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1

Navigating Canadian
TV Landscape:
The CTV Imperative
A Behind the Screens Report
Samsung Ads Canada
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Methodology
The Canadian CTV Imperative is an analysis that Samsung
Ads has developed to guide agencies and advertisers on
the appropriate share of budgets that should be allocated
to CTV. Because homes with CTV access watch linear TV
at lower rates than homes without CTV, a TV ad schedule
that only leverages linear TV will deliver fewer gross
rating points among CTV homes than both the total
Canadian market and homes without CTV access.

The analysis relies on data from Vividata, and their Study


of the Canadian Consumer Spring 2022 release.
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Chapter 1

State of imbalance
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CTV Penetration in Canada


continues to increase, driving
shifts in viewing behavior
Increase in CTV Penetration
Demo Group
2020-2022

Adults 18+ +46%

Men 18+ +52%

Women 18+ +41%

Men 18-34 +44%

Women 18-34 +29%

Men 25-54 +38%

Women 25-54 +40%

Source: VIVIDATA SCC|Study of the Canadian Consumer Spring 2022


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13% Linear Only

Canadian viewers love content and


the majority continue to choose
both linear and streaming.
60% Linear & Streaming
However…

27% Streaming Only

Source: Samsung Proprietary ACR. Streaming and Linear Share of TV Universe, Q4 2022 (Canada). Streaming is viewership in Smart Hub TV Apps.
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…TV viewing continues to shift to streaming, which is driving


all of the growth in consumption in Smart TV HHs
Total TV viewing increased +10% between the 4th quarter of 2021 to 2022, driven by a 28%
growth in streaming time
Time spent viewing across platforms, quarterly growth

-17%
Linear time

+10%
Viewing time
Streaming time +28% YOY increase

Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022

Source: Samsung Proprietary ACR – active TVs with 1-hour minimum total viewing per month in the quarter. Streaming is viewership in Smart Hub TV Apps
including Samsung TV Plus; Linear is viewership of matched Linear ACR Content. Total TV time refers to time spent with either Streaming or Linear content.
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The result is lopsided linear consumption


In Canada, the 29% of Samsung households that are the heaviest linear viewers consume more
than 90% of all linear minutes

Mostly streaming households Mostly linear households

71% 87% 8% 29% 13% 92%

Share of audience Share of streaming minutes Share of linear minutes

Source: Samsung proprietary ACR October – December 2022– active TVs with 1-hour minimum total viewing per month in the quarter. Streaming is viewership in Smart Hub TV
Apps; Linear is viewership of matched Linear ACR Content. Total Universe is usage of Smart TV Apps and Linear.
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Per Vividata, Smart TV-enabled households watch fewer


linear TV telecasts across all major content genres

% of Homes Watching an Average Linear


Telecast
20%

15%

10%

5%

0%
Entertainment Informational News Sports
Total Market CTV Homes

Samsung Model; Source: VIVIDATA SCC|Study of the Canadian Consumer Spring 2022
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Chapter 2

The CTV Imperative


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Advertisers are missing the mostly streaming households


Mostly streaming Samsung households watch just 6 minutes of linear TV per day, or about 42
minutes each week, making it very difficult for linear TV advertisers to reach them
Behavior Among Canadian Samsung Smart TV Households

Canada Linear
Samsung Composition Viewing Hours/Day

Mostly Streaming
Medium, Light and Non-Linear homes within the
Samsung Universe that account for 8% of the total
linear minutes watched.
71% 0.1

29% 2.8
Mostly Linear
Heavy Linear homes within the Samsung Universe that
account for 92% of the total linear minutes watched.

Source: Samsung Ads proprietary ACR data, Canada Only. Q4 2022


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The CTV imperative:


To achieve a balance in Gross Rating Points between CTV and
linear homes, 20% of Canadian TV budgets must be allocated
to CTV
GRP index by CTV allocation A 18-49
GRP Index CTV Homes GRP Index Linear Homes
140
120
100
80
60
Over-delivery to linear homes and under-
40
delivery to CTV homes Achieving balance
20
0
5% 10% 20% 25% 30%

Percent of Budget Allocation to CTV

Samsung Model; Source: VIVIDATA SCC|Study of the Canadian Consumer Spring 2022
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Chapter 3

Rebalancing with AVOD


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As viewing shifts to streaming, new advertising opportunities


are arising in ad-supported video on demand
Q4 2022 Q4 2021

+23%
SVOD

+31%
AVOD

Source: Samsung Proprietary ACR – Includes Active TVs with 1-hour minimum viewership per month. Streaming is viewership in Smart Hub with a minimum of 1 minute of consecutive app viewership. App Type is
primary app type – AVOD includes ad-supported apps – both free and paid and Samsung TV Plus. SVOD is paid, non ad supported subscription-only apps. TVOD is primarily transactional supported video apps.
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How to achieve balance: AVOD at scale

84%
Reach of AVOD
1.0
AVOD Hours Viewed per
on Samsung Smart Day on Samsung Smart
TVs in Canada TVs in Canada

Source: Samsung Proprietary ACR – Includes Active TVs with 1-hour minimum viewership per month. Streaming is viewership in Smart Hub with a minimum of 1 minute of
consecutive app viewership. App Type is primary app type – AVOD includes ad-supported apps – both free and paid and Samsung TV Plus. Penetration is among universe of Smart
Hub and Linear viewership.
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Key points to rebalancing Canadian TV


budgets

1 2 3
Because of how Canadian Smart TV Shifting 20% of linear budgets to CTV Ad-supported streaming (AVOD) will
adoption affects viewing behavior, a results in a re-balancing of TV ad continue to grow in importance as a
linear TV media plan will under- impressions and parity of ad delivery part of any media strategy, as more
deliver to CTV households and over- between Linear-Only and Streaming- viewers shift their attention in the
deliver to Linear-Only households Enabled homes medium and users spend more time
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The power of Samsung


#1
Top five in the best Smart TV
global brands of 2022 brand globally

#1 #1
Tizen: Top OS in the Smartphone
U.S., global licensing market share
expansion underway globally
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Thank you

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