Horizon Canada: Advertising in Video Streaming Platforms

May, 2024

The landscape of streaming video in Canada is rapidly evolving, with a growing array of options catering to diverse consumer preferences. One significant development in this space is the introduction of ad tiers, which offer consumers various subscription options with differing levels of ad exposure. This represents a strategic approach to balance revenue generation with providing affordable access to content.

Ad tier models have been at the forefront for streaming services, concerning many Canadians, as cost of living continues to increase, the thought of higher subscription fees to view content is worrying. Therefore, understanding Canadians’ thoughts, perceptions, and preferences regarding these ad tiers is crucial for streaming services and advertisers alike seeking to effectively engage with audiences across the country.

Using Horizon’s ‘Finger on the Pulse’ methodology, we set out to delve into Canadian attitudes towards ad tiers, value perceptions, user experience, and preferences for platform and content.

Key Takeaways:

  1. Brands should prioritize advertising on the platforms that offer the most content depth, especially Canadian content as these drive positive association for advertisers.
  2. Canadians seek affordability and are open to ad-supported tiers to save money however, in general, they prefer ad-free options and will pay for these.
  3. Canadians are more receptive to ads on streaming platforms that are specifically targeted toward their interests — they don’t want to see untargeted ads in these environments.
  4. Canadians prefer skippable ads, limited interruptions, and engaging ad placements.
  5. Older age groups have historically been targeted with ads on linear TV and expect to be targeted with ads.

To read the full report, click ‘Download PDF’ below.

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