83% of Consumers Likely to Maintain or Increase Spend in the Year Ahead, According to New Research from Tremor Video
Study uncovers insights about US consumers’ evolving purchase behaviors, media consumption, and general outlook about the future as progress is made in the fight against the global pandemic
Tremor Video, a leading programmatic video platform, and leading ad platform Unruly today announced the findings from their 2021 Consumer Insights Report that uncovers how consumers are feeling about the future—including their attitudes regarding shopping, traveling, dining and TV viewing—now that more than a year has passed since the COVID-19 pandemic first surfaced. Conducted in March 2021 and comprised of surveys with a nationally representative sample of 893 US consumers, the research reveals that 56% of consumers feel optimistic about the year ahead and 60% predict a return toward normality within the year.
Marketing Technology News: BigID Named a Worldwide Leader in IDC MarketScape for Data Privacy Management Software
According to the research, 83% of consumers plan to either maintain or increase their current spend levels when returning to a more normal life, on average across categories. Consumers report that they plan to either maintain or increase their spend at the highest rates for the following categories: groceries (92%), beauty & personal care (86%), consumer electronics (84%), home & garden (84%) and home entertainment (83%).
With this likely increase in spending comes promising news for brands with brick-and-mortar dimensions of their businesses, as 84% of consumers plan on shopping in-person during the year, with 29% reporting that they will do all of their shopping in-person and 23% reporting that they will do most of their shopping in-person with some online shopping.
Although the research suggests that consumers are eager to resume their pre-COVID activities, their enthusiasm for this return to more normal lifestyles does not necessarily mean that their rates of TV engagement will decline as a result. In fact, most consumers are likely to engage with CTV at comparable or higher rates as the pandemic dissipates. Over the next six months, 86% of consumers plan to watch live TV at the same or increased rates, 88% plan to watch the same or higher amounts of TV via paid streaming (SVOD), and 81% plan to maintain or increase their viewing of TV via free streaming (AVOD).
Marketing Technology News: MarTech Interview with Gary Burtka, VP U.S. Operations at RTB House
“After a long period of being homebound, consumers are feeling positive about the future, as they look to resume activities like dining out, traveling and in-store shopping, all of which should give advertisers a renewed sense of confidence in the months ahead,” said Terence Scroope, VP of Media Insights and Analytics, Tremor Video. “In parallel, our study suggests that consumers plan to increase their time with CTV content, reinforcing just how essential the medium will continue to be for advertisers as they look to fine-tune their 2021 media strategies.”
Tremor Video and Unruly conducted this research to learn more about what factors are making consumers more hopeful about the months ahead and to what extent this may impact how, when and where they spend throughout the year. Additional key findings include:
- Increase in TV Engagement: Since March 2020, TV viewing has spiked considerably, with 61% of consumers saying they have watched more TV than before the outbreak of the pandemic
- Acceleration of TV Streaming: Over the next six months, increased engagement with both paid and free TV streaming will be most pronounced among younger age demos (18-44s) and higher income ($100,000 or more, annually) demos
- Support of Local Businesses: Consumers report that they will be more supportive of local businesses with most (59%) planning to continue shopping locally
- Evolution of Behaviors: Most (58%) consumers have adopted new behaviors thanks to increased time shopping online during COVID; this is especially prevalent among the 18-34s age group
Tremor Video and Unruly’s recently released CTV Advertiser Insights Report reflects how advertisers are increasingly leveraging CTV as an effective platform to reach relevant consumers and encourage them to embrace these desired buying behaviors through advertising. In fact, nearly three-quarters (72%) of US digital advertising professionals believe that CTV reaches target audiences more effectively than linear TV, with 85% making CTV a key part of their video strategy.
Tremor Video and Unruly believe that CTV is a significant growth engine for Tremor International, with their parent company recently reporting 116% net revenue growth in the CTV space in Q4 2020 compared to Q4 2019. The company has also reported that its performance during the first quarter of 2021 is significantly ahead of the same period in 2020 and it expects trading for the year to be ahead of management expectations. This positive momentum is underpinned by the successful execution of Tremor’s strategy, which focuses on video and data, with the company’s core solutions of CTV, private marketplaces (PMPs), and its self-service platform.
Scheduled to launch in late May 2021, Tremor Video’s new TV Intelligence offering will leverage its proven experience in CTV and addressable TV retargeting to allow advertisers to reach the most relevant consumers with precision, using a wide breadth and depth of audience data assets.
Marketing Technology News: Alexander Group Launches Research Opportunity for Media Sales Leaders to Discover New Revenue…