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Prediction: Ads Could Make Disney and Netflix Investors a Ton of Money

November 17, 2022

Fresh data from Parks Associates, however, suggests ad-supported streaming platforms are more palatable -- and probably going to be more profitable -- than most people might think. As it turns out, a bunch of digital video viewers are already clicking on a good number of the TV ads they're seeing.

Consumer-technology market research outfit Parks Associates reports that 23% of ad-supported streaming video watchers "often" click on a video ad they see injected into their programming, with the same proportion indicating they actually buy goods and services being promoted within those advertisements. These figures jibe with a similar report published by TiVo last month, indicating roughly 22% of consumers engaged with a digital video ad during the second quarter of this year, up from roughly 21% in the same quarter a year earlier.

In light of Parks Associates' data on the growing acceptance of -- and clicks on -- streaming ads, the company may well be underestimating the potential of this endeavor. Ditto for its shareholders, as well as Walt Disney shareholders' expectations of ad-supported Disney+.

From the article, "Prediction: Ads Could Make Disney and Netflix Investors a Ton of Money" by James Brumley.

Previously In The News

33% Subscribe To OTT In UK

33% of UK broadband households subscribed to an OTT video service as of 3Q 2015, according to Parks Associates. The same study shows that only 15% of UK households with pay-TV subscribe to premium...

Average US Monthly SVOD Spend Tops $6, Says Report

The figures come from a new research report by Parks Associates, which explains that, while a typical price point for a subscription service is $7-$10, several niche services are available for under $...

60% Of US Broadband Homes Subscribe To At Least One OTT

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19% of US Broadband Households Have Smart Home Device

Parks Associates today announced a new industry report, Cloud Platforms for the Internet of Things, revealing 19% of US broadband households currently own at least one Internet-connected smart home de...

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