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Majority Of Consumers Prefer Streaming With Ads

There’s a reason that advertising and marketing firms are committed to doing research. Sure, it’s OK to go with a gut feeling – as long as that gut feeling is backed up by data.

More for the Money

Your gut feeling might tell you that people don’t care for ads on their streaming platform, but the data consistently shows that ads on streaming services remain valuable for clients. As inflation has stayed persistent throughout 2022 and into the new year, consumers are looking to save money while maintaining their entertainment options. It’s like everything else: Consumers want to get the most that they can for the dollars they spend.

The study referenced above was conducted in November 2022 by Hub and surveyed 3,001 people from ages 17-74 who watched at least one hour of TV per week. The study showed that respondents are two times as likely to opt for a streaming service that offers both ad-free and ad-supported tiers rather than a streaming service that only offers limited ads. Two-thirds of those responding to the survey say they use at least one free ad-supported streaming service.

A Targeted Approach

This is good news for advertisers because it means that streaming remains a viable – and often more affordable – alternative to some broadcast platforms. This dovetails into our belief that data-driven, targeted advertising reaches more of a target audience than a scattershot approach. At Strong Automotive Merchandising, we understand that our clients need results for the advertising dollars they spend. That’s why we study our clients’ local markets to help determine the scope of our ad push. When it comes to advertising on streaming platforms, we look at ad engagement and experience, which take into account how long the advertisement took to load, how long the ad keeps the consumer away from the content they want, and other key indicators.

An Evolving Market

There’s no denying that streaming services are an evolving market. With Netflix and Disney+ both offering a cheaper, ad-supported version, they join the ranks of platforms like Hulu, Paramount+, and Peacock that regularly deliver ads to the consumer. What these platforms are currently focused on is shorter ad breaks and ads targeted to the show that is being watched.

We anticipate that the streaming market will continue to evolve toward tailoring the single ad break, short ads from sponsors, or even personalized categories for the consumer to choose from. While the way we deliver advertising to consumers continues to evolve, our team at Strong Automotive Merchandising remains committed to using our clients’ advertising dollars in the way that helps them the most.

That means using data to make informed and insightful decisions, leading our sector of the industry with speed and confidence, and being trustworthy stewards of the confidence our clients place in us.

John Paul Strong

John Paul Strong combines his two decades of automotive marketing experience with a team of more than 150 professionals as owner and CEO of Strong Automotive.

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