Video and Audio Ads Reach Media-Hungry Consumers

Generational Insights: How Are People Watching and Listening?

The study broke down the viewing habits of different generations. Millennials and Gen X devote most of their media time to streaming video. Gen Z, the generation spending the most time consuming media, favored social media slightly more than streaming.

Older groups, boomers and matures, had higher rates of watching TV and movies through traditional channels. However, boomers had over an hour dedicated to streaming.

The study also asked people about the devices they use. Smart TVs were dominant for TV and movies. Mobile devices took the lead for social scrolling and short-form videos.

This mix of devices creates fragmentation. The activity on phones doesn’t always match preferences on connected TVs. Recall that third-party cookies don’t translate here, which can lead to variances in ads served, impacting repetition and reach.

Consumers Are Subscribers, But Budgets Are Getting Tighter

Those surveyed had an average of four paid subscriptions. The overall spending on these has declined, with many opting for ad-supported tiers. This growth is substantial, with Netflix reporting 94 million subscribers on this plan.

The groups with the most growth of ad-supported are older, with matures, boomers and Gen X leading in that order.

The costs are still rising, even with ads supplementing the content. Many households and younger folks are feeling the pinch. Economic uncertainty, inflation and increased costs for groceries are limiting discretionary funding.

The Impact of the New Ad World: Social vs. Streaming

In those six hours of watching and listening, what really works to influence consumers? Much research has covered this over the years, and the results have varied. Overall, the performance of local advertising seems to be the best when you combine video and audio ads in a campaign.

This study revealed that social media ads influenced Gen Z and millennial purchasing decisions more than streaming video. This makes sense when you look at time spent on social versus streaming for Gen Z.

These groups also tend to put more stock into social proof and peer reviews, which are more apparent on socials versus a CTV/OTT ad.

The study also pointed to the targeting advantages of social. However, CTV/OTT has just as much potential because it’s programmatic. You can easily build an audience. Another weakness of social media advertising specific to local businesses is that it’s hard to make a significant impression with ads if the brand doesn’t already have an organic presence.

The report also highlights that younger generations feel more connected to social influencers than TV personalities. They also think the content is more relevant. These preferences present an opportunity to create these ties with streaming ads and do so with local content creators and even your own radio staff.

A cross-media campaign that uses social and streaming video and audio ads would amplify the message. It would allow your advertiser to expand their reach and pop up across content consumption.