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At the beginning of 2012 we saw a burst of excitement around the predicted rise in the use of connected TV, however consumer reaction appears to have been somewhat muted.

Data we published in May showed that that 17% of British adults own an internet ready TV set but just 7% have used a it to go online.

More than a third (36%) of respondents said they did not see the point in going online through a TV set.

A new report from Parks Associates and Rovi seeks to identify which audience segments are actually adopting connected TV, with the results showing that owners in the UK are typically young, affluent males.

Nearly 40% are upper-middle class and more than 70% closely follow the latest developments in new technology.

Furthermore, their ownership of other devices such as game consoles and tablets is considerably higher than the national average.

For example, connected TV owners are seven times more likely to own a tablet than the average UK consumer.

To find out more about internet ready TVs read Econsultancy's Connected TV Smart Pack.

It highlights market trends, key statistics and case study examples of companies using connected TV for marketing and provides an overview of the main players in this increasingly important sector.

Power of connected TV ads

Rovi's report includes data which suggests that connected TV users are extremely receptive to ads shown on the platform, particularly if they include an interactive element.

However it should obviously be noted that the authors have a vested interest in promoting the benefits of connected TV advertising.

Even so, there is evidence to suggest that viewers notice and remember ads shown on the platform and often perceive ad content as valuable extensions of the video-viewing experience.

For example a survey of 221 US connected TV households found that 67% said that ads on the platform were less disruptive than traditional TV ads. A further 57% said they are open to seeing ads while searching for a TV program.

A previous report from Rovi reported similarly impressive results, with a study of eight connected TV ads achieving an average CTR of 22%.

Almost 70% of users exposed to the smart TV campaigns noticed the ads, achieving a 6% incremental reach in addition to traditional media channels.

However some of the results in the new report are too good to be true, such as the claim that 38% of people who viewed an ad on connected TV told a friend or family member about the product, while 31% visited the brand’s website and 27% purchased the product.

Connected TV is still a developing industry and as such users are going to be more aware of the new features and what appears on screen.

As connected TVs become more common the ads will blur into the background as they do on webpages and CTRs will inevitably drop - there is no way any ad platform will be able to maintain a 22% CTR.

David Moth

Published 9 November, 2012 by David Moth @ Econsultancy

David Moth is Editor and Head of Social at Econsultancy. You can follow him on Twitter or connect via Google+ and LinkedIn

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Comments (1)


Brett Clements

I think you need to define your definition of Connected TV. Is that Smart TV? Gaming devices? Tablets? Mobile? Do you have any idea what connected TV is measured by? What IS TV? So Apple TV will never catch on? I'd rather use this than get slugged for those late fees. How about X Box? Is that TV? So cable movies delivered by Foxtel will never catch on? How about Google TV? I think the concept of 'TV' has moved so far outside what you can measure as to make what you write totally absurd. I think you need to define what IS 'TV'. And I believe that's no longer possible. But go ahead. I'd love to hear your response.

almost 4 years ago

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