In an era where traditional television is gradually taking a backseat, the rise of Connected TV (CTV) is reshaping the advertising landscape. A recent study sheds light on the profound shift in consumer behaviour, showing that nearly 7 in 10 UK consumers prefer free ad-supported streaming over subscription streaming services. Emphasising the positives of utilising CTV as a dynamic advertising solution.
The study, conducted in August 2023 and based on responses from over 800 UK consumers, reveals a significant move away from linear TV. A staggering 25% of participants admitted to watching less linear television than a year ago. In its place, ad-supported streaming services have emerged as the new frontier, with an impressive 68% of UK consumers preferring free ad-supported content over paid subscriptions, marking an 8% lead over their US counterparts.
With rising costs in the UK impacting everything from how we shop, to how we consume content, it’s critical to note the knock on effect this has on the advertising landscape. With the current focus on the price of streaming services and competition between platforms, a significant 20% of UK TV viewers plan to eliminate a subscription streaming service in the next 12 months, with an additional 13% intending to add a free ad-supported streaming service to their entertainment lineup. If it means saving a penny or two, consumers are becoming more tolerant of ad-supported services to save money (which explains Netflix’s 180 on ad-supported content).
So what does this mean for brands? With nearly all UK households now reachable via CTV, and more and more platforms offering ad-supported content in response to the UK’s cash-strapped audience, marketers need to ensure that advertising on free ad-supported content is part of their media mix.
What’s more, these campaigns give you more control and better value for money compared to CTV’s tired older sibling, Linear TV. CTV gives you the ability to tailor your messages to reach the right viewer at the right time, while also enabling you to target content by category, genre, content length and even content rating. It’s more efficient, too. CTV enables you to reach your target audiences with a simple programmatic transaction, as opposed to finding them network by network, market by market. In comparison, data on linear TV markets takes time to compile and only offers estimated results. You can be flexible in real-time, and spend your budget where it really works for you.
In short: Marketers have the opportunity to leverage CTV to not only capture attention but also drive meaningful engagement. This shift in how we watch TV paints a compelling picture of a dynamic advertising landscape where CTV emerges as a strategic imperative for brands aiming to connect with audiences on the biggest screen in their homes. Want to find out more about CTV and how it can help improve your campaign results? Get in touch with one of our experts.