Some good news for the home entertainment industry – depending upon which segment of the industry you’re part of: Consumers spent nearly $18.3 billion in 2016, a 2% increase from 2015.
Programmatic ad spending in the U.S. grew more than 105% in 2016, with advertisers spending $6.18 billion for digital video ads purchased programmatically, up from $3 billion in 2015, a number that is expected to grow to more than $10.65 billion in 2018.
This is the final installment in a series looking at the industry trends that came out of IBC. Part 1 looked at how over-the-top services have been embraced by virtually all players in the industry and the growing dominance of offering software as a service.
After seeing double-digit growth rates for the past three years and a compound annual growth rate of nearly 8.6% between 2010 and 2015, media rights for North American sporting events for TV and streaming are forecast to moderate slightly through 2020 to a CAGR of 5.5%, a new study says.
Sweden has the highest percentage of consumers using ad-blocking technology, according to a new report that says ad blocking generally is widespread in the Nordics.
In Sweden, ad blocking on computers among users aged 15-74 approaches 40%, said the report from Mediavision, while in Finland, Denmark and Norway it’s closer to 30%.
Ads, or, no ads? SVOD service Hulu is discovering there’s a demand – albeit so far, a demand of uncertain size -- for the ad-free model it introduced earlier this month, despite the higher price tag it carries.
Late last week, rumors emerged that Hulu was considering adding an ad-free option to its streaming service.
The Wall Street Journal, citing unnamed sources, said Hulu could debut the service later this fall, with a price of between $12 and $14 per month, more than Netflix, Amazon Prime Instant Video, Showtime and in line with HBO Now.
Hulu already operates a paid tier (originally known as Hulu Plus, an $8 a month service) and a free, Basic Hulu.
Change continues to roil the U.S. advertising industry as a new report from Kantar Media this week said ad expenditures among the Top 10 ad-spending companies was down nearly 11% in the first quarter and that ad spend among all companies was down 4% to $37.4 billion.
That retreat mirrors spending in all of 2014, when the 10 largest advertisers in the U.S. cut their ad spend 4% to $153.3 billion from nearly $160 billion.
The number of SVOD households in the U.S. continues to climb, with 57% of all broadband connected HH, but sharing services also has increased, cutting into potential revenues for the service provider.
And, according to research from Parks Associates, the amount of SVOD video being consumed by subscribers compared to what they're paying for it is a bargain.