Samba TV: Linear TV Consumption Dropped to Yearly Low in Q2

Samba TV Aug. 18 released its latest “State of Viewership” report analyzing approximately 24 billion hours of linear and streaming during the second quarter (ended June 30). The media measurement company found a viewership landscape marked by year lows in linear TV viewership, record saturation of the linear TV ad market, a tsunami of new content flooding streaming platforms, and an increasing likelihood for streaming subscriber churn.

“With 95% of all linear ad impressions now reaching only half of American television viewers, we have reached a tipping point for television and advertising more broadly,” Ashwin Navin, co-founder/CEO of Samba TV, said in a statement. “This is a wake-up call moment for our industry.”

It has become a business imperative for the advertising market to evolve away from legacy practices that are leading to significant waste and missed opportunities to embrace new solutions that do not oversaturate the same potential customers with the same costly ads while leaving tens of millions of households largely ignored,” said Samba TV CEO and co-founder Ashwin Navin.

In Q2, linear TV dropped to a year low in minutes watched. With only half the population tuning in to traditional television each day on average throughout Q2 2022, advertisers face a heightened challenge in reaching the other half of household viewers through these mediums. Samba TV’s insights uncovered continued ad saturation across linear, with 95% of all ad impressions reaching only half of American households.

Millennials under age 35 watched nearly 25% less linear TV per week than households over age 35. Some decline in linear viewership can be attributed to different habits among age groups, with older generations remaining tied to linear and younger viewers switching to OTT services.

In the world of streaming, the need to maintain fresh content is at a record high among platforms, with even the most-viewed series fizzling out after its first month and the rate of SVOD subscription churn increasing as viewers look to cut costs. Samba TV data shows over three quarters of 50-day premiere viewership on streaming platforms occurs within the first two weeks. By the 15th day after release, almost all top shows had driven more than 70% of their cumulative 50-day viewership. This jumped to more than 86% of the 50-day viewership after 30 days.

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For the second quarter in a row, both Disney+ and Netflix far outperformed all other streamers in driving multiple program engagements with subscribers. Across other streamers, more than half of viewers watched only one of the platform’s top programs in Q2. On HBO Max, Apple TV+, Hulu, and Amazon Prime Video, between 55%-62% of top program viewers watched just one program among the top 50 shows during Q2 2022. With subscription cycling on the rise (where viewers sign up for one show or move and then cancel), SVODs will need to find new ways to show viewers they are worth the money, whether that be through innovative programming or offering new, cheaper AVOD tiered offerings.

“In today’s content streaming wars, just because you build it, doesn’t mean viewers will come to it,” Navin said. “We need to be much more strategic about how we drive engagement before, during and after launches.”

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