The jury's still out on TV streaming ads in APAC

Like most people in Asia, I often find myself shifting between multiple screens; it’s become second nature to the point where I hardly notice it anymore. Whether it’s scrolling through emails while watching the latest binge-worthy show or playing a game with a podcast running in the background, multi-tasking has become my default. And I’m not alone, 86% in Asia say they often use a second device while watching TV.?

It’s fascinating to see how much our media habits have evolved, but I can only imagine how frustrating this must be for advertisers trying to capture attention. Not only do I have the option to skip ads, I can just tune them out and focus on something else.?

And there’s more. We assumed that ad-tier streaming would be better suited to reaching younger generations, but there might be more to it than that. Among Netflix and Disney+ Hotstar users in several APAC markets, older consumers are currently more likely to say they have a version with ads - possibly because younger groups were early adopters of TV streaming and have experienced it without commercials. The challenge is showing them that ads can be a valuable part of the viewing experience.?

Like many millennials who grew up watching broadcast TV, ads were always expected, and sometimes even part of the charm, especially when the commercials were creative or thought-provoking. Some of my favorite ads are bizarre ones that aired on live TV, like the Sakeru Gummy series. Every time I see those gummies in a store, I can’t help but giggle. These commercials left such a strong impression that I still remember them, and that’s the kind of impact brands should aim for, whether marketing on streaming sites or linear TV.

And after digging more into our data, I realized that even younger people aren’t completely against ads. While Gen Z are the most likely to say they try to avoid all types of advertising in Asia, it’s only 1 in 5 that say this. Most are willing to consider ads, especially when they’re done right.

When an ad enhances my viewing experience, I pay attention. I’m the kind of person who uses a QR code when content catches my eye; and with 61% of online TV streamers in Asia also saying they’ve scanned one in the last month, it’s a great tactic for brands considering or experimenting in the streaming space.?

With the rise of smart TVs and second screens, there’s a huge opportunity for interactive and cross-device ads. That’s the direction we’re heading, and brands need to lean into this - taking the lessons learnt from broadcast TV ads and building on them.

By making their marketing bold, collaborative, or entertaining (like those quirky Japanese ads that make you laugh or leave you so bewildered you have to rewatch them to figure out what just happened), brands can encourage more audiences to see them as a natural part of the online viewing experience.?

Curious to learn more about how these trends are shaping the future of advertising? We’ve contributed to the latest Asia Video Industry Association , which is out now. Click here to download.