The AVOD Ecosystem: As cord-cutting shifts the revenue model of media companies, the ad-supported streaming space is poised to take off — here are the key players brands need to know, and how to work with them

Executive Summary

Ad-supported OTT services are proliferating alongside SVOD services—and ad spend that goes toward these services will grow as US households increasingly adopt connected-TV devices, access a growing number of ad-supported streaming services on those devices, and as cord-cutting erodes audience reach on traditional TV.

Three Key Questions This Report Will Answer:

• How does AVOD adoption and consumption compare with ad-free SVOD (e.g. Netflix)?
• What are the key players in the AVOD ecosystem?
• What are the benefits and challenges for advertisers of ad-supported OTT?

WHAT'S IN THIS REPORT? In this report, Business Insider Intelligence examines the expanding range of major, growing, emergent, or forthcoming ad-supported OTT services in the US. We look at how ad spending is growing on ad-supported streaming platforms, based on the rise of connected-TV advertising, and why cord-cutting is likely to drive additional spend. We further assess the state of consumer interest in AVOD in the US, in terms of the share of time spent with streaming video and user growth, and identify how multiple factors including the coronavirus are boosting usage. Finally, we discuss how ad buyers and brands are approaching these services, and outline emerging opportunities for advertisers as well as ongoing challenges.