A Third of All SVOD Sign-ups Are Now For Partially Ad-Supported Tiers
Consumers show an increasing willingness to put up with a few commercials, new Antenna report shows
Nearly one-third of those now signing up for a U.S. SVOD service, 32%, choose a plan that's partially supported by advertising.
This compares to just an 18% share held by partly ad-supported SVOD tiers four years ago, according to research company Antenna's latest State of Subscriptions report.
A quarter of the total subscriber base for U.S. premium subscription streaming services is now partially ad-supported, Antenna said.
Meanwhile, uptake of ad-supported plans varies widely from service to service, with incumbents including Peacock and Hulu -- which have offered discounted, ad-supported options since launch -- having higher percentages of uptake for these plans.
To better understand the the process for how consumers choose between discounted and premium ad-free tiers, Antenna divided consumers into four camps.
Over the last four years, those SVOD consumers in the "ad-oblivious" bucket -- those who don't tend to ever even entertain the possibility of cutting their streaming bill by watching a few commercials -- has steadily decreased, according to Antenna.
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Daniel Frankel is the managing editor of Next TV, an internet publishing vertical focused on the business of video streaming. A Los Angeles-based writer and editor who has covered the media and technology industries for more than two decades, Daniel has worked on staff for publications including E! Online, Electronic Media, Mediaweek, Variety, paidContent and GigaOm. You can start living a healthier life with greater wealth and prosperity by following Daniel on Twitter today!