A majority of consumers say they would rather watch ad-supported online TV (in industry jargon known as ad-supported video-on-demand or AVOD) instead of paying for it.
Hub Entertainment Research found that 53% of consumers surveyed preferred free TV over pay models, even if it means viewing commercials. However, 52% skip ads “most” of the time and 56% “every time” on video-on-demand and online platforms when the fast-forward function is available.
When fast-forward is disabled, 45% described it as a “major frustration.”
Hub reported, “What consumers seem to be saying is that ad supported TV is still an appealing pay model, but the way ads are incorporated into online TV disrupt the experience and make alternative platforms more appealing.”
Added Peter Fondulas, principal at Hub: “Conventional wisdom says that consumers simply don’t like ads on TV. But what our study suggests is that they don’t like the way ads are delivered on TV… “Consumers say they’d welcome having ads more targeted to their interests and product needs.”
Hub’s “2016: TV and Advertising” study was conducted among 1,206 US consumers with broadband, who watch at least five hours of TV per week. You can read more at Hub Entertainment Research.
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