Key Highlights
- Over 90% of U.S. households have at least one internet-connected TV
- The global connected TV market size is expected to reach $269 billion by 2028, growing at a CAGR of 14.9%
- In 2023, 67% of consumers in the U.S. watch ad-supported CTV content weekly
- The average time spent viewing CTV per day in the US is approximately 2 hours and 30 minutes
- The CTV advertising spend in the US reached $18 billion in 2023, representing a 25% increase from the previous year
- Over 80% of premium video ad impressions are now served on connected TVs
- Nearly 50% of smart TV owners subscribe to at least one streaming service
- 45% of advertisers plan to increase their connected TV ad budget in 2024
- 70% of viewers prefer watching movies and series via connected TV over traditional cable
- Roku held a 30% market share of connected TV platforms in the US as of early 2023
- 65% of households that use CTV devices report watching content on multiple screens simultaneously
- The average CTV user watches 5.5 connected TV streaming services per month
- 55% of consumers discover new content through connected TV recommendations
Connected TV has become a dominant force in digital entertainment, with over 90% of U.S. households now equipped with internet-connected devices, fueling a global market projected to hit $269 billion by 2028 and transforming how millions watch, advertise, and engage with content daily.
Advertising and Revenue Insights
- The CTV advertising spend in the US reached $18 billion in 2023, representing a 25% increase from the previous year
- Over 80% of premium video ad impressions are now served on connected TVs
- 45% of advertisers plan to increase their connected TV ad budget in 2024
- The average revenue per user (ARPU) for connected TV users reached $35 in 2023
- 40% of advertisers indicate that CTV campaigns are more effective than linear TV campaigns
- In 2023, connected TV accounts for roughly 25% of total digital video advertising spend worldwide
- The average duration of ad campaigns on CTV increased by 15% in 2023 compared to 2022
- The average CTV ad completion rate is approximately 95%, indicating high viewer engagement
- The global CTV advertising revenue is expected to grow at a CAGR of 23.4% from 2023 to 2028
- Programmatic advertising accounts for over 70% of CTV ad spend in North America in 2023
- 65% of advertisers plan to increase their CTV ad budgets in the coming year, indicating strong growth confidence
- 80% of CTV viewers admit to skipping traditional advertisement commercials when watching streamed content
- The share of ad spend on CTV in North America exceeded 40% in 2023, up from 25% in 2021, reflecting rapid growth
- The average click-through rate (CTR) for ads on CTV is approximately 1.5%, higher than linear TV, indicating increased viewer interaction
- In 2023, over 50% of ad impressions on CTV were delivered via programmatic channels, streamlining ad delivery
- The majority of CTV advertising spending is focused on entertainment content, accounting for approximately 65%, followed by sports at 20%, and news at 15%
- The integration of targeted advertising on CTV has contributed to a 20% increase in ad recall compared to non-targeted campaigns
- The average cost per thousand impressions (CPM) for CTV advertising was approximately $25 in 2023, making it more cost-effective than traditional TV
- 73% of advertisers plan to increase CTV ad spend over the next two years, citing effectiveness and reach
- CTV advertising click-through rates are generally higher during live sports events, with a rate of 2%, compared to average rates across all content types
Advertising and Revenue Insights Interpretation
Consumer Adoption and Usage Trends
- Over 90% of U.S. households have at least one internet-connected TV
- Nearly 50% of smart TV owners subscribe to at least one streaming service
- 65% of households that use CTV devices report watching content on multiple screens simultaneously
- The average CTV user watches 5.5 connected TV streaming services per month
- 85% of U.S. adults are aware of connected TV, with 65% actively using it
- 60% of households plan to increase their subscription to streaming services that are accessible via CTV in the next year
- 45% of consumers watch CTV content in 4K, indicating a shift toward higher quality visuals
- The most popular CTV platforms in 2023 include Netflix, Hulu, Amazon Prime Video, and Disney+, with market shares of 20%, 15%, 10%, and 7% respectively
- 72% of households with CTV subscriptions access content via multiple apps, showing diverse preferences
- 66% of viewers find CTV more convenient than traditional cable for watching their favorite shows
- 80% of CTV users watch daily, with an average of 2.5 hours of viewing per day, showing high engagement
- 55% of CTV users are also active on social media while watching, indicating cross-platform engagement
- The percentage of households with voice-enabled CTV devices increased to 45% in 2023, enabling easier ad and content navigation
- 50% of CTV viewers in the US use ad-free streaming services, yet still engage with ads on other platforms or channels
Consumer Adoption and Usage Trends Interpretation
Content Consumption and Preferences
- In 2023, 67% of consumers in the U.S. watch ad-supported CTV content weekly
- The average time spent viewing CTV per day in the US is approximately 2 hours and 30 minutes
- 70% of viewers prefer watching movies and series via connected TV over traditional cable
- 55% of consumers discover new content through connected TV recommendations
- Over 60% of CTV viewers report watching content with family or friends
- 78% of viewers say they are more likely to watch a show if an ad is tailored to their interests via CTV
- 7 out of 10 viewers prefer ads that are relevant to their interests when watching connected TV content
Content Consumption and Preferences Interpretation
Market Size
- The global connected TV market size is expected to reach $269 billion by 2028, growing at a CAGR of 14.9%
Market Size Interpretation
Market Size, Penetration, and Demographics
- Roku held a 30% market share of connected TV platforms in the US as of early 2023
- The number of connected TV households in China surpassed 300 million in 2023
- The majority of CTV ad viewers (about 70%) are aged 18-34
- In 2023, connected TV devices accounted for approximately 80% of all smart TV sales worldwide
- The average age of CTV users is 36 years old, with 55% being male, indicating a young and male-skewed demographic
- The number of household streaming device connections is projected to reach 350 million globally by 2025, driven largely by CTV adoption
Market Size, Penetration, and Demographics Interpretation
Technology and Platform Developments
- 52% of smart TVs sold in 2023 support 4K resolution
Technology and Platform Developments Interpretation
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