Connect with the 238 Million Connected-​TV Consumers

BY Courtney Huckabay
Featured image for “Connect with the 238 Million Connected-​TV Consumers”

According to the NPD Connected Intelligence Connected Home Forecast, by the end of 2019, 238 million installed devices are expected to be connected to the Internet and able to deliver apps to TVs, representing 59 percent growth from 2015 to 2019.

Connected TVs are projected to drive 45 percent of the growth over the coming four years, while less expensive, content-​heavy streaming media players are projected to drive 35 percent growth.

This is good news for retailers selling Roku devices. The latest AudienceSCAN survey found 9.4% of Americans already use Roku devices for their television programming.

The rate of connecting these devices is projected to increase from 70 percent in 2015 to 80 percent of installed units by the end of 2019, driven primarily by hardware prompting connectivity, an increase in quality app programming from TV networks, and improvements to user interfaces.

Advertisers can get on board with Roku and still hit this audience with traditional too. The most recent AudienceSCAN study reported 34.6% of Roku Users get most of their TV programming through cable subscriptions.

With an ever-​increasing number of connectable devices expected to be connected to the Internet, viewers will have the ability to choose their preferred option instead of using the only device they have attached to their TV,” said John Buffone, executive director, industry analyst, NPD Connected Intelligence. “This shift will inevitably result in diminished usage for some devices.”

Roku Users are absorbing their news and marketing in other media as well. According to AudienecSCAN data, 22% of Roku Users get most of their news from newspapers, and 8.7% get it from the radio. Be sure to advertise to Roku Users with these methods for a well-​rounded campaign.

Beginning in 2016 and through the remainder of the forecast period (2019) we expect streaming media devices will be found in more homes than any other connected TV device. With multiple options available from industry leaders such as Google, Roku, Amazon and Apple, we expect 43 percent of U.S. Internet homes will own at least one streaming media player by the end of 2019. However, Roku and (Google) Chromecast have expanded beyond streaming media players to take advantage of the growth in connected TV sales as well. As such, a consolidation of operating systems has begun with more than ten TV manufacturers opting to partner with Roku and Chromecast, as opposed to managing their own app eco-system.

The integration of streaming media player operating systems into TVs points to the beginning of a consolidation of operating systems that app developers will need to focus on in order to reach their audience,” said Buffone.

AudienceSCAN data is available as part of a subscription to AdMall for Agencies, or with the SalesFuel API. Media companies can access AudienceSCAN data through the AudienceSCAN Reports in AdMall.