Online video users keen on cutting the cord and skipping ads
| 21 June 2014
In what my be an alarming find for the pay-TV industry, an Adroit Digital survey has revealed that nearly two-thirds of multiscreen users would cut the cable cord and an inherent tendency to skip ads.
The study from the digital media solutions provider for omni-channel marketers attempted to investigate how consumers interact with online video content and advertising and divine evolving preferences for online video and advertising content.
Fundamentally the Online Video -- Look Who's Watching Now report found a significant appetite for and reliance on online and streamed video content. Nearly one in three (28%) of respondents are consuming more than 15 hours of streaming video content a week through gaming consoles or online TV devices. Those aged 35–44 are viewing the most online or streamed content with a third watching 15 hours or more per week. Moreover, 63% of respondents said they would cancel their cable subscription if an online provider could meet all of their broadcast TV needs.
Over two-thirds of those surveyed watch video content via YouTube, 51% consume live television broadcasts and 49% view content through Netflix. Interestingly, women watch content on Netflix more often than men (56% vs. 43%) and DVRs more often than men (32% vs. 28%).
Yet even as service providers figure out evolving business models for online video, the survey found that 56% of respondents said they will skip an online video ad most of the time while nearly a quarter (24%) said it depends on the ad and just a fifth said they usually do not skip the ad. Adults aged 25-34 were least likely to skip online video ads most of the time (24%). Respondents were split on behaviour while watching a 30-minute recorded or on-demand show in its entirety: 51% will watch all of the ads, whereas 49% will skip them.
In terms of in which types of content viewers were likely to respond to ads, health and fitness came out top with 35% of the sample followed by sports and outdoors and news and current events both of which cited by a third of the sample.
"Just a few years ago, content was relegated to specific devices within your home. Now, those lines have completely blurred and consumers can watch what they want, where they want, and when they want it," said Glenn Humble, Adroit Digital's director of marketing and communications and the author of the report. "This research shows that 75% of households frequently have at least two viewers watching different content on different devices simultaneously. This multi-screen world will continue to be a challenge for advertisers as they break new ground and test novel technologies and measurement practices, but it's the future. Consumers are hungry for online video content and, much like 'regular' TV content, they're growing accustomed to seeing advertisements on all of their screens."