Advertising will become a standard part of most paid streaming services by 2025, according to the latest NPAW 2023 State of Streaming Advertising and Analytics study, which analysed data from 250 streaming service operators around the world.
Responses to the NPAW survey found that 76 percent of the operators surveyed plan to introduce advertising no later than next year. The preferred business model that these services will offer their customers will be a hybrid offering, where a cheaper option with advertising will exist alongside a premium subscription without advertising. All interviewees agreed that the introduction of such a model is intended to reduce the price of subscriptions for end-users.
In order for streaming services to introduce advertising, they will need advanced third-party ad analytics tools to help them monitor ad performance from the end-user's perspective and compare this information with statistics about users, their behaviour and preferences within the streaming service's content, according to Till Sudworth, marketing director at NPAW. Around half of streaming services already use a third-party video analytics tool to sound out the performance of their platform and the behaviour of its users.
Cheaper subscriptions with advertising have been introduced in several markets this year by Netflix and Disney+, and HBO Max is also planning one. These cheaper subscription options are not yet available in the Czech Republic.
Source: televizniweb.cz
