PAY LESS BUT SEE SOME ADS? YES PLEASE.
Earlier this year, we shared a study that showed audiences were growing more accepting of steaming ads—particularly if it was part of a trade-off for lower subscription costs. It’s been six months, Hub Entertainment Research has once again asked viewers how they feel, and they’ve gotten even more okay with seeing ads. Two-thirds of those surveyed said that they would subscribe to an ad-supported option if it saved $4-5 per month, the highest figure this study has seen since it began in 2021. Other results: 35% say that content is what matters, and if a show is good enough, they’ll watch it regardless of whether there are ads; 53% say that they can tolerate a certain number of ads but don’t want clutter; 12% (the lowest share since the survey began) say that they’d never consider an ad-supported platform, no matter what. (Marketing Charts: Aug 20, 2024)
FAST CHANNELS PROVIDE THE TRADITIONAL TV EXPERIENCE
Survey results are one thing, but there is real world evidence to back them up. More than half of the 66% of viewers who watch a FAST service in a typical month say they’ve cut back on their paid streaming services. Besides wanting to save money, viewers missed the traditional TV experience of sitting down and channel surfing. The news isn’t all bad for the subscription services, however: Forty-three percent of FAST viewers started subscribing to a paid service to continue watching a series they began on a FAST channel. (TV Tech: Aug 19, 2024)
ELECTION 2024: CTV ALREADY A BIG WINNER
With the Presidential campaigns and their allies having spent $385 million through August 8 and already committed to another $322 million, this year’s unprecedented levels of political spending have proved there’s one definite winner: Connected TV. It’s estimated that 10.5% of this year’s Presidential ad spending has gone toward digital channels; that could rise to 28% by Election Day, with 45% of that going toward CTV. It isn’t just because Local TV is getting tight and the dollars need to land somewhere. CTV offers National, State, and Local campaigns the kind of specific audience targeting that used to be possible only with niche digital venues that didn’t have scale. (Digiday: Aug 15, 2024)
BACK-TO-SCHOOL SPENDING: A DEEPER DIVE
A story in Video News’ previous edition seems to have struck a chord, with many of you requesting more info about Back-to-School spending. We’re happy to oblige! The good news is that if you haven’t finished shopping yet, you’re not alone—take a breath. The buying did begin early, with families getting a head start in July, but it slowed down, with only 10 percent of them having finished as of this week. The biggest categories that are still outstanding are School Supplies (69% of K-12 shopping still needs to be done) and Clothing (62%). Only 20% of families still have to buy Electronics, but as we mentioned last time, one-third of them plan to use last year’s tech anyway. (NRF: Aug 19, 2024)
THIS WEEK IN VIDEO HISTORY
August 19, 1950 – ABC begins broadcasting Saturday morning kids’ shows, with Animal Clinic and Acrobat Ranch… establishing a tradition that would last until September 2014, when the final remaining Saturday morning cartoon (The Vortexx on the CW) aired its final episode.
