Despite the prevalence of subscription video-on-demand (SVOD) services, two-thirds of Canadians continue to subscribe to traditional TV services, according to a new report from the Media Technology Monitor (MTM), a research product of CBC/Radio-Canada.
Offering a glimpse into the changing dynamics of Canadian media consumption, the MTM’s Fall 2023 Sneak Peek Report looks at TV ownership and brands, reasons for maintaining TV subscriptions, home internet speeds, online advertising, ads on SVOD services, and more.
The primary drivers for maintaining TV subscriptions are “content-centric,” according to the MTM, with news and sports being the top two reasons given by survey respondents for continuing to subscribe to traditional TV services.
More than 90 per cent of Canadians own a TV set, although ownership is less prevalent among the 18-25 age group, according to the report. Samsung is the top TV brand owned, followed closely by LG and Sony, the MTM says.
The past year has seen a gradual decline in SVOD subscriptions — attributed to factors such as escalating costs, crackdowns on account sharing, and content saturation — leading to so-called “Netflix Fatigue”, the report says.
“As SVOD platforms explore ad integration to offset costs, the efficacy of these strategies remains to be seen,” the report says. “Crave subscribers report the highest exposure to ads, followed by Netflix and Disney+ subscribers.”
In terms of the impact of online advertising, more than 40 per cent of Canadians have engaged with online ads, with nearly 40 per cent proceeding to make a purchase after viewing them, according to the report. “Notably, racialized Canadians and immigrants exhibit even higher rates of purchase conversion after engaging with online ads.”
Home internet connectivity is nearly ubiquitous in Canada, however certain demographics, such as older Canadians and low-income households, face challenges in accessing it, the MTM says.
“Surprisingly, less than half of Canadians are aware of their home internet connection speeds, revealing a gap in understanding among consumers,” the report says.
The MTM’s Fall 2023 Sneak Peek Report is available here.
Screen capture of photo from the MTM’s report.
