• by Karlene Lukovitz  @KLmarketdaily, April 19, 2021

While 40% of U.S. consumers overall say they’d prefer to pay $12 a month for a streaming video service with no ads, 60% say they would accept a light ad load of no more than six minutes per hour in return for a reduction in the monthly fees, finds Deloitte’s latest annual Digital Media Trends survey.

That’s good news for advertisers eager to have access to more streaming inventory, as well as for hybrid paid subscription/ad-supported video services like the $5-per-month tier of Peacock, Hulu’s $5.99-per-month tier, and HBO Max’s upcoming with-ads version.

But when it comes to music, 45% of consumers overall — and 67% of Millennials — say they would rather pay than have ads on their streaming service.

And among those who subscribe to a gaming service, adding or increasing the amount of advertising are the top reasons they would most likely cancel or stop using a paid service.

“As more consumers use advertising supported digital entertainment services, ad-related preferences and expectations around personalization and privacy vary across consumer segments and media,” notes the report. “Some people welcome ads as a way to get more content while managing costs, building their own set of go-to services; others will do whatever they can to avoid advertising.”

Other advertising insights:

Younger generations say that social media influencers and ads on social media are the two channels that most influence their buying decisions. Fifty-five percent of Gen Z and 66% of Millennials say that ads on social media are influential, versus 49% of Generation X and 13% of boomers.

Nearly two thirds (62%) of Gen Z and 72% of Millennials would rather see ads personalized to their likes and activity than generic ones.

However, just 40% overall say they would be willing to provide more personal information to receive advertising targeted to their interests.

On the brand safety front, 43% of consumers overall — including 54% of Millennials, and 39% of Gen Z — say they would associate content that included hate speech with ads that are displayed nearby.

While 40% of U.S. consumers overall say they’d prefer to pay $12 a month for a streaming video service with no ads, 60% say they would accept a light ad load of no more than six minutes per hour in return for a reduction in the monthly fees, finds Deloitte’s latest annual Digital Media Trends survey.

That’s good news for advertisers eager to have access to more streaming inventory, as well as for hybrid paid subscription/ad-supported video services like the $5-per-month tier of Peacock, Hulu’s $5.99-per-month tier, and HBO Max’s upcoming with-ads version.

But when it comes to music, 45% of consumers overall — and 67% of Millennials — say they would rather pay than have ads on their streaming service.

And among those who subscribe to a gaming service, adding or increasing the amount of advertising are the top reasons they would most likely cancel or stop using a paid service.

“As more consumers use advertising supported digital entertainment services, ad-related preferences and expectations around personalization and privacy vary across consumer segments and media,” notes the report. “Some people welcome ads as a way to get more content while managing costs, building their own set of go-to services; others will do whatever they can to avoid advertising.”

Deloitte conducted the survey with 2,009 U.S. consumers in February.