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Consumers approve of ad-supported streaming

Written by Rich Fiscus (Google+) @ 05 Mar 2008 1:50 User comments (16)

Consumers approve of ad-supported streaming The 2008 edition of the Digital Entertainment Survey, published annually by Entertainment Media Research, shows an interesting trend among the more than 1,600 U.K. residents surveyed. An overwhelming majority (70%) indicated that they have no problems with ads before streamed on-demand video, even if the ads can't be skipped. The caveat is that the purpose of the ads must be to make the content free.
Interestingly though, when asked about TV commercials, which essentially exist exactly for that purpose, nearly half said they skip all commercials, with another third saying they skip most. Less than 10% of respondents said they rarely or never skip commercials.

It's unclear exactly what's at the root of the seemingly contradictory positions, although I have to admit I'd fall in the majority who skip TV commercials, but aren't bothered by unskippable ads to watch reasonably high quality TV shows streamed online. Perhaps consumers have a better sense of online distribution costs because of what they pay for their own broadband connections.

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16 user comments

15.3.2008 8:24
duckNrun
Inactive

I think what most of the respondents realize is this:

Online steaming = watch a few commercials (Hulu.com is about four thirty second commercials per episode) per episode

Regular TV viewing = watch a lot of commercials (about 1/3 of the length of the show is commercials so aprox. 8 minutes per 30 minute show)

Quote:
Perhaps consumers have a better sense of online distribution costs because of what they pay for their own broadband connections
Perhaps consumers, instead, have a better sense of what the show is worth in term of the consumer having to 'pay' for it with their time by watching commercials.

And for the record: I believe that those ads with online viewing would be skipped as well...if people knew how to do it.

So perhaps it's that the consumer of tv shows is like the consumer of any other product and is looking for the best price for the 'product'. In this case the price is time spent watching commercials and with online viewing you can 'pay' with less of your time-- and time IS money after all.
This message has been edited since its posting. Latest edit was made on 05 Mar 2008 @ 8:26

25.3.2008 11:04

I too am fine with Ads at the beginning of FREE streaming video.

If downloaded, the video can easily be trimmed to edit out the commercials.
If streamed, I can just queue it up go get myself a drink and then come back and rewind a little if needed.
Either way adding commercials at the beginning will not really effect my viewing experience.

The instant I have to pay for ad ridden streaming video or video with ads in the middle is when they will lose my viewing.

35.3.2008 11:13
camaro17
Inactive

if we dont have commercials how will we know about new movies and other stuff?

Peace

45.3.2008 12:17

Originally posted by camaro17:
if we dont have commercials how will we know about new movies and other stuff?

Peace
New movies are one thing. Erectile Disfunction, deodarant, breakfast cereal and feminine hygiene are another.

I totally wouldn't mind a 30 second commercial before a streaming episode. Yet I too skip past commercials or get a bite to eat during them when I watch television. Like duckNrun said - either you like commercial - show, or commercial - show - commercial - show - commercial - show - commercial - show - commercial - show. How can this be unclear to them? Are they complete morons?

Commercials are the worst when watching a 1 hour show. I prefer to watch Lost for 40 minutes uninterrupted instead of in 10 minute chunks. Ruins the flow.
This message has been edited since its posting. Latest edit was made on 05 Mar 2008 @ 12:21

55.3.2008 12:17

Double Post.

This message has been edited since its posting. Latest edit was made on 05 Mar 2008 @ 12:18

65.3.2008 17:11

I'm in the ad supported, commercial hating group. And the reason is because commercials interrupt the show/storyline. The ads at the begining/end don't. Just my 2 cents.

75.3.2008 18:25

Originally posted by PeaInAPod:
I'm in the ad supported, commercial hating group. And the reason is because commercials interrupt the show/storyline. The ads at the begining/end don't. Just my 2 cents.
I would have to agree. I know they need to make their money and advertisements are the way they do that, but when they interrupt my show then I just end up boycotting their product purely out of spite. Ever since I got my DVR I do not think I hardly ever watch live TV when it comes to the shows I like most. I usually end up letting it record for 15 - 30 minutes or let the whole show record and watch it later so I can skip the ads. Isn't enough that their web sites are filled with ads all over? Also where and when was this survey taken. I musta missed the memo.

85.3.2008 20:38

Heh, i wonder if the ads will actualy be in the movie, ex. water marking or at the begining credits and ending credits,like the majority of Jap T.V..That i dont mind

97.3.2008 7:19
dorkydork
Inactive

You hit the nail on the head. Ads ruin the flow. I stopped watching live tv because of it. That and they have nothing to do with what I'm interested in.

What they ought to do is have targeted ads at the beginning. I don't mind watching ads at the beginning especially if its about stuff I'm interested in. I wouldn't mind watching an ad about new Adobe products, new Movies in coming out, new software, video games, etc, . I hate the erectile dysfunction and the anti depression ads.

In a better advertise supported world I imagine it would go like this:
First ~10 seconds, show a summary of targeted ads in a list. For example,

Target - Department store.
Get all your games at Target. Click to see ad or specials.

Game Stop - Game store.
Reserve the next hit at Game Stop. Click to watch this ad

Sony - Electronics Company
Get the new Ceramic White PS3. Click to watch this ad.

Fox Searchlight - Film Studio
Napolean Dynamite trailer. Click to watch this trailer.

Then let the user click the ad or trailer they are interested in seeing. If it is news related then that's a *REASON* to watch an ad or more than one ad. For example, "Lair for PS3. Our new update pack supports classic controller setup and new levels. Click here for more details."

Ads don't have to be video all the time either. Just embed them in the video and create a dynamic link.

If you give the us a choice and make it informational then I don't mind. Another format would be to make it strictly informational. It doesn't have to be a video either. For example, just show the features and let me make the decision based on that.

Sony PS3 Video Game console -
HD Quality games
Built in Blu Ray player
Playstation Home
networked media storage
now only $299 (I wish)
Click here.
Click here if you do not want to see this ad again.

Notice how it is only informational. Tell me about the product, the features will sell it.

1011.3.2008 0:18
WierdName
Inactive

Originally posted by dorkydork:
You hit the nail on the head. Ads ruin the flow. I stopped watching live tv because of it. That and they have nothing to do with what I'm interested in.

What they ought to do is have targeted ads at the beginning. I don't mind watching ads at the beginning especially if its about stuff I'm interested in. I wouldn't mind watching an ad about new Adobe products, new Movies in coming out, new software, video games, etc, . I hate the erectile dysfunction and the anti depression ads.

In a better advertise supported world I imagine it would go like this:
First ~10 seconds, show a summary of targeted ads in a list. For example,

Target - Department store.
Get all your games at Target. Click to see ad or specials.

Game Stop - Game store.
Reserve the next hit at Game Stop. Click to watch this ad

Sony - Electronics Company
Get the new Ceramic White PS3. Click to watch this ad.

Fox Searchlight - Film Studio
Napolean Dynamite trailer. Click to watch this trailer.

Then let the user click the ad or trailer they are interested in seeing. If it is news related then that's a *REASON* to watch an ad or more than one ad. For example, "Lair for PS3. Our new update pack supports classic controller setup and new levels. Click here for more details."

Ads don't have to be video all the time either. Just embed them in the video and create a dynamic link.

If you give the us a choice and make it informational then I don't mind. Another format would be to make it strictly informational. It doesn't have to be a video either. For example, just show the features and let me make the decision based on that.

Sony PS3 Video Game console -
HD Quality games
Built in Blu Ray player
Playstation Home
networked media storage
now only $299 (I wish)
Click here.
Click here if you do not want to see this ad again.

Notice how it is only informational. Tell me about the product, the features will sell it.
Agreed. If the ads weren't just stupid "our product is the best because it's like a fresh summer's rain... SO BUY IT!" and were just informational, it wouldn't be nearly as bad as it is now. Nothing pisses me off more than to have to listen to some commercials bias, completely logically flawed premise on why I should buy their piece of crap.

1122.4.2008 0:13

This is simple to understand if its for free and ad supported we will love it in either case.

1211.5.2008 17:05
dorkydork
Inactive

I just went to hulu.com for the first time. I noticed they have short unintrusive ads. Those I do not mind. Whoever is in charge of setting up the ads on that site should be commended.

1311.5.2008 18:25

Easy, I just goto the bathroom or the kitchen for the first 2-3 minutes, then come back and watch the show.


"The flimsier the product,the higher the price"
Ferengi 82nd rule of aqusition


144.9.2011 15:35
blueguitar
Unverified new user

I think people would rather have a choice when it comes to advertising & TV commercials. When a large segment of the population does not want to watch TV commercials, it means that the advertisers need to find another way of promoting / selling "ad space" and products. the landscape has already changed in a huge way by the industry "forcing" or trying to force the public to watch the advertising by the internet ads, and now when going to the movies we are forced (if we stay in the theater while they run the ads)to watch these ads. What advertisers are learning is that this type of advertising doesnt work. Advertisers are now doing more "placement advertising" where you see a product being "placed" in a movie or TV show. The characters use or consume the product inside the story line.
The way it is now the only people that benefit from their TV ads are large national companies that can afford to do "branding" type ads and run them a LOT. and can afford to run TV ads when people are most open to the message. ie Superbowl and other type event advertising. Local businesses in most markets cannot afford to do that cost effectively. the ROI doesn't pan out.
TV will find another way to generate that lost revenue stream. and smaller businesses will find unobtrusive ways to advertise & get their message out in ways that the consumers get to choose what they see.Everyone wins in this way. :)

158.9.2011 7:29
carolhall
Inactive

Truth be told, I think I'd also rather watch a couple of adds during a online streaming movie or tv show episode if that means I get to stream and watch them for free. Tv commercials are way longer and shown way too often in comparison to this.

168.9.2011 17:55
WierdName
Inactive

Wow, this is about 3 1/2 years old... It is interesting to look at this in retrospect though. Hulu Plus (PAID) still plays ads. It seems paid is only to use it on a device other than a Windows/Mac/*nix computer and have access to older episodes. Can't even use it on the PS3 browser, you have to use Plus through their app...

Still, it's far better than air broadcast. One should not be able to go to the bathroom and make it back before the commercials are over.


Doesnt expecting the unexpected make the unexpected expected and therefore mean youre expecting the expected which was the unexpected until you expected it?
"Opinions are immunities to being told were wrong." - Relient K

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