The shift to streaming, mobile, on-demand services and personalisation will bring significant opportunities throughout 2017, according to the latest Deloitte report.
Deloitte’s 11th ‘Digital Democracy Survey’ examined the way consumers access media across generations, the value they place on products and services, as well as the attitudes and behaviours towards advertising, social networks and mobile technologies.
Kevin Westcott, vice chairman and US media and entertainment leader, Deloitte, said: “As the growing forces of social media and over-the-top services continue to accelerate, particularly among millennials and Generation Z, the consumer rules.”
“Brands can bring new value, services and incredibly entertaining content to the empowered consumers across all age groups in a manner that can be monetised.”
The survey found that almost half (49 per cent) of US consumers and nearly 60 per cent of Generation Z (Gen Z), millennials and Generation X (Gen X) subscribe to at least one paid streaming video service.
Seventy-four per cent of consumers across US households still subscribe to pay-TV such as cable or satellite, but 66 per cent of subscribers say they keep their pay-TV because it is bundled with their internet.
Deloitte also reported that the device of choice for key demographics remains split; Gen Z and millennials spend about half their time watching television shows and movies on devices other than a TV.
Additionally, Gen X favours the TV by over 60 per cent and Baby Boomers watch over 80 per cent of programming on the TV.
Further findings from the Digital Democracy Survey included:
– Sixty-seven per cent of consumers, and over 70 per cent of Gen Z and millennials, find mobile ads on their phone to be irrelevant; however, 37 per cent of consumers find it valuable to receive location-based ads on their smartphone and use them regularly.
– More than 80 per cent of consumers will skip an online video ad if allowed.
– Almost half (46 per cent) of consumers said they pay more attention to an ad they can skip versus an ad they cannot skip.
– Online recommendations on social media (27 per cent) are more influential than TV ads (18 per cent) for Gen Z in influencing buying decisions.
– Over 50 per cent of Gen Z and millennials use social networks to learn about new TV shows, citing it to be more useful than TV commercials.