Media Usage Nearing Saturation?

Media usage is topping out.

Speaking at the MediaPost TV Insider Summit, Luke Stillman, vp of digital intelligence of Magna Global, says this comes to around 90 hours a week. “From here on out, it’s a zero sum game.” Unless, he says, somewhat tongue-in-cheek, where people start sacrificing sleep.

Stillman says overall traditional TV usage has remained the same for a number of years, at around 32 to 33 hours a week, with live TV usage continuing to decline -- estimated to be 18.9 hours of a week in 2020, from 23.6 hours in 2014.

Significant expansion of digital media is the reason -- including new TV digital efforts. Magna projects 168 million OTT set-top units/technology in 2020 -- twice as many as there is today. Subscription video-on-demand services are having some canniballization of TV.

TV marketers will look to digital, as well as enhanced traditional TV advertising effort, to compensate for these changes. Stillman says addressable TV homes from all MVPDs -- cable, satellite, and telco providers -- will grow to 70 million homes in a few years from 35 million today. Revenue from addressable TV buys will grow to $470 million this year -- 1% of TV spend -- from around $300 million a year ago.

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