Younger Millennials (94%), females (90%) and Gen Z (89%) OTT viewers are most likely to accept two or more ads per hour of free content. According to the study "The Future of TV 2022" by The Trade Desk done in Southeast Asia, 88% of OTT viewers are open to seeing ads in exchange for free content, among which 89% are willing to watch two or more ads per hour of free content.
OTT consumption is up 22% YoY in Southeast Asia. Southeast Asian viewers now stream 9.7 billion hours of content every month, up from eight billion last year, with the average viewer spending 48.6 hours watching OTT every month. Out of the 200 million OTT viewers in Southeast Asia, about one in five (18%) viewers are heavy users of OTT who consume over four hours of content per day. Heavy users also make up 23% of Gen Z and young Millennials aged 16-34 years old.
About four in five (82%) OTT viewers use more than one OTT platform, compared to 80% in 2020. Additionally, 69% of female Gen Z viewers watch ad-supported platforms, while 61% of young female Millennials watch ad-supported platforms.
Audiences are increasingly cutting the cord with traditional TV, with 22% of OTT viewers no longer watching traditional TV. That figure has grown 29% YoY.
This has led to traditional broadcasters investing heavily in OTT platforms. The study also found that 22% of OTT viewers did not watch traditional TV in the past three months, compared to 17% in 2020. At the same time, 37% of Gen Z OTT viewers did not watch traditional TV in the past three months, compared to 30% in 2020.
While smart TV claims a third of all OTT viewing hours, roughly three billion every month, smartphones continue to reign supreme among youth. Gen Z consumes 47% of their OTT via mobile while the average user consumes 36% on smartphones.
Top OTT trends
OTT is disrupting traditional TV in Southeast Asia. The two main factors are the availability of quality shows from different regions, typically not found on traditional TV, and the flexibility OTT offers, enabling viewers to watch their favourite shows on their own time, at home or away, on any screen.
Korean content, in particular, has been on the rise the past year, jumping 21% in popularity across all markets in Southeast Asia. It’s now ranked first in terms of preference in Indonesia and the Philippines. However, Korean content is growing at the expense of Western fare, as the number of people who ranked Western content as a top preference dropped by 11%.
Korean drama also came in first for the most popular genre, followed by action and comedy. Close to seven in 10 (68%) of female viewers and three in five (62%) Gen Z viewers ranked Korean drama as their favourite genre. There is a noticeable split in preferences between male and female viewers as well. Female Gen Z, Young Millennials and mothers all rank Korean drama as their top genre, while Male Gen Z and young Millennials prefer comedy and action respectively.
Photo courtesy: 123RF
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