Research |
Report : 68 % UK prefer AVoD over SVoD
LG Ad Solutions has released
the findings of its 2023
streaming report The Big
Shift : United Kingdom Wave
II , which found that UK
consumers are increasingly
shifting away from linear TV ,
with 25 % of those surveyed
saying they are watching less
linear television than a year
ago . In its place , ad-supported
streaming services are growing
in popularity , with 68 % of
UK consumers preferring to
stream free content rather than
pay for a subscription . This is
8 % more than US consumers .
“ Nearly all UK households
are now reachable via
CTV , and with a consumer
preference for ad-supported
content , marketers need to
ensure that advertising on
free ad-supported content
is part of their media mix ,”
said Ed Wale , VP Europe at
LG Ad Solutions . “ Our data
shows that after seeing a
CTV ad , UK TV viewers are
more likely to search online ,
visit a website and talk about
the ad or product than US
viewers . It ’ s clear that CTV is a
performance channel and gives
marketers the chance to reach
and interact with an engaged
audience .”
The study , which follows
LG Ad Solutions ’ first The Big
Shift : United Kingdom report
in 2022 , surveyed more than
800 UK consumers in August
2023 to determine consumer
perceptions and behaviours
related to CTV . The study also
found :
• CTV is now the top
choice for watching live
TV : Among UK viewers ,
Smart TV applications
are the leading choice for
watching live TV , with 42 %
preferring this method .
Availability of live sports
is a driving force with
53 % of UK TV viewers
watching sports content via
streaming .
• Consumers are cutting
down on costs : More than
one in three UK TV viewers
are concerned about TV
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costs , with 36 % reporting
that they have cancelled a
streaming service because
of economic concerns .
Although 86 % of UK
consumers pay for one or
more subscription services ,
55 % are willing to cancel a
subscription after watching
the desired content .
• Consumers are choosing
ads over subscriptions :
20 % of UK TV viewers
expect to remove a
subscription streaming
service in the next 12
months , and further , 13 %
will add a free ad-supported
streaming service .
• TV homepages are
important for content
discovery : In the UK , the
top ranked recommendation
source for content is
the homepage of the
TV screen ( 53 %), above
recommendations from
friends and family ( 43 %).
• UK TV viewers are
multitasking : 91 % multitask
with a mobile device or
laptop while watching TV ,
with 64 % doing so ‘ always ’
or ‘ often ’. Their secondscreen
activities include :
messaging ( 54 %), shopping
( 35 %) and gaming ( 30 %).
Research : W Europe SVoD subs to top N America in 2024
The latest research from
Ampere Analysis shows that the
number of households taking
at least one subscription OTT
service in Western Europe is set
to surpass North America in
2024 , with the UK and Germany
driving much of this growth .
North America ( USA plus
Canada ) will fall to the world ’ s
third-largest geographic region
for streaming homes after Asia ,
and now Western Europe .
With countries outside of
North America forecast to drive
streaming growth , the region
will also no longer account
for the majority of streaming
revenue , falling below 50 % of
global revenue in 2024 .
The implications for content
investment are significant .
Global streamers have
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been increasingly targeting international markets for production to satisfy the demands of audiences outside the US and bolster further growth in regions with the most potential for new customer acquisition . Already only 43 % of Netflix ’ s upcoming series are being made in the USA and other streamers are following suit . Amazon Prime and Disney + also now make fewer than 50 % of their upcoming shows in the USA and Paramount + is rapidly heading the same way .
With Asia holding the crown as the fastest-growing and largest region for streaming , it is likely to see the biggest increase in focus for content investment with a knock-on effect for viewers who will see more and more Asian-origin content on their streaming platforms . Western Europe , too , will become increasingly influential as a source of content on streaming as , moving forward , it is set to remain the second strongest region for streaming customers .
“ Streaming saturation in North America is the primary driver for reduced growth ,” advises Guy Bisson , executive director at Ampere Analysis . “ Other world regions still have headroom for new customers , both in terms of customers entirely new to streaming
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and in the number of services
taken in each home . North
America also losing its place as
the largest revenue generating
region can only accelerate the
existing trend for focusing
content investment on key
growth markets having longterm
implications for the US
production sectors and for
inward investment into Asia
and Europe .”
Survey : Age-driven streaming cancel culture in UK
It ’ s no secret that age plays a
huge role in how subscribers
react to changes . The younger
demographic , particularly
those between 18-24 , showed
a willingness to cancel at a
rate of 75.68 % for certain
streaming services according to
a survey conducted by Trusted
Reviews . As we go up the age
ladder , the willingness to drop
subscriptions due to ads or
price hikes only grows . In fact ,
a huge 91.82 % of those aged
65 and above are digging their
heels in , saying no to both .
Paramount + and Apple
TV + have notably higher
cancellation rates of 84 % and
72 %, respectively , suggesting
that they may need to focus on
user retention strategies and
content offerings to reduce
churn .
The survey also found that
82.69 % of users , regardless of
age , are not willing to cough
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