The latest report from LG Ad Solutions, "The Inclusive Screen: Black Americans - A Look into CTV Usage and Preferences," revealed that 66% of Black CTV users favor streaming TV over traditional methods such as cable or satellite. This shift is bolstered by the fact that 93% of Black Americans have access to an internet-connected TV (CTV). This trend underscores the pivotal role CTV plays in the viewing habits of Black audiences, making it a crucial platform for marketers aiming to reach this segment.
For Black CTV users, the journey of discovering new content often begins at the TV home screen. This primary source of recommendations outstrips other methods such as app homepages, suggestions from friends and family, social media cues, TV ads, and even billboards. This highlights the importance of strategic placement and visibility on these digital interfaces for content providers and advertisers alike.
Furthermore, Black CTV users demonstrate a dynamic approach to their subscription services. 77% of them are inclined to sign up for a streaming service only to cancel it after watching specific content, a behavior pattern that is 25% more prevalent than among the general CTV audience. This fluidity in subscription habits suggests that content exclusivity and strategic releases can effectively capture and hold this audience's attention.
When it comes to choosing between paid subscriptions and free, ad-supported content, the latter wins out among Black CTV users. 68% prefer to stream free video content with advertisements, and 65% spend over two hours weekly on free ad-supported streaming services, a frequency that is 21% higher compared to the overall CTV user base. This preference highlights a significant opportunity for advertisers to engage with a receptive audience through ad-supported platforms.
News and sitcoms are particularly popular among Black viewers, indicating genre preferences that advertisers can leverage when targeting this demographic. Ads themselves are more effective when they are relevant and engaging. 81% of Black CTV users prefer ads that align with their personal interests, and 70% appreciate ads that are pertinent to the content they are watching. Additionally, 63% find streaming TV ads to be more relevant than those on traditional TV, and 50% pay closer attention to these ads while streaming—this attentiveness is 30% higher than that of the general CTV audience.
Black CTV users often multitask while watching TV, a behavior that brands can capitalize on. 96% of them engage in other activities while watching, with browsing social media being the most common. They are also 30% more likely to shop online, 8% more likely to game, and 41% more likely to stream additional content simultaneously compared to the general population. This multitasking environment offers unique opportunities for integrated advertising strategies that can capture attention across multiple devices.
Diversity in media and advertising is not just appreciated but essential for Black CTV users. 61% value content that highlights stories from racially diverse communities, and 69% are more attentive to ads that accurately portray diverse groups. These figures are significantly higher—18% and 37% respectively—than those for the overall CTV user base, emphasizing the critical need for authentic representation in both content and advertising.
Black CTV users are highly responsive to advertisements. 47% are likely to visit a website after seeing an ad, 44% search online for the advertised product, and 29% go on to make a purchase. Additionally, 29% discuss the product with friends or family, and 24% visit a store as a result. These response rates are substantially higher—ranging from 9% to 34%—than those of the general audience, showcasing the effectiveness of targeted CTV advertising in driving consumer actions.
As the U.S. continues to grow more diverse, the importance of inclusive and targeted advertising strategies cannot be overstated. Brands that embrace these insights and adapt their approaches to the preferences of Black CTV users will be well-positioned to build stronger, more meaningful connections with this influential audience.