Digital Media Growth and Engagement Study Findings
According to Nielsen data, the share of time spent with ad-supported content on platforms (such as TV, radio, smartphones, video games and tablets) for adults in 2017 was 86% — a number that’s remained relatively flat over the past decade.
Broadcast TV Measurement Responds to Audience Decline
The appetite for on-demand video entertainment is healthy across all age groups, with the average person in the U.S. spending 30 to 50 minutes per day viewing content via OTT multimedia devices or DVR and VOD playback.
U.S. Broadcast TV Advertising Decline will Continue to Grow
In the first week of August a handful of media conglomerates — including Viacom, Disney and Discovery Communications — reported disappointing earnings, citing soft TV advertising revenue due to decreased viewership among millennials and young adults. A total of seven companies lost a total of over $35 billion of their market cap, per the Wall Street Journal.
U.S. Broadcast TV Homes Grow 10% Due to High-Price Pay-TV
According to Nielsen’s latest cross platform report the number of homes watching broadcast television (using an antenna) increased from 11.62 million in Q1 2014 to 12.02 million in Q2 2014. Over the last year, the number has increased by over 1 million. Most of that growth is coming from households that also have broadband. What’s the key market driver? Pay-TV has become a high-priced luxury purchase for many Americans.
Why U.S. TV Broadcasters Adopt Digital Marketing Channels
Nine in 10 TV stations now use digital tune-in advertising — that is, marketing and promotion of television programming to drive ratings. In fact, digital was the only channel U.S. broadcasters and syndicators were putting more tune-in dollars toward this year.
Top benefit of digital tune-in advertising was being able to reach viewers on their smartphones and tablets.
Examples of Ultra High Definition TV Broadcasts in Action
The French Open tennis tournament has seen the first 4K TV transmissions over a digital terrestrial television network using H.265 compression. Channel 4K in Japan has begun the first regular broadcasts of 4K Ultra HD programming.
The World Cup 2014 in Brazil will be a major test bed for UHDTV coverage, but only a few people will be able to see it in their homes.
Global Pay-TV Revenue Forecast has Declined to $260B by 2017
The global pay-TV market (cable and satellite TV, telco IPTV) totaled $221 billion in 2013, a 5% gain from a year ago. Pay-TV subscribers grew 5% in the second half of 2013 (2H13), to 756 million subscribers, with the strongest growth coming from the telco IPTV segment.
“As a result of increasing competition from OTT players and the service providers themselves using broadband video as a lower-priced offering, we believe overall video services ARPU and revenue growth will be constrained and, accordingly, have reduced our 2017 pay-TV revenue forecast by 35% globally, from $401 billion to just under $260 billion,” said Jeff Heynen.
The Broadcast Radio Industry Can’t Stop their Ongoing Decline
Forty-four percent of online radio listeners say their online listening comes mostly at the expense of their FM/AM listening. Seventy-five percent of people age 12 to 24 listen to online radio monthly, and almost two-thirds of them listen weekly.
Pandora has more than three times the audience of all radio stations owned by Clear Channel, CBS, Cumulus, Entercom and the next six broadcasting companies combined.
Live TV is Still Very Popular with Senior Citizens around the Globe
Most (86%) global respondents who watch TV indicate they usually watch TV programming “live”, although other popular modes of watching are catching on like streaming or downloading from a computer (27%), streaming from the internet to TV (16%), using a DVR or other recording device attached to a TV (16%), and on mobile device (11%).
The findings reflect a new poll of 15,551 adults in 20 countries conducted by Ipsos OTX.
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