29.01.2018 Media market
Media Subscriptions to Replace Advertising. TMT Predictions 2018
BARD
Some publishers already consider attempts to generate revenue from online advertising a waste of time. According to the "TMT Predictions 2018" report by Deloitte, by the end of 2018, half of all adults in developed countries will have at least two online media subscriptions.
The TMT Predictions 2018 report by Deloitte experts forecasts that by the end of 2018, half of adults in developed countries will have at least two online media subscriptions, increasing to four by 2020. The cost of these subscriptions, primarily covering television, movies, music, news, and press, will average below $10 per month in 2018. The global subscriber count is projected to reach 350 million people, with 580 million subscriptions, most of which will be VoD (375 million).
Up to 20% of adults in developed countries will subscribe to, or have access to, at least five paid online media subscriptions, and by 2020, this figure could rise to ten.
- "The subscription model has been long known in traditional media, such as print magazine subscriptions. Now, we are witnessing its growing popularity online due to several factors," says Jakub Wróbel, Senior Manager in Deloitte`s Consulting Department. - "The primary drivers are increasingly attractive content available on multiple devices and a growing customer base willing to pay for it."
This trend is also supported by technological advancements and faster internet connections. In Poland, recent years have seen the growth of video services like Netflix, Player.pl, and ShowMax, which also invest in local productions. The trend of "binge-watching," where entire seasons of shows are available at once, allows viewers to spend hours watching on TVs, computers, or phones without interruption.
According to Deloitte’s research, this trend is especially prevalent among millennials, where:
- 90% admit to binge-watching,
- and 38% do so regularly (data from U.S. viewers).
- "As this trend continues, content providers and advertisers will look for ways to leverage it to better reach customers. At the same time, we can expect an increase in content suitable for binge-watching," comments Jakub Wróbel.
The End of Advertising in Media? A Bold Prediction
According to the authors of the "TMT Predictions 2018" report, as media reach increases, revenue per reader, viewer, ad impression, or click is decreasing. Deloitte experts emphasize that, in this situation, some publishers see attempts to generate revenue from online advertising as a waste of time. Consequently, content creators may focus on increasing subscription revenues and creating more varied, audience-specific subscription packages.
This shift is supported by research on ad-blocking trends. Deloitte experts estimate that, by 2018, 10% of adults in North America will engage in at least four simultaneous ad-blocking actions on computers and mobile devices, reflecting a condition known as “ad-phobia.”
Data from 2017 published by Page Fair reveals that:
- Ad-blocking software is installed on 615 million devices worldwide
- 11% of global internet users block ads
- Global ad-block usage increased by 30% in one year
In Poland, ad-block usage reached 33% among internet users in 2017, placing Polish users among the highest in the world for ad-block adoption.
COMMERCIAL BREAK
See articles on a similar topic:
Print Advertising in Poland. Analysis by Polskie Badania Czytelnictwa
BARD
Analysts at Polskie Badania Czytelnictwa (Polish Readership Surveys) have compiled statistical data highlighting the reach, engagement, and opinions regarding print advertising campaigns. These insights are valuable for marketers aiming to plan and optimize advertising budgets.
Milgram Experiment 2023. AI Can Encourage Violence
KrzysztoF
Researchers from SWPS University replicated the famous Milgram experiment, in which participants were instructed to inflict pain on another person under the authority’s command. This time, the authority was a robot. It’s the first study showing that people are willing to harm another person when a robot commands them to do so.
Video Games Drive Europe. Record Number of Players in 2023
BARD
The video game market in Europe reached a value of €25.7 billion in 2023, marking a 5% increase compared to the previous year. Video Games Europe and the European Games Developer Federation released the report "All About Video Games – European Key Facts 2023".
Trends in Media and Entertainment. DataArt Predictions for 2019
KF
Increasing consumption of content on mobile devices, growing demand for on-demand services, and the rapid development of user-generated content are the trends expected to dominate the tech sector in 2019, according to DataArt, a global technology consulting firm.
DAB+ Radio. What is Digital Radio Broadcasting?
Krzysztof Fiedorek
Digital radio broadcasting technology, compared to traditional analog radio, provides higher sound quality, better resistance to interference, and more additional features during transmission. However, it’s not without drawbacks and raises concerns among broadcasters.
Models of Journalistic Organizations
Zenon Kuczera
An overview, operational principles, and characteristics of journalistic organizations operating in Belgium, Canada, Switzerland, and the United States.
"No One Should Know the Truth" [DOCUMENTARY FILM]
BARD
According to the Belarusian Association of Journalists, around 554 journalist detentions occurred in Belarus between August 2020 and July 2023. Criminal charges were brought against 73 media workers, and 33 of them remain in prison to this day.