63% of TV viewers in the EU5 watch ad-supported streamingWednesday, March 3rd, 2021
Magnite Research Finds 63% of TV Viewers in the EU5 Watch Ad-Supported Streaming
- Magnite’s “CTV: The Future Forward” study explores the evolving consumer attitudes and consumption trends around connected TV across Europe
NEW YORK — Magnite (NASDAQ: MGNI), the world’s largest independent omnichannel sell-side advertising platform, released its “CTV: The Future Forward” report. The study of 10,500 consumers across the UK, France, Germany, Spain, and Italy, identifies how audiences are consuming TV and explores the opportunity for marketers seeking to connect with engaged audiences as the shift to CTV accelerates and consumer behavior evolves.
CTV is Mainstream
The results of the study show that there is widespread adoption of CTV streaming platforms across the EU5. Overall, 82% of EU5 respondents tune into CTV weekly. The UK leads in this metric, with nearly nine in ten (89%) of UK respondents reporting that they used a streaming service at least once a week and 61% watched daily. Additionally, 71% of EU5 viewers said they preferred streaming over broadcast TV.
Viewers Appreciate Ad-Supported Content
Weekly usage levels of ad-supported streaming nearly equal that of subscription services. In the EU5, weekly SVOD usage averages 68%, while AVOD viewing came in at 63%. In France, AVOD viewing (62%) actually surpasses that of SVOD (58%).
The study suggests there is more room for AVOD to grow. When asked if they minded watching an ad-supported service, 83% of EU5 respondents said they prefer to watch advertising in exchange for free or reduced cost subscriptions and 74% of SVOD users said they would switch to an ad-based tier of a paid service if it was available.
“The research findings confirm that streaming is increasingly the default form of TV for consumers across the EU5,” said Steve Wing, Head of EMEA at Magnite. “The strong preference for streaming over broadcast combined with consumers’ receptivity towards ad-supported models bodes well for both streaming publishers as well as advertisers. CTV advertising is still relatively nascent in this region but the data from our study strongly suggests a huge opportunity ahead.”
Additional key findings from the study include:
- CTV’s active-viewing environment provides greater resonance for brand advertisers. 72% of EU5 respondents said they were highly receptive to advertising. An equal number of respondents (72%) took some action (search, recall, purchase, advocacy) after seeing an ad on CTV.
- Across EU5 consumers, the current average monthly amount spent on subscription CTV services amounts to €28. On average, those surveyed said they would be willing to pay up to €36 a month for streaming services.
- While sensitivity around consumer privacy is foremost for publishers, viewers want advertising that is relevant for them. When asked about the types of ads that are acceptable, 74% of EU5 respondents prefer contextual advertising that is related to the show they are watching, 71% will accept advertising related to their hobbies and interests, and 57% are okay with advertising related to online search.
Daniel Knapp, Chief Economist, IAB Europe, comments: “Magnite’s research into the rise of connected TV adoption across Europe is vital in educating advertisers on the opportunity to capture audiences’ attention where they’re consuming content. Proof points like these will equip advertisers with actionable insights and the confidence to incorporate CTV into media plans. It’s important to understand the rapid rise in each region, but also acknowledge the nuances in viewing habits, to reach viewers with relevant and targeted advertising in a preferred viewing environment.”