Advanced Television

Research: Yahoo study reveals TV’s future is online

February 7, 2011

In order to make sense of the new landscape for brands and agencies created by the convergence of TV and Internet, Yahoo recently partnered with Ipsos OTX MediaCT, surveying DSL-connected households in the US. The study focused on gauging consumer usage of Internet-connected TV devices, as well as attitudes around advertising on Yahoo!’s Connected TV product. Seven key findings emerged, according to Yahoo!:

1. Consumers are already connected. One in three broadband households are using Internet connected TV at least once a week, while three in five have online connected TVs. By online connected TVs, we mean any consumer electronic device at home (not including PCs or Laptops) that you can connect to the Internet through your TV. This can include a standalone TV without the need for an extra box or another device connected to your TV such as a gaming console or digital media adapter.

2. Gamers will drive this trend. Game consoles and built-in Internet-TV applications will drive Internet connectivity, with 32 per cent showing interest for each. Users are more interested in accessing the Internet through their TV, rather than relying on an extra box such as a DVD player or cable box.

3. Four content types are priorities for consumers. Today, full-length TV programmes or movies (68 per cent), weather (65 per cent) and gaming (64 per cent) are the most common types of content accessed via Internet-connected TV. Interestingly, weather and video games are accessed more frequently on a weekly basis. Consumers are also very interested in accessing music on their TVs, reporting 44 per cent interest in the next 12 months, second only to TV/movies.

4. Consumers still love TV shows and talking about them with friends. 60 per cent of those surveyed said they would be interested in looking up online content on their TV related to the programme they were watching. And among those who showed interest, 53 per cent said they wanted special content about their favourite TV shows, and 28 per cent want to include their friends via social media when watching. Content around TV shows and social media will spur the growth of this new landscape, especially among women.

5. Advertising is also a key driver of usage for Internet connected TV. Two in five consumers said they are interested in content relevant to the commercials they see. In fact, more than 50 per cent of survey respondents reported that they are likely to interact with an ad on Yahoo Connected TV. This increases to 63 per cent for current Internet TV users and among those interested in Yahoo Connected TV (70 per cent).

6. Consumers like us. They really like us! Seven in 10 of those surveyed said they are interested in using Yahoo Connected TV after seeing a video demo. 40 per cent state that it’s the future of TV, and 35 per cent say it’s innovative. Yahoo Connected TV is primarily seen as convenient (44 per cent) and an easy way to access content (41 per cent).

7. Male consumers are leading the charge. Men under 35 and heavy Yahoo users are more involved in this category than women. They tend to own more TV brands and are aware of more Internet-connected TV options. They are also more likely to purchase or subscribe to TV-related products, connect the internet to their TV, consume more content, have widgets or apps, and have access to Yahoo Connected TV.

According to Yahoo, the on-demand nature of the Internet, combined with the living room TV-viewing experience, is creating an entirely new platform through which advertisers and content creators can reach consumers. As usage becomes the norm rather than the exception, marketers need to intimately understand the emerging opportunities being developed. After all, nowadays, it rarely hurts a brand to be seen as an early adopter, says Yahoo.

Categories: Advertising, Articles, Connected TV, Consumer Behaviour, OTT, Research, Targetted