In A World Of Unlimited Content, How Can Streamers Compete?

In A World Of Unlimited Content, How Can Streamers Compete?

With unlimited content now available, free-to-air TV and streaming providers are now having to compete with the entire internet. Here Foxtel Media shares how streamers can stay ahead of the game.

Gone are the days of old school advertising, where there were limited media channels available (four TV channels for those too young to know) and no such thing as a social media influencer.

Advertisers are now having to compete with a sea of content and clutter if they are to get in front of customers.

Whilst the world of limited TV had us watching anything that was playing, we now all have the option to watch basically anything we want, whenever we want.

This means that for media owners, watchability and usability are key if you aren’t going to lose customers to TikTok, YouTube, Instagram or an unusual cat walking by the window.

So how can streamers compete?

Experts In A New World

One streamer that knows more than most about how to engage viewers is the Foxtel Group.

Foxtel, which originally started as a cable provider, started streaming in 2009, meaning they are a rare example of legacy players within the streaming space.

Of their 4.6 million subscribers, 3 million are streaming subscribers. Kayo Sports has more than 1.3 million subscribers whilst the numbers for BINGE stand at 1.5 million.

According to the Foxtel Group, the good news for streamers is that rather than being free-to-air’s poor cousin, there’s research that proves streaming can actually lead to BETTER engagement than free to air television.

Engaged viewers on Foxtel’s BVOD services had 57-60 per cent of active attention for a 30-second ad, which was significantly more than the 45 per cent for traditional TV.

The medium that showed the highest level of engagement was Kayo Sports streamed to TV which had 8.0 seconds of active attention vs free-to-air viewing which had 4.4 seconds.

This makes sense – given that Kayo Sports subscribers care enough about sports content to pay for it and connect it to a TV.

Foxtel linear was also 10 per cent higher than free-to-air television. All showing that, with the right content and ad model, viewers will stick around.

How Can Streamers Improve Watchability?

One of the most obvious ways to improve watchability is to decrease the frequency of ads. Of course, from an advertiser’s perspective this may seem detrimental, but in the world of unlimited content, advertisers are having to fit around the needs of the viewer rather than the other way round.

This is why ads on BINGE basic don’t go beyond four minutes per hour. In a digital world, shorter interactive ads are also shown to be more effective than longer ads. Advertising on BINGE now includes solus breaks, which FoxTest research reveals increases spontaneous ad recall by 34 per cent in this format.

Secondly, whilst we continually hear how households are cutting spending, the fact remains that people will always subscribe for high-value content.

Who remembers subscribing to a whole streaming service just to watch hit shows like The White Lotus, Succession and The Last of Us?

Even now, fans and parents everywhere are doing everything to get tickets to see Taylor Swift.

When something is a huge hit, when everyone is talking about it, people will always find the money.

Which is why Foxtel recently signed a multi-year deal with Warner Bros Discovery, and why they continue to invest into sports broadcast.

Rather than bemoaning the loss of free-to-airs media monopoly, brands can start to see the huge opportunity that streaming brings.

To find out more about how Foxtel Media can help you meet your advertising needs go to foxtelmedia.com.au. 




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