Streaming ad tiers now make up 46% of all subscriptions for those services that offer them. Mark Douglas, CEO of MNTN, joined TheStreet to discuss what’s behind this shift and what this means for the traditional subscription model.
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Full Video Transcript Below:
MARK DOUGLAS: So over the last few years, ad supported streaming has become nearly half the market, and the consumers have clearly voted that they want broader amount of inventory. They want to watch more streaming services. As a result, they understand just intuitively that ultimately advertisers pay for that content. And in order to put their message in front of them. So I think consumers have responded that they’re completely good with that’s what they do want, is they want them to be highly targeted and they want them to be entertaining. And so that’s one thing that we really focus on with our customers so that everybody is happy. Our advertisers and also the people watching them.
In terms of where the market is headed, kind of ad supported streaming versus we’ll call it just subscription streaming. I think there’s going to be more ad supported streaming, but it’s up to the consumer. If you want to pay to not see easily do that. But also again, if the ads are entertaining, a lot of consumers are very comfortable in watching them. You see that across the board in every channel.
