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The number of US households with a smart TV will reach 87 million by 2016, according to research from Parks Associates, which has released a new white-paper, commissioned by Rovi, examining new opportunities in advertising based on the growing adoption and usage of connected TV platforms in the US and Western Europe.
“Connected TV systems have the ability to change viewer perceptions of advertising,” said Heather Way, senior research analyst, Parks Associates. “These systems enable advertising to be integrated into device navigation and content search, engaging consumers at a point of high receptivity and enabling them to immerse themselves in a rich brand experience. As a result, over 50 per cent of US connected-TV households surveyed by Rovi consider these ads as content, containing useful and valuable information, and they are much more likely to remember and click on these ads.”
Other key data from the survey:
– 55 per cent of connected-TV households earn at least $75,000 annually and own 11 Internet-enabled devices on average
– 72 per cent of connected-TV owners say the connected platform makes watching TV more convenient, and 65 per cent said the technology makes the TV experience more enjoyable
– 49 per cent of connected-TV viewers depend on the platform when they are unsure what to watch
– 58 per cent of Rovi-served connected households indicate that advertising in the connected platform is an effective medium to communicate with viewers in the household
“Consumers are more receptive to advertising that takes this brand-infused approach,” said Jeff Siegel, senior vice president, Worldwide Advertising, Rovi Corporation. “Advertising on connected TVs that provides more immersive brand experiences has a positive impact on consumers. Over 80 per cent of our connected-TV households state they consider these advanced campaigns to be valuable sources of brand information.”
Parks Associates further forecasts that over 70 million Blu-ray players, the vast majority Internet-connectable, will be sold worldwide in 2016.