“Linear TV may be declining but video consumption is as strong as ever,” said David Cohen, president, North America, media agency, Magna. “There are no ‘unreachables’… rather there are device-agnostic streamers with deep pockets who watch just as much video as linear TV viewers and are receptive to relevant, targeted video ads.”
Magna has been relatively aggressive about moving its clients marketing dollars from traditional TV to online video platforms including YouTube.
One of the report’s key findings is that viewers no longer differentiate between traditional linear networks and online video. For the most part, consumers consider almost any form of video to be television. Even with short-form video, 71% of those surveyed believed that short-form was television.
The study segmented consumers into non-linear viewers (15%), light linear (29%), moderate linear (28%) and heavy linear viewers (28%). The light linear viewers represented the highest proportion of households with incomes of $100,000 or more.
Price showed up as a top reason for ditching linear TV. But Kara Manatt, SVP, for Magna Global, added that “when consumers give you more personal feedback, it’s not just expense being the issue. It’s expense for what you get. It’s really a value exchange.”
Only 11% cited the lack of commercials as the reason why they watched Netflix. Consumers said they liked YouTube because “there’s always something new” on the platform and “I know I’ll find the video I’m looking for.”
“While digital video can be effective for all TV segments, those opting out of linear TV have unique ad preference, such as shorter ads,” the report said.”
Source: Lafayette, J. (2019, January 25). Magna study: digital video reaches non-TV viewers. Broadcasting+cable.