This year, viewers are watching more CTV in longer sessions. Viewership now approaches pandemic-era levels after pulling back in recent years, according to a new study, “The CTV Trends Report 2024,” released by Wurl, an AppLovin company.
Average daily hours of CTV viewing are up 5% year over year, according to the study, which draws on Wurl’s insights from more than 4,000 channels and 1 billion monthly viewing hours through its CTV marketing platform.
Additionally, average session length is up 7% YoY, indicating that viewers are sticking to a particular program or streaming app for a longer period of time on average.
Pandemic-era rebound. Both average daily hours and average sessions are climbing back toward their pandemic peaks after declining post-pandemic.
Here’s how average daily hours increased during the pandemic, dipped and rebounded. The chart is “normalized,” using the most recent complete data as the standard against which earlier periods are compared.
The average daily hours of viewing peaked in 1Q 2023. After losses later that year, the average is climbing back, perhaps helped along by big events in 2024 like the Paris Olympics and U.S. elections coverage.
And here is the average session length picture.
This metric peaked in 2Q 2022, earlier than the average daily hours. As new streaming channels and services enter the market, there’s more competition for a viewer’s attention. The recent rise in session length shows that streaming services are finding ways to strengthen viewer loyalty, even in this competitive environment.
Churn. The churn rate has largely remained stable in the last three years.
While viewing hours increased later in the pandemic years, churn was much higher in the first year, when many people were cooped up at home and experimenting more with CTV services and programming.
Fill rates. Ad fill rates dropped in the first half of 2024 from the previous year. They appear to be rising to 2023 levels as we approach the holidays.
Ad-supported subscription offers from premium streamers like Netflix, along with free ad-supported services (FAST) are increasing the amount of ad inventory while demand is lagging. Fill rates were highest in 2022 when there was less inventory.
Dig deeper: Netflix leans into ad-supported tier as subscriber growth surges
Why we care. The growth in CTV ad revenue assumes that increased viewership makes the investment worthwhile. Viewer behavior matters — these figures show how viewership is formed over time. CTV habits didn’t take shape until multiple years into the pandemic. In 2020, during the most stringent lockdowns, CTV viewing hours were far from their highs. The more recent increase in average session length, along with lower churn, make a strong case for more enduring habits and CTV loyalty taking root for next year and beyond.
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**CTV Viewership Rises, Approaching Pandemic-Era Levels**
In the ever-evolving world of media consumption, Connected TV (CTV) has emerged as a dominant force, transforming the way audiences engage with content. Recent data shows that CTV viewership is on the rise once again, approaching the unprecedented levels seen during the peak of the COVID-19 pandemic. This resurgence is a testament to the growing popularity of streaming platforms and the shifting habits of modern viewers.
### The Pandemic Boom: A Brief Recap
The COVID-19 pandemic triggered a seismic shift in media consumption patterns. With lockdowns and social distancing measures in place, people turned to digital platforms for entertainment, news, and social connection. During this time, CTV platforms such as Roku, Amazon Fire TV, Apple TV, and smart TVs became household staples, offering viewers access to a wide array of streaming services like Netflix, Hulu, Disney+, and YouTube.
In 2020, CTV viewership skyrocketed as people spent more time at home. According to Nielsen, streaming consumption in the U.S. increased by 75% in the early months of the pandemic, with CTV devices accounting for a significant portion of this growth. The combination of increased free time, the closure of movie theaters, and the release of high-quality original content on streaming platforms fueled this surge.
### Post-Pandemic Decline and Recovery
As the world began to reopen in 2021 and 2022, CTV viewership experienced a slight decline. People returned to pre-pandemic routines, including outdoor activities, travel, and in-person socializing, which naturally led to a reduction in screen time. However, the decline was not as steep as some industry experts had anticipated. CTV had cemented itself as a vital part of the entertainment ecosystem, and many viewers who had adopted streaming habits during the pandemic continued to rely on these platforms for their media consumption.
Fast forward to 2023, and CTV viewership is once again on the rise. While the pandemic may no longer be the driving force behind this growth, several factors are contributing to the resurgence of CTV usage, bringing it closer to pandemic-era levels.
### Factors Driving the CTV Resurgence
1. **Cord-Cutting Continues**
The trend of cord-cutting, or the decision to cancel traditional cable or satellite TV subscriptions in favor of streaming services, has been gaining momentum for years. According to a report from eMarketer, the number of U.S. households without a traditional pay-TV subscription is expected to surpass 55 million by 2025. As more consumers opt for streaming services, CTV devices become the primary means of accessing content, driving viewership higher.
2. **Content Explosion**
The streaming wars are in full swing, with major platforms like Netflix, Disney+, HBO Max, and Amazon Prime Video investing heavily in original content. From blockbuster movies to critically acclaimed TV series, there is no shortage of high-quality programming available to viewers. This content explosion has created a “golden age” of television, where audiences are spoiled for choice. As a result, more people are turning to CTV devices to access the vast array of options available.
3. **Ad-Supported Streaming**
The rise of ad-supported streaming services is another key factor in the resurgence of CTV viewership. Platforms like Hulu, Peacock, and the free tier of Amazon’s Freevee offer viewers access to premium content at a lower cost, or even for free, in exchange for watching ads. This model has proven to be highly attractive to cost-conscious consumers, especially in an era of rising inflation and economic uncertainty. As more viewers embrace ad-supported streaming, CTV platforms are seeing increased engagement.
4. **Sports and Live Events**
Traditionally, live sports and events were the domain of cable TV, but this is changing rapidly. Streaming platforms are increasingly securing rights to broadcast live sports, from NFL games on Amazon Prime Video to NBA coverage on ESPN+. The ability to stream live events on CTV devices is drawing in a broader audience, including those who may have previously stuck with traditional TV for sports content.
5. **Improved User Experience**
Advances in CTV technology have also played a role in boosting viewership. Today’s CTV devices offer a seamless, user-friendly experience, with improved interfaces, voice search capabilities, and personalized recommendations. These enhancements make it easier for viewers to discover and enjoy content, encouraging longer and more frequent viewing sessions.
### The Future of CTV: What Lies Ahead?
As CTV viewership approaches pandemic-era levels, the future looks bright for the streaming industry. The continued growth of cord-cutting, the expansion of ad-supported models, and the increasing availability of live sports and events on streaming platforms all point to sustained growth in the CTV space.
For advertisers, this trend presents a unique opportunity. CTV offers a highly targeted and measurable advertising environment,
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