#USA #Dallas #Parks Associates #Subscription Services #ad-supported streaming

Parks Associates Predicts Future of Ad-Supported Streaming

Parks Associates has recently unveiled a significant new study, highlighting transformative changes expected in the streaming landscape. According to their findings, anticipated growth indicates that by 2029, over 278 million viewers will be accessing subscription-based ad-supported streaming services. Partnering with Adeia, Parks Associates has meticulously crafted a white paper titled Interactive & Shoppable TV: Next Wave of CTV Revenues, which delves into how service providers can redefine and enhance viewer engagement.

In the age where content consumption is rapidly evolving, Parks Associates emphasizes the necessity for platforms to optimize user experiences through interactivity and commerce. Jennifer Kent, Vice President of Research at Parks Associates, noted, > "Industry players can take productive steps today to advance the interactive TV experience for viewers and advertisers. This involves making effective use of available data, optimizing user experiences, and connecting workflows."

The heightening interest in connected TV (CTV) reveals a robust opportunity for industry players. The report highlights a staggering 52% of US internet households expressing a likelihood or strong inclination to engage with at least one commercial activity via CTV platforms. Viewer preferences are diversifying;

• - 82% are now accustomed to watching streaming advertisements through various combinations of free and ad-subsidized platforms.
• - Moreover, 59% already subscribe to ad-supported tiers of subscription video-on-demand (SVOD) services like Netflix, Disney+, or Peacock.
• - An additional 47% enjoy free streaming services, including Tubi and Pluto, while 22% utilize pay-TV vMVPDs like YouTube TV and Hulu + Live TV.

The rise of ad-post services is forecasting new revenue streams and providing innovative ways for viewers to interact with content. This evolution signals the intersection of commerce and entertainment, where shoppable features can turn passive viewing into an active shopping experience. For instance, through direct transactional opportunities, content can seamlessly fuse with e-commerce, creating enriched user experiences that blur the lines between entertainment and commercial activity.

The potential for interactive TV experiences is vast, especially as consumers show enthusiasm for enhanced forms of engagement with their media. As more viewers get accustomed to these commercial experiences, the need for brands to implement sustainable and scalable solutions becomes critical.

Parks Associates underscores that addressing immediate challenges with short-term fixes won't suffice; instead, a forward-thinking approach is essential for long-term success. The report underscores the importance of cultivating a landscape where consumers feel motivated to engage with brands in a meaningful way.

Furthermore, this pioneering research will be prominently featured at the seventh annual Future of Video Business of Streaming, an event set to take place from November 18-20, 2025, in Marina del Rey, California. This conference will provide a platform for stakeholders to explore actionable insights into streaming and business strategies in the rapidly changing digital environment.

As Parks Associates continues to lead the charge in market research and consumer insights, their findings will undoubtedly shape the future of streaming and advertising. The world of interactive and shoppable TV is evolving, and this report marks an important milestone in understanding the trajectory of viewer engagement in the upcoming years.

For those interested in exploring the research further, the white paper is available for download directly from Parks Associates' website. Likewise, for media inquiries or detailed data requests, Mindi Sue Sternblitz-Rubenstein can be contacted at [email protected] or at 972-490-1113.

Understanding and adapting to these trends will be essential for brands aiming to thrive in the competitive media landscape ahead.