The Streaming Revolution: A Marketer's Guide to the Changing Landscape
Canadians are changing the way they are consuming media, and it’s up to marketers to stay on the ball to ensure their products and services are being shared to the right audience on the right devices. Roku recently released its Video-on-Demand Evolution 2024 study which details the increasing shift of Canadian consumers from cable TV to streaming services, the unique opportunities advertisers have with streaming services such as Roku, and predictions about streaming in years to come.
We talked with Christina Summers, Roku Country Manager (Canada), to get more on her thoughts and advice for advertisers looking to learn more about the opportunities with streaming.
"Streaming is mainstream."
“Consumers' streaming habits are changing, what the study showed us is that 75% of Canadian Internet users are now TV streamers." With three-quarters of Canadian internet users now embracing TV streaming, it's evident that streaming has become an integral part of our entertainment landscape.
"When it comes to a comparison from a TV streaming to a linear perspective, the study showed us that 24% of Canadians plan to cancel or downgrade their cable or satellite packages, which is up from 18% last year."
The numbers don't lie. An increasing number of Canadians are bidding farewell to traditional cable and satellite TV in favor of streaming services. The data from Roku’s latest study showcases a significant change in how people consume their favorite content. So, what does this mean for marketers and advertisers?
The Rise of Ad-Supported Streaming
When asked about the rise of ad-supported streaming and its popularity, Christina said that “for Canadian TV streamers, flexibility for type of entertainment and programming has always been paramount for [Roku]."
Ad-supported streaming is gaining ground, and for good reason. Viewers now appreciate the flexibility to choose from a wide range of content, supported by advertisements. This model offers a great opportunity for marketers to connect with their audience, as the numbers reveal:
A 59% increase in viewers watching ad-supported content in 2023 compared to 2022.
63% plan to watch ad-supported streaming in the year ahead.
"Who doesn't like free?"
As Christina aptly puts it, the appeal of free content in exchange for light advertising is a win-win for both viewers and advertisers. Marketers should take note of the growing acceptance of ad-supported streaming.
Interactive Advertising: A New Frontier
So what should advertisers know about services such as Roku?: “A lot of it for Roku is about choice."
The world of TV streaming opens a lot of doors when it comes to innovation in advertising. Streaming platforms, like Roku, offer unique ad formats and opportunities to engage viewers in a more interactive manner. These include video action ads with features such as interactive overlays, QR codes, and remote control engagement.
With these interactive ad formats, traditional advertising is transformed into a dynamic and engaging experience. This not only enhances branding but also drives consumers down the purchase funnel, offering new possibilities for marketers.
The Hesitancy and the Future
“Those of us who work within the TV streaming space would certainly say that the investment from marketers into TV streaming has not balanced with the shift of viewers into TV streaming."
The shift from traditional advertising to streaming is undeniable, but it's also a transition that's met with hesitancy by some. Marketers who have long relied on traditional advertising channels are gradually adapting to the new landscape. While some industries have been quicker to embrace streaming, it's an ongoing process, and the balance is yet to be achieved… Which makes it a great space for innovative markets to start exploring!
Conclusion: The Future of Streaming and Marketing
In short, the future of streaming TV and marketing are closely linked. The numbers show that streaming is becoming more popular, traditional TV is losing ground, and ad-supported content is on the rise. Streaming platforms are changing how advertisers connect with their audience through creative advertising techniques.
As Christina suggests, embracing streaming should be a part of every marketer's plan. The key lies in adapting to consumer behavior, offering engaging content, and taking advantage of the unique opportunities presented by streaming platforms. Read the whole study here and see for yourself why it may be in your brand’s best interest to explore streaming options such as Roku.
Written by: Mackenzie Bergman, Marketing News Canada
