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Research

(Source: Roku and Magna’s “Beyond the :30 on Streaming TV” Report)

➢ 94% of respondents said they would avoid TV ads less often if there were changes in the types or amount of ads

➢ Brands should focus on providing more entertainment in ads, said 60% of respondents. Only 42% said they would avoid TV ads less often if there were fewer ads overall.

➢ Different ad formats, including themed vignettes and branded short-form content series hidden within films on ad-supported tiers, created more desire to learn about associated brands.

Up Ahead

January 20: Cablefax 100 Entry Deadline

January 24-26: Content Americas, Miami

February 7: Regional Fiber Connect; Raleigh, NC

February 28-March 3: ACA Connects Summit; DC

March 13-16: Satellite 2023; DC

Quotable

“We would estimate… roughly half of [Hulu’s] membership is on the ad tier. It’s a multibillion-dollar business for them already, and that’s a domestic business, U.S. only. So lower reach, lower engagement than us… But I just want to emphasize it’s a multiyear path, so we’re not going to be larger than Hulu in year one. But hopefully, over the next several years, we can be at least as large… We wouldn’t get into a business like this if we didn’t believe it could be bigger than at least 10% of our revenue and hopefully much more over time in that mix as we grow.”

– Netflix CFO Spencer Neumann on the company’s 4Q22 earnings call comparing the long-term goals for its ad-supported tier to Hulu’s performance

The Daily

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