Free TV's CEO hits back at "overstated" SVOD research

Julie Flynn, CEO Free TV
By Julie Flynn, CEO Free TV | 30 October 2015
 
Julie Flynn

Streaming, particularly via subscription video on demand (SVOD) services, is the media topic of the moment.

For example, AdNews recently published findings from a survey in which those who use SVOD services – around 15% according to the article – claimed to have slashed a third of their TV time.

While surveys that draw on self-reported behaviour are useful in identifying attitudes and driving influences, researchers the world over consistently find that respondents tend to overstate their claimed behaviour. This is why television audience measurement panels using people meters – which capture actual viewing behaviour in a representative panel of homes – remain the research gold standard.

Here’s what OzTAM and Regional TAM data tell us about how Australians are in fact viewing television today:

  • Across the population, Australians watch an average of  two hours and 59 minutes of broadcast television on in-home TV sets every day. 
  • Each week, broadcast TV reaches 88% of Australians – that’s more than 22 million viewers every month.
  • On a typical night more than 11.610 million Australians tune into Free TV
  • Broadcast television’s reach among younger Australians remains strong: 70% of 18-24 year olds watch every week.
  • And more than a decade after the digital video recorder, 90% of broadcast television is still watched the traditional way: live-to-air and linear.

SVOD and free streaming services certainly give people more choice, and these new options mean consumers increasingly spread their viewing across them. This will likely continue as take-up increases. But much as media people seize on the new, we need to make sure the hype doesn’t obfuscate reality.

With marketers under enormous pressure to make every dollar count, it is our responsibility as media organisations, agencies and advisers to present the most accurate picture of current audience behavior and frame a realistic view of future trends.

Looking at the broader video market, the official Australian Multiscreen Report brings together the country’s three best research sources in OzTAM, Regional TAM and Nielsen. Their latest quarterly report (Q2 2015) shows that while people under age 35 in particular are using internet-connected mobile devices to watch any video, all age groups – even ‘digital natives’ – spend the majority of their viewing time watching broadcast TV on in-home sets.

To put that in perspective, people spend around 25 minutes a day watching TV, SVOD and other content such as YouTube across PCs/laptops, mobile phones and tablets. That compares to nearly three hours a day watching broadcast television in the ‘traditional’ way.

SVOD subscribers are by definition passionate TV consumers, so it’s logical to assume they watch more of everything. Little wonder broadcast television features on Netflix’s media schedule. It’s also why the biggest digital media businesses including Apple, Microsoft, and now Twitter, are heavy TV advertisers – because it’s still the best way to reach mass audiences across all walks of life quickly and effectively.

Rather than a threat to TV, streaming services are feeding consumers’ endless desire for more content on the device and at a time of their choosing. And with Australians loving local content more than anything else, broadcasters are in the box seat to harness new technologies and deliver what viewers want.

Julie Flynn

CEO 

Free TV Australia

comments powered by Disqus