For the first time in the history of Wavemaker agency's VideoTrack study, irritation with ads on VOD services has matched the level of irritation with television advertising. For subscribers of subscription services, the fact that they contain no ads has become a key motivation for buying a subscription. The upcoming debut of Disney+ is generating interest among nearly one third of respondents – particularly those who already pay for video.
VOD ads irritate just like TV ads
Irritation with VOD advertising has deepened along with the systematic growth in clutter in video services monitored by Wavemaker. Wavemaker's October analysis showed that it had almost caught up with television, reaching 9.5 minutes per hour of programming on the services of the largest TV broadcasters.
This, combined with the success of ad-free subscription services (Netflix, HBO Go), which have accustomed viewers to the comfort of watching without ads, may have influenced this year's VOD result in the VideoTrack Wavemaker study. Irritation with ads in this medium is highest among its most active users, i.e. people aged 16-24.
Subscription beats ads
It is also freedom from advertising that has strengthened its lead in the ranking of reasons why Polish viewers pay for access to on-demand services. Compared with the previous edition of the study, the importance of this issue clearly increased (by 16 percentage points), as did the importance of series and the technical convenience of using paid VOD services.
Paid subscription video services (Netflix, HBO Go, Player+ etc.) have clearly changed Polish viewers' preferences regarding paying for video content in recent years. Subscription is systematically displacing other forms of paying for films and series, and currently as many as 7 in 10 online viewers consider it the optimal form of paying for content.
Disney+ tempts viewers in Poland
In this context, another global subscription service – Disney+ – will be entering an already much more mature Polish market. In connection with its expected debut, Wavemaker asked online viewers about their interest in its catalogue and offer. It turns out that for 31 per cent of viewers, including 46 per cent of internet users already paying for video, Disney+ would be an offer worth considering. For one in four of them, Disney's US price (i.e. $6.99 per month) converted into pounds would be acceptable.
Interestingly, most respondents, when thinking about a possible purchase of another SVOD service, do not consider giving up other video services they already have. Only one in ten respondents says that in such a situation they would cancel an existing video subscription or give up paid television (cord-cutting).
Concepts from the article
TV — Television. An audiovisual medium distributing programmes, advertising and video content via linear channels, streaming or hybrid television. TV campaigns require planning of reach, frequency, spot format, airing and audience measurement.
Why it matters: Still unmatched in building mass awareness: no other channel delivers so many contacts with an audiovisual message at once. A presence on TV also lends credibility to a brand in the eyes of retailers.
When it is used: For mass product launches, brand building and campaigns requiring fast, broad reach.
What skipping it risks: Without television, quickly building broad recognition requires piecing together reach from many smaller channels — more slowly and not always more cheaply.
Summary
Wavemaker agency's VideoTrack studies show that the level of irritation with ads on VOD services has reached a historic maximum and matched that of television. This is the result of growing advertising clutter and viewers' habit of the comfort of watching without ads on subscription services. Freedom from advertising is now a key reason for buying a subscription – the importance of this factor rose by as much as 16 percentage points.
The upcoming debut of Disney+ in Poland is generating interest among 31 per cent of internet users, and among those already paying for video – 46 per cent. Interestingly, only one in ten respondents would consider giving up another subscription, which shows a growing willingness to maintain several services at once. For the industry, this is a signal that the SVOD market is entering a new phase of maturity.