Consumers ‘unhappy’ with the way advertising is served across variety of streaming services
Consumers are unhappy with the ‘poor ad experience’ of streamed video content in Australia, according to new findings by Stable Research.
The research, commissioned by Australian-based Switch Media and of 1000 consumers of streamed video content in Australia, found almost 46 per cent of viewers would switch off as a result of poor ad serving. A further 28 per cent said they would only tolerate poor ad insertion if the show was something they were desperate to watch, while only 8 per cent would tolerate poor ad serving.
Switch Media co-founder and CEO, Christopher Stenhouse, said while streaming services are popular around the globe, the research shows consumers are unhappy with the way advertising is served across the variety of services on offer.
“Four in 10 respondents had advertising insertion as one of their major complaints of streaming services,” Stenhouse said in a statement. “The only issue that was cause for greater complaints was buffering.
“The dissatisfaction is something we believe is a universal problem particularly where client-side ad insertion is used. With this insertion method, the latency often results in an ad being served too late or too early. The research is clear; if consumers are frustrated by the way advertising is inserted, they will switch off and, as a result, broadcasters will be forgoing significant revenue.”
The research has also found ad insertion placement is costing Over the Top (OTT) publishers of streaming services massive revenue. Meanwhile, OTT streaming services offered up by Subscription and Advertising Video on Demand (SVOD and AVOD) mean companies risk significant revenue seepage as a result of a poor advertising experience, the research suggested.
Other findings show only one-in-five consumers are opposed to advertising being shown on streamed services, with 43 per cent saying while they don’t like advertising, they tolerate it. Additionally, most consumers (61 per cent) preferred advertisers to play longer advertising as opposed to a number of shorter adverts.
Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu
Leaning into brand building is a key way IAG's NRMA and CGU businesses are getting through the COVID-19 pandemic, chief marketing officer, Brent Smart, says.
Disparate data sources, fragmented technology and a lack of funding has left many brands struggling in the battle for online customer attention amid a global pandemic. Now more than ever, brands need to focus on unlocking the value of their marketing technology.
For a while now, I have been following a fabulous design strategy and research colleague, Tatiana Toutikian, a speculative designer. This is someone specialising in calling out near future phenomena, what the various aspects of our future will be, and how the design we create will support it.
Online identity is a hot topic as more consumers are waking up to how their data is being used. So what does the marketing industry need to do to avoid a complete loss of public trust, in instances such as the COVID-19 tracing app?
Well done, team at Larsen. Fantastic story of how to continually invest in customer experience.
Adam Frank
A designer jewellery brand's take on customer relations
Great piece Katja. It will be fascinating to see how the shift in people's perception of value will affect design, products and services ...
Paul Scott
How to design for a speculative future - Customer Design - CMO Australia
Google collects as much data as it can about you. It would be foolish to believe Google cares about your privacy. I did cut off Google fr...
Phil Davis
ACCC launches fresh legal challenge against Google's consumer data practices for advertising
“This new logo has been noticed and it replaces a logo no one really knew existed so I’d say it’s abided by the ‘rule’ of brand equity - ...
Lawrence
Brand Australia misses the mark
IMHO a logo that needs to be explained really doesn't achieve it's purpose.I admit coming to the debate a little late, but has anyone els...
JV_at_lAttitude_in_Cairns
Brand Australia misses the mark