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Streaming Ad Problems

Some ads play on streaming services even when the TV is off because of a lack of communication between TV sets and streaming devices. It causes an estimated waste of over $1 billion in ad dollars.

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New Research Insights on Viewers’ Behaviors and Attitudes 

  • L.A. MEDIA RESEARCH COUNCIL

A (virtual) event presented by the ARF’s LA Media Research Council took place on June 15. Titled ”New Research Insights on Viewer’s Behaviors and Attitudes” it featured four presentations focused on issues that the Council had identified as priorities: better data on viewers’ use of media and platforms, the growth of streaming and content discovery and promotion.

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  • Article

Fewer Ads on Streaming Platforms

Disney+ is joining other companies by announcing limited commercial loads on streaming services. They are even going a step further. Disney is taking a “less is more” approach to selling commercials on its Disney+ streaming service, planning about four minutes of commercials per hour on the ad-supported version of the platform. The company has also decided not to run any commercials during programming catering to pre-school children when the ad-supported version of the service launches later this year, Suzanne Vranica and Joe Flint report. Pre-schoolers who use their own profile to watch the ad-supported Disney+ won’t see any advertising no matter what they choose to stream, they said. “We’re never going to collect data on individual kids to target them,” said Rita Ferro, Disney’s President of Ad Sales and Partnerships. The prospect of ads arriving to Disney+ is exciting to marketers, partly because streaming services are one of the few places where advertisers can reach young people, who have largely abandoned traditional TV. Source: Suzanne Vranica, S. and Flint, J. (2022, May 17). Disney Vows to Show Very Few Commercials on Ad-Supported Disney+. The Wall Street Journal. Note: Only subscribers of The Wall Street Journal can read the full article.

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Is Streaming’s Rise Coming to an End?

While Wall Street is focused on Netflix’ subscriber decline, and some speculate that this indicates the end of streaming’s rise, new research from HUB finds that, while there are challenges, the shift to streaming has not slowed down. HUB says their new data shows that the average viewer now uses more than seven different TV sources – a major increase since last year.  Furthermore, in their 2022 “Best Bundle” study, a third (33%) said they intend to add a new subscription in the next six months. That was up from 21% last year. However, there is also an increase in viewers saying they intend to drop a subscription – it’s 30% now, up from 20% last year. This reflects the growing competition among services, SVOD, AVOD and FAST, for viewers’ time and leads Jon Giegengack, Hub Founder and Principal, to conclude: “Streaming continues to grow. But there are more companies than ever competing for their share. Hanging onto new viewers after the show they subscribed to watch is over will be providers’ most important challenge in the future.” Sources: HUB research: The State of Streaming Churn. HUB Intel.

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Pandemic Parallels

ARF members contributed to a new book, Transitioning Media in a Post COVID World, which highlights some surprising parallels between the current pandemic and the 1918-19 flu pandemic. The eBook was edited by Gali Einav (Reichman University, Israel, and Yeshiva University, NY). The chapter “The COVID-19 Pandemic and Consumer Media Behavior” was written by John Carey, Janet Schiff Gallent (both at Fordham University) and Horst Stipp (the ARF). One chapter analyzes the impact of the Covid-19 pandemic on media behavior in the United States considering earlier crises, such as the flu pandemic of 1918-19. Both in 1918 and 2021, media and news consumption increased, technology adoption was accelerated (radio development after 1919 and strong growth of streaming in 2021) and during both there were controversies about mask mandates and fake news. Source: Einav, G. (2022). Transitioning Media in a Post-COVID World: Digital Transformation, Immersive Technologies, and Consumer Behavior. . Springer. This is part of the book series: The Economics of Information, Communication, and Entertainment.

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The Exploding Complexity of Programming Research, and How to Measure It, When Content is King

Programming researchers are not getting the data they need to make informed decisions and Joan FitzGerald (Data ImpacX) uses streaming’s complex ecosystem to explain the conundrum facing programmers. Key insights into monetization and performance are not supported despite the inundation of new forms of data, leaving programmers without a comprehensive picture of their audience. Together with Michael McGuire at MSA, Joan outlined a methodology funnel that combined 1st, 2nd and 3rd party data to create equivalized metrics that, once leveraged, could meet critical programming research demands.

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Concurrent Track Panel Discussion: Innovation in Video Measurement

John Watts of CIMM moderated a panel examining presentations on innovations and changes in video measurement on day three of AUDIENCExSCIENCE 2022. The topics in this discussion included the decline in linear television, measuring new viewing habits, challenges created by the new viewing ecosystem and getting access to more personalized one-on-one data.

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