When it comes to streaming, for many Canadians, it appears one device beats all the rest: the TV.
According to our Video-on-Demand Evolution 2024 report, streamers use on average 2.5 different devices to stream content. However, more than two-thirds (69%) of streamers prefer the viewing experience on their living room TVs. Even 67% of those using a Smart TV and a PC or mobile still prefer the living room TV.
This preference for the larger screen is also reflected in the time Canadians spend watching it: A 2023 study by Ipsos and thinkTV identified TV as the favourite media choice among Canadians, finding that on average, 63% of time spent watching TV or movies is on the TV, with smartphones a distant second (14%).
Meanwhile, the use of Smart TVs is climbing. As of 2023, 78% of streamers are using the device, up from 75% in 2022, making it the most popular way to access TV streaming. Our research also found that as streaming on TV rises, streaming on other devices, such as PCs and smartphones, is falling.
It’s clear that Canadian TV streamers prefer to watch on a larger screen and are enjoying the interactive features offered by Smart TVs. This is great news for advertisers, for the following reasons.
Streaming on the big screen in the living room, rather than on another device, leaves hands free to look things up on a phone, or scan a QR code on the screen, without stopping the show. Meanwhile, Smart TVs let streamers shop directly through the TV. This makes action in response to an ad – seeking more information, adding an item to a cart – so much easier.
Our study found that TV streamers are on average 30% more likely than non-streamers to have responded to a TV ad, and in many different ways. We asked what actions streamers had taken while watching TV: 38% had visited a brand’s website (compared with 27% of non-streamers), 36% had searched more information while watching (vs. 28%) and 17% had shopped from the TV via a QR code (vs. just 7% of non-streamers). These figures are even higher for Roku streamers, see below.
Some streamers are now also shopping through the TV with their remote. – read more about shoppable ads on Roku here.
On the whole, seven out of 10 TV streamers in Canada have taken action after seeing ads on TV, according to our Video-on-Demand Evolution 2024 study.
According to the Ipsos and thinkTV study, TV advertising is also the most compelling form of advertising for Canadians. TV ads are the most likely to stick in the memory, make viewers want to buy the product, and draw viewers’ attention to a product or brand they haven’t heard of. When Canadians were asked which medium they are most likely to find advertising that they trust, TV came a strong first, with 30% citing it.
Advertising on a TV screen is also more effective. Research cited by the Video Advertising Bureau has found that exposure to an ad on a TV screen drives 44% more sales compared to when an ad is not seen at all. It noted that TV ads have greater coverage (the percentage of the screen covered by the ad) and visibility (how much of the ad appears on the screen at any time) – the ad takes up 100% of the pixels all of the time.
TV ads are more trusted, can make a greater impression and are more actionable. With streaming platforms and Smart TV, advertisers can get all the power of TV advertising with the precision of digital. This means personalisation capabilities, so that advertisers reach their key audiences with the most appropriate messaging, and measurement, making it possible to optimise content.
Many streamers prefer ads that reflect the tone of content they’re seen with, and are more likely to pay attention to ads that match their mood, so consider the emotional state of the audience when thinking about ad offerings.
Our previous Video-on-Demand Evolution study found that TV is the screen of choice for meeting streamers’ specific needs. Smart TV met the most needs of streamers with escape (cited by 70% of streamers), family social viewing time (65%), traditions and rituals (64%), a mood changer (60%), and social currency (59%). Advertisers should consider these need states when creating ad content.
Roku offers new ways for the streamer to interact with the ads on screen, while our direct relationships with streamers mean we understand each streamer’s behaviours and preferences. This personalised approach combined with streamers’ greater responsiveness to TV ads can amount to exciting new opportunities in 2024.
Source: Roku VOD Evolution 2024. Canadian adult internet users. Base: All respondents/ all streamers/ non-streamers (2,036 / 1,535/ 501).