Let these key figures guide your next TV advertising decision
The growth of streaming services has been steadily changing the way consumers access video entertainment for more than a decade , but — aside from a few new efforts here and there — the major players stayed largely the same. A state of homeostasis was achieved as viewers stuck with the subscription-based video demand services they were used to. But the steady background rumble of new contenders has grown into a roar, and the latest streaming services statistics prove that what had formerly become well-trodden ground is now expanding into new territories.
With increasingly popular choices such as ad-supported video giving consumers more options than ever before, now is the perfect time to re-evaluate your brand’s place in the market. This roundup of recent streaming statistics from across the industry will help you get started.
Want to dig even deeper into OTT, CTV, and linear TV advertising? Check out The Big List of TV Viewership Statistics [Updated for 2023].
Nearly 9 in 10 U.S. households now use video streaming services, and Americans are projected to contribute just under $40 billion to video streaming revenue this year. Those are impressive numbers, but the ubiquity of streaming is bringing new challenges, especially for digital-first generations; the churn rate — the proportion of people who cancel a service, or who add and cancel soon after — is over 50% for both Millennials and Gen Z.
While streaming services make it as easy as possible to stay subscribed in perpetuity, many younger users capitalize on free trials or brief subscriptions to watch the content they want then cancel. Speaking of subscriptions, Netflix remains the most-subscribed streaming service in the US, with a penetration rate just south of 8 in 10 potential users, while Disney+ has its sights firmly set on cracking the top 3. Since Disney’s in-house streaming service launched in 2020, it’s already grown by more than 100 million subscribers.
The most remarkable growth has come outside the realm of purely subscription-based services. Ad-supported video-on-demand services now represent the fastest-growing category in streaming. Meanwhile, the competition for most popular ad-supported streaming TV service in the US and Canada has never been fiercer, with The Roku Channel, Tubi, and Peacock making up the top 3, with just a 2.1% difference between the top and bottom.
More and more TV viewers choosing ad-supported streaming TV mean there’s never been a better time to bring your advertising to the medium. CTV growth marketing can put your message in front of more engaged audiences, complete with accurate targeting, increased reach, and detailed measurements without privacy concerns. If you’d like to learn more, download our CTV Advertising Playbook.
Ad-supported streaming services are surging in popularity, so there’s never been a better time to bring your brand to CTV. But your choice of advertising platform matters. At tvScientific, we’re proud to have created the most sophisticated performance advertising platform for CTV, built on automated and optimized processes that make TV advertising both accessible and measurable for brands of all sizes. Set up a demo today to see how we can start driving better ROAS for your brand.