With COVID-19 forcing us to quarantine and stay home, it’s no surprise that we are all gravitating more towards the TV. But the way we watch our favourite shows, videos, films, and programmes has changed, thanks to the technology behind broadcaster video on demand or BVOD. Businesses and marketers need to take the time to understand how their audience is consuming media to find the best way to connect with them in 2020 and beyond.
The Increase in Streaming Services
When it comes to watching the media they want, when they want, nowadays, more and more viewers are turning to TV streaming services. Consumers can access these streaming services via phone, computer or internet connected TVs (CTV).
There has been an exponential rise of CTV viewing in Australia; of the 82% of Australians who consume digital content each month, around one-third of that consumption is via CTV, and statistics show that the number of Australians watching TV via CTV is continuing to rise with more than 50% of Aussie homes now own a Smart TV or CTV.
Types of video on demand services:
VOD is commonly delivered in one of three ways:
- Advertising-Based Video on Demand (AVOD): Viewing is free but interrupted by adverts.
- Transactional Video On Demand (TVOD): The viewer pays for the content they choose to view, and it is streamed ad-free.
- Subscription Video On Demand (SVOD): Examples include Stan, Foxtel Now, and Amazon Prime Video, sometimes with limited adverts shown at the start of the video and not interruptive.
Broadband TV News reported that more than half of Australia’s adult population were paying for SVOD services in April 2019.
Streaming video was becoming mainstream behaviour in Australia, with one in four Australian households subscribing to Netflix and one in five subscribing to a dedicated sports service.
The Change in Viewing Behaviour As a Result of COVID-19
The amount of minutes a day Australians spend watching BVOD has increased by 22% as a direct result of COVID-19 and self-isolation.
Meanwhile, people are viewing TV earlier, with primetime moving to 7 to 7.30 – previously, it was 7.30 to 8.30.
The total number of individuals watching linear TV and BVOD between 9 am and 6 pm has increased by over 19%, and between 6 pm and 10 pm, the increase has been 15.2%.
Advertising with on-demand video
Australia’s fastest-growing media category, BVOD encompasses the catch-up services from the major Australian TV networks, including 7Plus, 9Now, 10Play, Foxtel Now, SBS On-demand, and iView.
The BVOD sector saw viewing soar 43% in 2019. Consumers love the concept of BVOD because they can use it as catch-up TV, and as a top-up to linear TV. They enjoy unique content, edits of recent transmissions, and member exclusives.
Likewise, advertisers are reaping the benefits. With BVOD, advertisers can target specific audiences. and the returns are significant, with advertisers seeing a 32% increase in revenue when advertising on BVOD.
Australia is one of the fastest-growing Broadcaster Video On Demand (BVOD) ad markets in the world as more viewers adopt this way of viewing. The current growth of BVOD services is expected to continue as consumers are willing to accept brand advertising in exchange for content. Get in touch with us to discover how we can help you.