The rise of on demand: how streaming is changing viewing habits

For years, live TV has dominated the way we consumed content. While it still holds the largest share of TV viewing, the rise of streaming services and broadcaster led digital platforms have expanded the ways audiences can access their favourite shows, offering more flexibility alongside traditional live viewing.

The two types of on demand viewing

• SVOD (Subscription Video On Demand) – Services like Netflix, Amazon Prime, and Disney+ that require a paid subscription.

  
  

• BVOD (Broadcaster Video On Demand) – Free catch-up and streaming platforms from traditional broadcasters, such as ITVX, 4, 5, and Sky’s on demand services.

  
  

BVOD: The growing power of broadcaster streaming

Broadcaster Video On Demand has been growing steadily in recent years, with broadcasters heavily investing in both technology and content.

Key BVOD Stats:

• Viewing time on BVOD platforms increased 23% in 2023 compared to the previous year.

• It now accounts for 10% of total adult broadcaster TV viewing, rising to 24% among 16-34-year-olds.

• The BVOD audience is skewed towards ABC1 viewers (61% vs 49% for linear TV) and 16-34-year-olds (26% of BVOD minutes vs 8% for linear TV).

• 84% of BVOD viewing happens on a TV screen, encouraging shared viewing, which enhances content memorability.

  
  

Beyond shared viewing, BVOD provides advertisers with access to valuable first-party data from user sign ups, including age, gender, and location, helping brands tailor their advertising more effectively.

SVOD: The subscription streaming boom

According to a recent BARB survey, around 75% of individuals have access to at least one paid streaming service. However, 2023 saw a slight dip in SVOD subscriptions compared to 2022.

This decline is likely due to:

• Cost-of-living concerns leading to cutbacks

• Crackdowns on password sharing

• The rise of "subscription cycling" where users subscribe for a short period, binge watch specific content, then cancel.

The Top 3 SVOD Platforms

1. Netflix: 66% of UK households subscribed

2. Amazon Prime Video: 50%

3. Disney+:  14.5%

   
   

What content thrives on on-demand?

While some genres remain tied to live TV (like news, sports, and current affairs), others have seen a major boost from on demand viewing. In 2023, viewers consumed more entertainment, drama, and films than the previous year, driven largely by the ability to watch what they want, when they want.

The future of on-demand viewing

While live TV remains a dominant force, the future of on demand viewing is bright. With continued growth and investment, streaming services are attracting a younger, more affluent audience and offering advertisers new opportunities to promote their brands alongside premium content at competitive rates.

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