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Advertising dollars may not follow Hulu and Roku viewership boosts - Business Insider

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Hulu and Roku are getting a popularity boost from the pandemic, but they may not be able to fully capitalize on it

will pay for a traditional TV service this year, down from 86.5 million last year.

"A benefit and value to linear is quickly amassing immediate reach as millions of people see your 30-second ad in primetime," he said. "In the on-demand, ad-served world, it can take weeks for your same 30-second spot to reach one million people. Regardless of the constraints of fixed budgets in linear that cannot be cancelled, it's still not a like-for-like transfer to OTT and streaming.

Jeffrey Wlodarczak, principal and senior analyst at Pivotal Research Group, warned in an April 14 note that Roku's spike in viewership would not translate to a proportionate amount of ad revenue due to a 40% to 50% drop in cost-per-impressions for online video ads overall. unique ad products for the home screen and sponsorships for movies and TV shows on the platform that are truly measurable," the spokesperson said. "In these uncertain times, we're able to listen to our client's specific challenges and be flexible to shift their ad campaigns to meet their goals.

 

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