Watching TV shows online has surged past watching newscasts as the most popular video format for U.S. Internet consumers, according to a survey commissioned by the Conference Board and market research group, TNS.
More than 15 percent of households now watch some TV online, while the number of Internet users watching whole episodes has double in the past year, says the Consumer Internet Barometer completed in Q3 2007.
Personal convenience and avoiding advertisements were cited as the top drivers for the growth in video entertainment, said Conference Board Consumer Research Center director, Lynn Franco. "One reason . . . is that much of the same content available for television viewers is also available online," Franco said. She said online users catching up on missed content have increased to 42 percent from 30 percent a year ago.
And, the dramatic growth is likely to impact the advertising market, said Shari Morwood, EVP of Technology, Telecommunications and Media at TNS. "(It's) going to have a huge impact on the way brands and advertisers communicate with viewers. If advertisers can effectively leverage the online video platform, we should see much more interactivity and emotional connection between brands and the online TV viewing audience," Morwood said.