Mexico leads in this metric, with more than 92% Mexican respondents reporting that they used a streaming service at least once a week. Brazil followed closely behind (91%), followed by Argentina (81%), according to Magnite’s latest research.
There is widespread adoption of CTV streaming platforms across Brazil, Argentina, and Mexico. Across the three markets, 91% of respondents said they tune into streaming TV weekly. Mexico leads in this metric, with more than nine in ten (92%) Mexican respondents reporting that they used a streaming service at least once a week. Brazilian respondents followed closely behind in weekly streaming consumption (91%), followed by Argentinian respondents (81%), according to Magnite’s latest research.
Demonstrating consumers’ preference for streaming, 85% of viewers said they preferred streaming over broadcast TV, and 80% would keep streaming over broadcast if they had to choose. In all three countries, respondents spent a majority of their time watching streaming TV over linear TV. In Mexico, respondents spent 65% of their TV viewing time on streaming. Brazilians and Argentinian respondents reported 63% and 58% of their TV viewing time was spent streaming, respectively.
“Although CTV advertising is still in its early stages in Latin America, the findings in our research study suggest there are huge opportunities to be uncovered in this newer format,” said Rafael Pallarés, Head of Latin America at Magnite. “The clear preference for streaming over broadcast coupled with consumers’ receptivity towards ad-supported models should signal confidence in future growth of ad-supported CTV for both streaming publishers as well as advertisers,” he added.
The study also found out that viewers streaming content are far more attentive to programming than when watching broadcast shows, leading to higher engagement with advertising. In fact, 79% of respondents stated they were receptive to advertising on CTV and willing to watch ads in exchange for free or reduced-cost programming. Those surveyed also enjoy discovering new products from ads in streaming shows and will consider brand or product ads in their favorite shows, with 52% taking an action, such as searching for the product online or buying the advertised product, after exposure.
Furthermore, in all three countries, the amount that people are willing to pay for streaming TV is still greater than the amount they are currently paying, indicating there is room to layer on additional services. In Argentina, the average consumers pay is US$6 per month, while the maximum amount they are willing to pay is US$10. In Brazil, the average amount paid is US$15 per month, while the maximum is US$20; and in Mexico, consumers spend an average of US$18 per month, but are willing to spend up to US$26. A majority (71%) of consumers stated that they plan to subscribe to another service.
While Latin American consumers have not yet reached their subscription limits, they still want to maximize access to streaming content within their budget. A majority of respondents (74%) would prefer to watch free or reduced cost ad-supported content and 83% said they wish there were more free streaming video services.
The clear preference for streaming over broadcast coupled with consumers’ receptivity towards ad-supported models should signal confidence in future growth of ad-supported CTV” Rafael Pallarés Head of Latin America at Magnite