Study: Millennials key for ad-supported streaming
October 26, 2023
Audience data and omniscreen measurement technology provider Samba TV has released its Guide to Targeting Millennials study results as part of a survey conducted with global research firm HarrisX.
The report, focused on the millennial demographic that covers over 72 million US adults with more than $2.5 trillion in spending power, unveils key insights on this massive audience and how to reach them. One such finding from the survey of over 2,500 adults reveals that millennials are more open to ad-supported video-on-demand (AVoD) than other generations, presenting a unique opportunity for these platforms and advertisers to engage with this influential demographic.
With companies such as Netflix and Amazon introducing ads to their streaming services, advertisers have increased opportunities and challenges alike when reaching viewers. Despite their upbringing with cable TV, millennials were the first generation to wield the scissors to cut the cord, making them a key audience to AVoD and free ad-supported streaming television (FAST) models compared to other age groups.
“Millennials are the generation that grew up on cable and were first to cut the cord, and have revealed themselves to be a core audience on AVoD and FAST platforms,” said Samba TV Co-founder and CEO Ashwin Navin. “Their willingness to consume ads when streaming is a unique opportunity for advertisers to reach more than 20 per cent of the US population, with more spending power than retiring baby boomers. By embracing an omniscreen strategy that addresses all the platforms where millennials consume video, advertisers can align their campaigns to connect with this hugely impactful audience.”
Key findings:
- Eight in 10 millennials stream TV shows, with 84 per cent of those streamers using Netflix.
- 73 per cent of millennials subscribe to a streaming service for just their kids.
- 68 per cent of millennials have a streaming subscription that shows ads, more than any other generation.
- 21 per cent of millennials with a Netflix subscription signed up for the ad tier, with 68 per cent of this group subscribing to the platform after the lower-cost ad tier was released.