蘑菇AV

Streamers, pay TV sue to block click-to-cancel: The FTC鈥檚 attempt to standardize digital cancellations may have an uphill battle.

In 2024, the combined viewership of free ad-supported TV (FAST) platforms and ad-supported subscription over-the-top tiers鈥攊n other words, the total AVOD audience鈥攚ill exceed 180 million. That figure will tower over pay TV鈥檚 total 111.5 million viewers. The pace of change will be jarring for advertisers who still plan based on linear TV spots.

UK consumers have a voracious appetite for digital video content, but the cost-of-living crisis is boosting ad-supported options, particularly broadcaster video-on-demand services. Netflix鈥檚 pivot to an ad tier, meanwhile, may have legs.

I would suggest that we scrap them all together and we just refer to them entirely as ASS, ad supported streaming, whether it's free or paid. Because the advertiser and the user doesn't really care about those distinctions as much as long as they know if they're getting ads or not. It's all ASS, ad supported streaming. Jeremy Goldman:. You know what?

We're going to start with news of Disney's ad supported tier coming to Canada and Europe. Earlier this month, Disney announced that following successful rollout in the US, its ad supported tier will be made available in select markets across Europe and in Canada from November the 1st this year.

Discovery could be among those fielding offers as the two companies toy with the idea of their own free, ad-supported services. Why did Fox say no? With offers at nearly four times what Fox paid for Tubi, agreeing to a deal would net a tidy profit for Fox and spare it from having to manage a streaming service. But Fox clearly sees more opportunity in sticking with Tubi.

56% of US adults think ad breaks on free-ad supported streaming TV (FAST) services should be under 30 seconds, according to an August 2023 ViewNexa survey.

The majority (65%) of US consumers say that two or three ad breaks per 1 hour of free ad-supported streaming TV (FAST) are acceptable, according to a ViewNexa survey.

Time spent with connected TV (CTV) by US adults will be within 1 hour of linear next year, at 2 hours and 3 minutes (2:03) and 2:48 per day, respectively, according to our June forecast. CTV usage is outpacing ad spend on most platforms, but spend is growing rapidly as Netflix, Disney+, Max, and Amazon Prime Video push more viewers toward ad-supported tiers. As the CTV ad floodgates open, advertisers need to make sure they鈥檙e maximizing ad value by thinking of CTV differently, experts suggested at last week鈥檚 Advertising Week New York.

Building up: Amazon announced that ads were coming to Prime Video last month, moving into ad-supported streaming at a time when most major competitors had already begun establishing a foothold. That leaves Amazon behind in the race to attract spending, but its broader ad ecosystem gives it a unique edge. The company鈥檚 larger requests were apparently not received well by some advertisers.

Price hikes for ad-free tiers give streamers an opportunity to onboard consumers to their ad-supported tiers, which generate higher revenues. Streamers are also looking for lower-cost onboarding options: Netflix and Max are offering a bundle via Verizon that offers even cheaper access to both service鈥檚 ad-supported tiers.

And streaming services that offer both ad-supported and ad-free tiers will appeal to more consumers. While the idea of ad-supported streaming might have seemed unfavorable at first, the research suggests that consumers are more flexible than initially thought. The streaming landscape is evolving rapidly, and the rise of ad-supported streaming platforms is a testament to this.

It鈥檚 been a year since Netflix launched its 鈥淏asic With Ads鈥� tier, joining an increasingly cluttered landscape of ad-supported streaming platforms. Netflix leveraged a year of solid connected TV (CTV) ad spend growth, cost-conscious consumers, and Hollywood strikes that emphasized the value of a deep existing catalog to grow its ad supported plan to 15 million global monthly active users, according to a company post. Here鈥檚 a look at what鈥檚 new, what鈥檚 working, and what needs more attention at Netflix.

Netflix reports 15% revenue growth: Its ad-supported tier and live sports drove success despite slowing subscriber gains.

The majority of subscription video-on-demand sign-ups on Peacock and Hulu are ad-supported, according to Antenna, accounting for 69% and 58% of overall subscription plans, respectively.

Netflix launched ad-supported plans across 12 countries in November 2022. Subscribers in Latin America reported being reluctant to downgrade their current plan at the time, but Netflix is banking on attracting new customers, not catering to its current ones.

On today's episode, we discuss why Disney+ lost around 3 million subscribers, how much its new ad-supported tier can move the needle, and whether The Walt Disney Co. is more likely to buy the rest of鈥攐r sell鈥擧ulu. "In Other News," we talk about how connected TV (CTV) viewers feel about "enhanced" ad formats and what a new category of video called "accompanying in-stream" is all about. Tune in to the discussion with our analyst Paul Verna.

Linear TV is no longer a growth industry, so marketers should start preparing for a future where more and more of their TV-style spots go to OTT platforms. CTV is picking up the slack, resulting in a combined market that will grow from 2024 through 2027.

OTT digital video services are now popular everywhere, although fee-based sub OTT is not yet mainstream in every country. The outlook is positive for both free and paid OTT around the world, but growth will slow significantly.

Ad-supported CTV platform audiences are growing, but most still don鈥檛 offer the same scale as network TV. Proponents of TV advertising point to scale as why they鈥檙e coming back, but eventually, this dynamic will change as streaming services continue to grow鈥攁nd as YouTube continues to muscle into the CTV space. Major streaming services like Netflix and Disney+ only just introduced ad tiers.

Our annual Trends to Watch report for Canada highlights expected developments in the country鈥檚 media and advertising market for 2025. Next year, we anticipate a shift in media buying will favor domestic publishers and retail media channels, while large platforms will contend with the new Digital Services Tax.

Netflix鈥檚 advertising strategy is evolving as streaming services raise subscription prices to sway users to ad-supported tiers.

CTV broadly, and subscription over-the-top (sub OTT) specifically, are doing extremely well, but life is tough for individual players because the competition is so fierce. Dozens of service providers will vie for a slice of this year鈥檚 $26.92 billion in spending.

"Specifically those who are choosing the ad-supported tier, the cheaper option, don't seem to be watching as much Netflix as the older traditional members.". FAST services emerge as video's growth engine. Free ad-supported streaming TV (FAST) services represent the fastest-growing video format, with platforms like Tubi, Roku Channel, and Samsung TV Plus gaining significant traction.

As more media companies shift toward streaming, WBD will need to continue investing in ad-supported models like Max to maintain profitability.