Streaming has become one of those elements that are increasing more and more and that have established themselves as a fundamental piece in consumer leisure. Netflix has eaten the television space, it could be the great headline that sums up what has happened in recent years.
The VoD boom and the fact that new content viewing platforms are just popping up – platforms with flashy titles that viewers want – has led to new problems. On the one hand, for advertisers this whole new context has certain nightmarish touches, because it is eliminating the traditional advertising channels that they used and they need to cover them with new spaces.
On the other hand, for consumers, a certain subscription fatigue is beginning to occur, in which a new service has to be very attractive and have a lot of hook – as happened to Disney + – to be able to capture their attention and, above all, everything, your wallet. They already pay too many things and they don’t want to pay too many more.
All this has created the perfect context for the emergence of AVoD, streaming with ads. Some platforms are already beginning to position themselves in the market, launching offers for access to freemium content or with lower rates. Advertisers are already responding to that idea.
The latest study on the future of advertising linked to streaming services and connected televisions comes from the United Kingdom and its conclusions are quite clear: investment is going to increase significantly. According to a statistic from FreeWheel, advertisers and agencies plan to increase investment in these environments.
How much will the investment go up
32% of those surveyed believe that, in general, advertising budgets will improve (last year 51% expected not). 60% believe that investment in advanced television advertising will increase in the next 12 months. These accounts include streaming, addressable TV and connected television, but also linear television as long as it is of the latest generation (that is, advertisements that are purchased with the same criteria in use of data for segmentation as in the network).
The investment in VoD will rise by 5.4%, that of connected television by 9.5% and that of OTT by 6.2, according to the agencies, and by 15.1, 8.8 and 14%, respectively, when asked directly to advertisers. For the industry, this new environment offers as elements of main attraction the fact that they improve the capabilities in terms of segmentation and also that these ads are effective. 55% of marketers highlight the first point and 53% the second.
This growth does not imply that everything is already perfect. The market is still criticizing the situation in terms of measurement. Marketers remain concerned about how the ROI on those investments can be measured. In fact, these concerns are not new, and measurement and statistical issues have been high on the list of issues associated with this new advertising from the beginning.