Marketers are shifting investment strategies. Global digital advertising impressions on mobile (+32%) and over-the-top (+182%) devices increased significantly in first-quarter 2020 versus first-quarter 2019 and computer impressions saw a -9% decrease.
Of U.S. households that have a live streaming vMVPD service, 44% switched directly from a traditional pay-TV service, and 26% also have a traditional service. Plus, 18% switched from another vMVPD service, 12% were non-subscribers to any type of service.
“The virtual services, which rely on unmanaged broadband delivery, added more than 1.8 million subscriptions in 2019. Though a bright spot, it did not overcome the long shadow of cord-cutting that saw a reduction to combined traditional and virtual subscriptions of more than 4.5 million in 2019.”
via S&P Global
“43% of consumers in the 11 countries surveyed now pay for SVOD services as opposed to 36% who live in households which pay for pay-TV. Only Canada, Sweden and the Netherlands still have pay-TV penetration at a higher rate than SVOD.”
U.S. multi-channel defections ballooned in the third quarter, amplified by tighter promotions at a time when consumers need little additional motivation to seek OTT alternatives, according to the latest market study by Kagan, a TMT research group within S&P Global Market Intelligence.
U.S. advertisers will spend almost $7 billion this year on connected TV ads. Connected TV is growing rapidly as advertisers look to target audiences watching long-form, premium digital content on their living room screens.
The largest pay-TV providers in the U.S. — representing about 93% of the market — lost about 1,530,000 net video subscribers in 2Q 2019, compared to a pro forma net loss of about 420,000 subscribers in 2Q 2018. The future outlook is equally gloomy.
Advertising expenditure attributed to OTT TV episodes and movies will more than double between 2018 and 2024 to reach $56 billion across 138 countries. Online TV and video ads have been considerably boosted by the rapid growth in mobile advertising.
via Digital TV
“The days of overpriced suspect hotdogs and rioting stadiums are far from over. Sports, despite their inability to retain cord-cutting TV viewers, remain an immovable part of the attention economy.”
via MIDiA Research