The rise of cord cutters and digital entertainment - what it means for advertisers

ZEE5 has recorded that 21% of its viewers are cord cutters and consider ZEE5 to be their primary source of entertainment while 36% of its viewers watch only light content on linear TV

e4m by exchange4media Staff
Updated: Oct 1, 2020 6:13 PM
zee

It’s no longer news that consumers are ditching traditional TV in favour of digital entertainment. Last few years have seen a significant rise in OTT viewership as the primary medium of entertainment. The appeal for OTT is obvious: content can be streamed wherever, whenever, however, and for as long as one wants. It’s no surprise that viewing content on demand is a more popular choice. A recent report from Comscore showed that cord cutters spend nearly 2.5 hours more than average on OTT platforms per day. The same report also showed that cord-cutters are consuming 60% more OTT content than other viewers.

In a report by KPMG India based on a survey carried out among 1458 OTT users in 16 cities, it was reported that 10% of respondents prefer watching original content online. The preference for original content was consistent among all age groups proving that the category is no longer limited to millennials. The survey also revealed that 30% of respondents prefer original content while 22% prefer catch-up content.

The lockdown has driven this behavioural change into permanency. Viewers are now consuming old and new TV content again, but on mobile. A recent study by YouGov suggested that 42% people spend time watching catch up content on OTT platforms while only 18% prefer watching TV. The same report also mentioned that 72% or urban Indians prefer video on demand as compared to cable TV.

Opportunity for advertisers

With the growing popularity of OTT platforms, marketers and advertisers are looking at this category as a key channel for reaching out to their audience. Advertising on OTT platforms gives them the benefit of achieving an incremental reach by advertising to cord cutters – who no longer consume content on linear cable feed and cord shavers - who have downgraded their cable TV packages and are more inclined towards OTT platforms.

ZEE5, a leading OTT platform in India, has recorded that 21% of its viewers are cord cutters and consider ZEE5 to be their primary source of entertainment while 36% of its viewers watch only light content on linear TV. ZEE5 expects the numbers to increase in the months to come as the trend of consuming content on demand continues.

Furthermore, unlike traditional forms of advertising, OTT platforms can effectively measure impressions, reach, ad completion rates, analyse performance by device, watch how consumers interact with messaging, and compare ad placement performance across platforms.

With the continuous rise in cord cutters and cord shavers, ZEE5 enables advertisers to reach an incremental audience base which is inaccessible through TV advertising. It also offers varied advertising possibilities through precision in targeting, lifestyle-based behavioural segmentation, and a powerful suite of ad formats to engage with audiences depending on business objective across multi-devices ecosystem.

Visit brands.zee5.com to learn more about ZEE5 Ads and the host of digital advertising solutions

For more updates, be socially connected with us on
WhatsApp, Instagram, LinkedIn, Twitter, Facebook & Youtube