More than 50 percent of Europeans still choose linear TV as their first port of call for connected TV viewing, according to the latest ‘TV Key Facts’ report from RTL AdAlliance, with 53 percent first visiting linear when turning on their TV. The 31st edition of the report emphasises the relatively high consumption of TV in Europe, where daily viewing time averaged 3 hours 13 minutes in 2023. By way of contrast, daily TV viewing time in the US is around 2 hours 30 minutes.
The report from the RTL sales house highlights the “resilience” of TV in the face of growing competition from digital and social platforms, which appear to be eating into daily consumption at a faster rate in the US than in Europe, where broadcaster video-on-demand (BVOD) services are helping preserve TV usage even as viewing shifts online. UK broadcasters such as Channel 4 and ITV, alongside French channels TF1 and RTL-owned M6, have made the transition to BVOD usage core to their business strategies, and the study found that BVOD viewing among Europeans has increased by 10 percent over the past three years.
And that shift is mirrored in ad spending trends, according to RTL, with TV spend forecast to rise over the next five years. Projections from GroupM suggest that annual ad growth on TV, when digital extensions are included, will climb 2-4 percent between 2024 and 2029. The report also cites figures from IAB Europe suggesting that ad spend on CTV grew by 23.5 percent in 2023.
The AI factor
RTL AdAlliance outlines two main factors behind the continued resilience of TV. The first is the emotional connection forged by TV, citing local content as a key driver for European audiences, particularly sports, reality competition shows and news. The report notes that while emotionally driven ads have a higher recall than those focused on short-term sales, marketers should not underestimate TV’s effectiveness as a sales driver, citing Thinkbox research that demonstrates the channel’s high sales contribution.
Secondly, the study points to TV’s ability to adapt to new technologies, with AI being deployed at “every stage of the advertising journey.” These include content production and distrubution for broadcasters, as well as media planning and measurement for advertisers, with AI reportedly enabling more informed decision-making for marketers. On the broadcaster side, the last few weeks alone have seen ITV experiment with generative AI for content ideation and ad creation, while M6’s new streaming service M6+ is deploying an AI search engine to improve the relevance of its recommendations and boost content discoverability.
“As the advertising industry continues to adapt to technological advancements, AI presents an opportunity to unlock the full potential of television,” says the report. “By combining the emotional power of TV with the precision of AI, advertisers can create more effective campaigns, ensuring that TV remains a critical part of the advertising mix in the years to come.”
“At RTL AdAlliance, we envision a future where TV is 100 percent digital and ad served,” adds Aurélie Brunet de Courssou, Marketing Director at RTL AdAlliance. “Using technology, we’re actively working towards this goal. Our ‘TV Key Facts: Where tech meets human / Where humans meet tech’ sheds light on the ideal mixture of premium content and skillful advertising techniques – combining the power of emotional content with cutting-edge technology and data-driven insights for smarter media planning.”
