Pluto TV, the free streaming service operated by ViacomCBS, will receive $786.7 million in net US ad-revenues in 2021, a 77.7% increase over the previous year. In 2022, the AVOD platform’s net US ad revenues will surpass $1 billion annually for the first time, according to eMarketer, who assures “the growth of Pluto TV’s ad business is reflective of how advertisers are funneling more money toward streaming video”.
In a December 2020 survey from Advertiser Perceptions, 42% of US agency and marketing professionals said they would increase ad spending directed to OTT streaming services over the next 12 months, while just 2% planned to decrease it. Most respondents (56%) said their OTT ad spending would remain about the same as last year.
Nonetheless, more respondents expected to increase their spending on OTT (42%) than on any other advanced TV option, including virtual multichannel video programming distributors (36%), data-driven linear TV (28%), and addressable linear TV (25%).
Fully 60% of OTT and connected TV (CTV) ad dollars will come from linear TV budgets this year, according to a November 2020 poll by the Interactive Advertising Bureau (IAB) of US agencies and brand marketers with digital video in their 2021 media budgets. Digital display will be the second-largest source, accounting for 37% of OTT and CTV ad spending. Remaining OTT and CTV ad dollars will pull from a mix of sources including out-of-home, print, and audio.