Canadians continue the march away from cable. According to our Video-on-Demand Evolution 2024 study, which analysed the TV viewing habits of more than 2,000 Canadians, 11% of TV streamers had cancelled their cable or satellite subscription in the last year, with almost double that – 20% – planning to cancel or downgrade their cable or satellite packages in the next 12 months.
Meanwhile, the proportion of those who have never watched cable – the so-called cable nevers – continues to rise (34% in 2023 vs. 29% in 2022).
For both live TV and video on demand, streaming is now an integral part of the television viewing experience in most households – 59% watch AVOD (Advertising-based Video-on-Demand), BVOD (Broadcaster Video-on-Demand) or an ad-supported SVOD (Subscription Video-on-Demand, e.g., Netflix Basic) in an average month. But why is this good news for advertisers?
Streaming audiences are more likely to take action after seeing an ad
More than two-thirds (70%) of TV streamers have responded directly to a TV ad. In fact, the Video-on-Demand Evolution 2024 study found that TV streamers are over 30% more likely to take action after seeing a TV ad than non-streamers. This makes intuitive sense: streamers are a more engaged audience than their linear-viewing counterparts – they’ve made a selection, they’re settling in to watch a new favourite – this is not passive viewing.
The actions TV streamers take are measurable, and promising: more than a third (38%) have visited a brand’s website or app after seeing an ad, making it the most common action, while 36% have searched online for more information about a brand or product. A quarter (25%) have added items to an ecommerce basket, meanwhile 11% have bought an item immediately while watching the related ad on TV.
With Connected TVs, some TV streamers are able to order or buy directly through the TV using their remote – 7% of streamers told us they had one this in the past year.
On Roku, there are various options of ‘action ads’ that brands can utilise to bring consumers down the purchase funnel quicker. Roku’s ‘OK-to-Email’ ad is one such example, which is a branded pop-up offer which overlays over the brand’s video ad. Once consumers click OK on their remote, the consumer receives an email offer from the brand. This level of interactivity has not been possible on traditional linear TV: another reason why streamers are taking more measurable actions.
TV streaming behaviour, perhaps unsurprisingly, appears to be strongly influenced by age. Our study found that the younger you are, the less likely you are to watch cable, and that streamers skew younger than non-streamers. A little over half (56%) of all streamers watched cable TV in an average month, compared with just over a third (35%) of those under the age of 35.
It's worth noting that younger streamers (76% of under 35s) are more likely than their more mature counterparts to interact with TV ads (67% of those aged 55+). With this cohort’s increasing spending power, brands must consider TV streaming in their media plans.
Source: Roku VOD Evolution 2024. Canadian adult internet users. Base: All respondents/ all streamers/ non-streamers (2,036 / 1,535/ 501).