Streaming TV Gains Ground in Europe, But Ad Intrusiveness Concerns Rise

Streaming television has become the dominant viewing method for many Europeans, with 85% of viewers now utilizing streaming plans that include advertising. However, a new study reveals growing concerns about the quality of the advertising experience, with viewers finding ads increasingly intrusive compared to traditional television.

European Viewers Embrace Streaming

A recent Voice of the Viewer study conducted by FreeWheel, a Comcast company, and Dynata, surveyed 4,000 adults across the UK, France, Germany, Italy, and Spain. The research indicates that 83% of viewers are satisfied with their streaming experience, with 73% citing access to desired programming as the primary driver of satisfaction. Value for money follows closely behind, at 63%.

The Rise of Ad-Supported Streaming

The study highlights a significant shift towards ad-supported streaming tiers. Nearly half (47%) of respondents exclusively watch streaming services with ads, even as 49% actively chose a plan with advertisements when signing up, demonstrating a willingness to trade ad exposure for lower subscription costs. This trend confirms that ad-supported streaming is now firmly embedded in the European viewing landscape.

Intrusive Ads: A Growing Concern

Despite the acceptance of ads within streaming, viewers are increasingly sensitive to their quality and placement. AVOD (Ad-supported Video on Demand) viewers are 10% more likely to find ads intrusive than those watching traditional TV. 39% of those who find ads disruptive report that they often appear at inopportune moments, such as interrupting dialogue.

Repetition and Relevance: Key Issues for Viewers

The study also points to issues with ad repetition and relevance. Over half of streaming viewers (55%) reported seeing the same ads repeatedly during a single session, indicating a need for improved frequency capping. 72% of viewers believe that the relevance of advertisements has not improved, or has even deteriorated, over the last five years, with over half expressing openness to the use of artificial intelligence (AI) in ad selection.

AI as a Potential Solution

Emmanuel Josserand, Senior Director, Brand, Agency, and Industry Relations at Comcast Advertising, suggests that AI-powered contextual advertising could address these concerns. “With AI, contextual advertising will make it possible to target viewers with much more relevant and varied messages, thus boosting the engagement and impact of brands,” he stated. “Publishers who master these technologies will be able to offer premium advertising experiences, meeting the requirements of advertisers and audiences more precisely.”

Content Discovery Remains a Challenge

A separate report from Comcast Advertising and FreeWheel, titled “Content Discovery in a Multiscreen TV World: Surfing and Scrolling in a Sea of Content,” reveals that content discovery remains a significant challenge for European viewers. The study found that two-thirds of European viewers spend over six minutes searching for content, and 46% express frustration with discovering new programs.

As streaming continues to evolve, balancing content availability, affordability, and a positive advertising experience will be crucial for maintaining viewer satisfaction and driving continued growth.