Report: US CTV warming to AVoD
March 24, 2020
Regardless of the vehicle, Connected TV (CTV) is growing in ubiquity in the US: almost 9 in 10 consumers have access to a connected TV. Integral Ad Science (IAS), a global player in digital ad verification, today released results of a survey on streaming trends among American consumers.
The report shows that alongside the growth of streaming, consumers may be starting to feel subscription fatigue. 76 per cent of respondents are willing to see ads in exchange for watching free streaming video, and 55 per cent plan to watch free video streaming services in the next 12 months.
In a recent study, IAS found that 88 per cent of consumers surveyed have access to a connected TV device. Even more interesting: 59 per cent prefer connected TV for streaming. But when subscriptions start to add up, how will consumers continue to stream content? IAS asked 1,270 consumers about their connected TV usage and preferences as the Streaming Wars rage on.
CTV is the preferred vehicle for streaming video content, with 80 per cent of consumers streaming content using CTV and 59 per cent using CTV as their primary means of watching streaming video. 83 per cent of consumers have access to at least one paid video streaming service, with access to an average of 3 services. Paid streaming video services have mainstream adoption, but there is diminishing growth.
“With consumers indicating they are maxing out on paid streaming subscriptions, ad-supported content will be more in-demand than ever, giving advertisers a real opportunity to reach key consumers. However, as we see ad dollars flow to this new environment, we will inevitably see fraud follow,” IAS Chief Marketing Officer Tony Marlow said.
Some 55 per cent of consumers say that it is important that ads on streaming video content are high quality. Previosu research from IAS found that the majority of US consumers (81 per cent) said it is annoying when a brand appears next to low-quality content, and 62 per cent reported that they would stop using the brand altogether if its ads appear adjacent to low-quality content. Quality matters when it comes to advertising, and CTV is no different.