The Power of SVOD on Multicultural Audiences and Advertisers

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Netflix, Hulu, Amazon Prime, YouTube… if you’re not tapping into Streaming Video on Demand (SVOD), you’re missing out on a huge opportunity. According to a 2017 study conducted by Fluent LLC, SVOD usage has surpassed cable, with 67 percent of U.S. internet users streaming video on demand, versus 61 percent who are consuming through cable. And according to Cord Cutter News, over 9,000 Americans are ditching cable each day.Is SVOD the New TV?

Streaming video on demand has disrupted the way we view TV – in fact, according to the Digital Lives 2018 study conducted by the Culture Marketing Council: The Voice of Hispanic Marketing (CMC), which probed video viewing habits, it now rivals the live TV viewing share among Hispanics 13-34 and exceeds it with non-Hispanic whites (NHW) 18-34. According to, traditional TV ad spending is decreasing steadily each year, and mobile ad spending is set to surpass TV ad spending this year, making SVOD and digital streaming an attractive option for brands.

According to Digital Lives 2018, digital TV/Movies (with SVOD being a part of this category) are the #1 thing most 18-49s say, “I can’t live without,” except for Hispanics ages 18-34 where it was in a virtual tie with their passion for social media. SVOD content is perceived as unique and appealing with binging a major factor – why wait to see your show week to week when you can grab an entire series and watch it beginning to end whenever you want? Savvy networks that offer their programming on demand have seen this pay dividends!
SVOD is not just for Millennials

According to the CMC study, streaming TV/movies is #1 in engagement for ages 13-49 and this is dominated by SVOD. Despite the assumption that streaming services are most popular among young millennials and teens, non-Hispanic white teens surveyed for Digital Lives 2018 were more likely to watch more live/DVR television and less SVOD than millennial adults. In addition, streaming TV/movies turned out to be the #1 “digital treat” for respondents across segments age groups and Hispanic, non-Hispanic African-Americans (NHAA) and NHW segments.Why is SVOD  so appealing?

With little to no commercials and the opportunity to binge watch your favorite series, SVOD is taking over TVs and devices worldwide. In addition, with hit series like Netflix original Stranger Things and the reboot of One Day at a Time featuring an all-Hispanic cast, more and more consumers are being lured to SVOD platforms and ditching cable.

Bilingual respondents surveyed via Digital Lives 2018 were attracted to Netflix as all of Netflix’s original content is offered in Spanish audio and/or subtitling, opening a new world of TV viewing beyond traditional Spanish channels. For bilingual Hispanics, they enjoy streaming platforms as many SVOD offerings such as Orange is the New Black, Runaways and Narcos strive for diverse representation and storylines.
The study’s respondents also said that they stream videos on Netflix and Hulu as an alternative to DVR and catch-up viewing, and others said that SVOD is a cozier version of a movie theater, allowing them to watch their favorite documentaries and movies from the comfort of their couch or bed. One Spanish-language respondent surveyed in the study said, “For us, at home, movie time is our family moment. This is when we try to watch family programming together.” This brings up a great point. Through SVOD services like Hulu and Netflix, you can easily peruse programs and movies to find age-appropriate content that the whole family will enjoy.

What does this mean for advertisers?

Although many streaming platforms are not ad-friendly, there are still opportunities for marketers to jump on board. Hulu offers a more affordable monthly package of SVOD services which includes commercials and interactive advertisements where viewers can participate in the ad experience.

In addition to traditional advertisements, marketers can participate in brand integration with Netflix and Hulu original TV shows, much like Eggo’s product placement on the Netflix hit show Stranger Things. In addition, advertisers can partner with TV show characters and series through social media campaigns.

SVOD is the future

It is abundantly clear that SVOD is here to stay and will continue to gain penetration in households all over the U.S. According to, in 2018, streaming video on demand revenue (through advertising and subscription purchases) amounts to $14.0 million, and in 2022, SVOD is projected to reach $18.7 million. In today’s fast-paced on-demand world, marketers have to evolve and find new creative and compelling ways to engage with consumers—and that means ensuring a presence in SVOD. It’s time for marketers to hop on board!

By: CMC Research Chair Nancy Tellet


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