPMs.
Streaming Platform
Running your ad on Hulu or Disney+? That’ll usually cost more than running on free streaming platforms like Pluto TV or Tubi. Premium shows = premium prices.
Geography
Want to target viewers across the entire U.S.? That’ll bring your CPM down. Want to focus just on California or even one city? Your cost per impression may go up a bit, but you’re keeping things super relevant.
Ad Format & Timing
15 or 30-second non-skippable video ads are the standard. You might pay more during high-demand times (like holidays or big sporting events), but you can also snag great deals when demand is lighter.
So… How Are TV Ads Priced?
Most TV ads are priced using CPM (again, cost per thousand impressions). For example, a $30 CPM means you’re paying $30 to show your ad 1,000 times.
But you should also keep an eye on CPA (cost per acquisition) — how much it costs to get someone to take an action, like visiting your website or signing up. You pay for impressions, but CPA helps you measure what you’re actually getting out of it.
Pro tip: A slightly higher CPM might still be a better deal if it brings in more conversions.
Real-World Pricing Benchmarks
Let’s talk actual numbers. Here’s what you can expect:
Average CPMs: Typically between $20–$40. Sometimes lower (especially on FAST channels), sometimes higher (for premium shows).
Premium Platforms: Hulu, Netflix, Disney+ — expect $30–$50 CPMs.
Budget-Friendly Options: Tubi, Pluto TV, Roku’s free channels — can dip as low as $6–$18 CPM.
Geo Differences: Targeting a big city like NYC? Higher CPM. Targeting smaller towns? Usually lower.
It’s a wide range, but the good news is you’re in control of how broad or niche you want to go.
National vs. Local Campaigns — What’s the Difference?
National = Lower CPM because you’re not limiting your reach by narrow GEO targeting.
Local = Higher CPM but more relevant views (aka better for your bottom line if you’re a local biz).
For example, a campaign across the U.S. might cost $25 CPM, while targeting just San Diego might be $30. But if your customers are in San Diego, every dollar is working harder.
Want to Know Exactly What You’ll Get for Your Budget?
This is where Skybeam shines.
Let’s say you’ve got $2,650 to spend and you want to reach foodies in California. With our TV Impact Forecaster, you’ll get instant projections for:
Estimated impressions (88K–147K)
Website visits (556–1.9K)
Search clicks (1.1K–3.1K)
Social clicks (415–2.4K)
But it doesn’t stop there. Skybeam also estimates the total audience size you can target and shows you where your campaign sits on the Deliverability Score scale. Stay in the “Optimal” green zone to ensure your targeting is broad enough for efficient delivery without wasting spend.
👉 Try it out inside the Skybeam platform and see exactly what your campaign could deliver before you ever hit launch.
Tips to Make the Most of Your TV Budget
Set clear goals. Know whether you’re after brand awareness or conversions.
Use smart targeting. But don’t go too niche — it can drive up costs fast.
Mix inventory. Premium + budget-friendly platforms = reach + savings.
Cap your frequency. Don’t overserve the same people — it’s annoying and inefficient.
Keep an eye on performance. Optimize based on what’s working.
Make great creative. You don’t need a million-dollar ad, but make sure it’s professional and gets to the point fast.
Use self-serve tools like Skybeam. Seriously — why pay agency fees when you can launch like a pro yourself?
The Bottom Line
TV ads aren’t just for giant brands anymore. With Skybeam, anyone can get on screen — whether you’re a local pizza shop or a boutique agency. You set the budget, and we’ll help you get your message in front of the right viewers.
And with planning tools that show you exactly what results to expect, there’s really no reason to guess. Test a small campaign, see what works, and scale from there.
Let’s get you on TV — without the drama.