Viewers warm up to ads to save cost, says study

Majority of viewers now prefer watching TV with ads if it translates to cost savings, according to the Hub’s semi-annual TV Advertising: Fact vs Fiction survey. Compared to 2021, this marks an 8% rise in ad acceptance, even among those traditionally averse to ads.
As the landscape of television continues to evolve, the conversation around ad-supported models gains momentum. The study surveyed 3,000 TV consumers aged 14-74, shedding light on how viewers navigate the growing intersection of streaming platforms and traditional television. The findings underline the increasing acceptance of advertisements, the rise of free ad-supported streaming platforms (FASTs), and the resurgence of live TV as a preferred viewing option.
Key Takeaways from the Study
1. FAST Platforms as Game-Changers
Free ad-supported streaming platforms such as Pluto TV and Tubi are redefining the TV experience. Amazon’s integration of Freevee into Prime Video highlights the strategic push toward ad-supported models, emphasizing value and reach.
2. Live TV’s Revival
Live TV, with its naturally integrated ads, is experiencing a resurgence. With the expansion of pre-scheduled, surfable channels across streaming and traditional platforms, live viewing is attracting diverse audiences, particularly for news, sports, and special events.
3. Ad Load Matters
Viewers show greater engagement with ads when the load is “reasonable” – defined as fewer than 11 ads per half hour or less than 90 seconds per break. Under these conditions, 38% of respondents reported paying attention to ads during all or most of the viewing experience.
4. AVODs and FASTs Lead in Ad Experience
Ad-supported video-on-demand (AVOD) services and FAST platforms consistently outperform multi-channel providers in delivering a superior ad experience. Viewers are more likely to pay attention to ads on these platforms, citing better integration and value.
5. Value vs. Satisfaction

While FAST services rank lower in overall satisfaction compared to paid platforms, they are lauded for delivering exceptional value. Users appreciate the cost-free model despite some trade-offs in content and service quality.
6. Live TV as an Advertising Goldmine
Ads during live broadcasts are deemed more tolerable by 69% of viewers, particularly among those aged 16-34. This trend suggests live TV offers advertisers an opportunity to reach audiences in a less disruptive manner compared to on-demand streaming.
Emerging Trends
This latest wave introduced insights into newer platforms like Hallmark+ and BritBox, alongside a focus on live vs. on-demand viewing habits. These findings underscore a shift toward ad-supported models as a cornerstone of TV consumption in the streaming era.
As advertisers and platforms refine their strategies, balancing ad load, placement, and viewer satisfaction will be pivotal. The evolving preferences of consumers suggest that while content remains king, value and seamless ad experiences are the key to long-term success.
(Image by Ronny Overhate from Pixabay)