Recent research undertaken by advertising specialists YuMe and Frank N. Magid Associates has revealed the level of penetration that connected TV sets have seen in recent times along with how advertisers on the medium are perceived, as the industries seemingly both become much more respected in the USA.
The study from the pair (of a group including 736 connected TV owners) has found that 30% of households in the country have TV sets that can access the Internet, with the owners interviewed noting that they do not have a problem with the ‘smart’ adverts featured on such services, while 90% admit to taking notice of them (and 19% buying the featured product as a result).
The figures include all sets which are connected either on their own hardware of from an external device connected to the TV. Other findings in the advertising study included that compared to a more responsive look at ad-supported TV content, viewers of movies preferred to do so on a subscription/pay-per-view service such as Netflix (the most popular smart TV app on 52% of all users) as opposed to the free but ad-supported Hulu.
YuMe (who commissioned Frank N. Magid Associates to undertake the survey) summarised their findings in the fields of connected TV ownership and advertising potential through their ‘senior director of client strategy’ Travis Hockersmith, who said: “The basis for the study was that connected TV has become a hot topic in industry but like any nascent medium it is difficult to find baseline information that would help advertisers make informed decisions. It reminds me very much of the early days of the internet, when users weren’t yet bombarded with ads and engagement and ad recall were much higher. For TV length content, they would rather see ads than pay for the content. [However] there was not a lot of evidence of cord cutting.”
Also noted in the survey was the devices used to connect through their TV sets, as 77% were hooked up to a games console, with 34% through a Blu-ray player, 28% on a purpose-made smart TV, and 25% through a set-top-box, with many of those surveyed obviously going by more than one of those methods. Locations of the connected TV sets varied under a similar means, as 52% claiming to be connected via the living room, beating out the bedroom (47%) and the family room (29%).
With the use of smart TV sets growing all the time, will the mentioned effects of ‘low popularity, high engagement’ for online adverts begin to wear thin, or have YuMe uncovered a means of advertising that could be the most effective of all methods if applied correctly?
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