How Streaming Services Are Changing Advertisements

By: Matthew Ditchen


            Advertisements have been a staple in the consumer-based market that society lives in today. However, the way in which advertisements are seen by consumers are constantly changing. Billboards and print advertisements are still present and profitable today, but take more of a back seat to where we see a majority of our ads in the digital age we live in currently. For the longest period of time, television was the number one place for consumers to see advertisements and that was the medium dominated until the age of the Internet. With the development of the Internet, it soon opened doors for more people to get what they wanted, now faster than ever. This convenience of the Internet started to develop in consumer’s minds and soon entered into their entertainment spaces, too. Netflix is well known as one of the first streaming services to effectively change how people watch movies and TV shows. The streaming service has no ads, and for the first time you could start or pause your show or film at your own convenience. This soon started an effect for every entertainment studio to develop a streaming platform and is the reason there are many subscription based streaming services available with more on the way.

            Today, more consumers watch more content on streaming services than compared to traditional television, which directly impacts where and how we see advertisements while we are watching. Gone are the times where consumers viewed commercials during commercial breaks for scheduled shows when they were being broadcasted. Now, with everyone being able to watch whenever it changes the how, when and where advertisers can share their content. An article in Forbes states the importance of staying on top of current trends and its benefits by stating, “[t]his allows advertisers to better determine the kind of data they can collect and pick the most suitable formats for their ads” (forbes.com). Some of these new strategies are starting to be tested out to reach viewers in new non-abrupt. Hulu is experimenting with “Pause-Ads”, which are ads that would pop up on the display when you pause a shows with top-tier sponsorship. Another way of advertising that is being tested out is brands showing up in and outside of shows with special content or prizes. An article in Variety talked about this type of advertising by stating, “[a]s part of a promotion around the launch of another season of “Billions,” a Heineken ad available on Roku helped viewers ‘unlock’ the ability to stream the previous cycle of the show, all to build appetites for fresh episodes” (variety.com).

            In our digital age of technology, change will continue to happen, which is why it remains crucial to adapt to survive. A report from Videa, a company that reports industry news for media professionals, said this about the changing landscape: “[e]ven as the television industry changes and innovates, there are certain elements that remain the same, and for good reason” (videa.tv). Advertisement is a staple in our culture that thankfully won’t be disappearing any time soon, but continues to rapidly change. The lesson that streaming services are teaching us is that times are changing and as media marketers, it’s imperative that we stay up to date so that we can start to plan what the consumer will want next.


Reference List 

  1. https://www.forbes.com/sites/forbeslacouncil/2019/07/18/how-to-make-sense-of-advertising-in-the-streaming-tv-industry/#6765d29e26e7
  2. https://variety.com/2019/tv/news/upfronts-streaming-services-advertising-pause-ads-1203198280/
  3. https://videa.tv/2019/02/advertising-on-streaming-services-proves-the-commercial-still-reigns/

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