Holiday Streaming Season Kicks Off Earlier Than Expected, Says Roku

The holiday season is rapidly approaching, and with it comes a surge in advertising activity. This comes earlier than expected, and many traditional assumptions about consumer behaviour may not hold true in the ever-changing digital advertising industry. Marketers need solid facts to create a jolly experience for their customers.

Content streaming behaviour also shifts constantly, but with the help of Thomas Willoughby, Roku’s Ad Marketing and Insights Analyst, IAB Canada hosted the webinar – Season’s Streaming with Roku to separate advertising and streaming fact from fiction and rekindle the holiday spirit for Canadian marketers and consumer.

Fiction – Searching for holiday content starts to grow ONLY from December

It may be surprising to many, but holiday content thrives way before the autumn leaves fall. Thomas shares that holiday content is being searched on Roku as early as the beginning of October and accelerates when November begins, especially on weekends. In fact, when comparing November holiday searches to October, Roku TV Streamers in Canada increased their activity by seven-fold. That number increases dramatically in December to 20 times greater than the October average.

Fact – Traditional Holiday titles 5+ years old are the most searched for in the top 100

Holiday content is endearing, warm and timeless. Older titles have a space in your holiday watch list. According to Thomas, 3 in 4 of the top 100 holiday titles searched for in December 2023 by Roku TV Streamers in Canada were 5+ years old. Classic favourites remain holiday viewing traditions.

Fiction – Over 80% of Canadians celebrate Christmas

Thomas points out that season’s streaming is a window of opportunity for advertisers not only in December, but for the entire period between October and January. While Christmas remains the dominant holiday in Canada, celebrated by 78% of the population, a diverse range of celebrations takes place during Q4 and into January, including Diwali, Hanukkah, New Year, Epiphany, and Lunar New Year. As New Canadians continue to bring diverse holiday traditions to Canada, advertisers have a unique opportunity to surround different celebrations during Q4 and beyond.

Fact – 70% of streamers take action following a TV Ad

TV Advertising is top tier. More than two-thirds of Canadians take action following a TV Ad. Marketers need to recognize this and plan their media mix accordingly. TV is now a touchpoint in the omnichannel shopper journey with 3 in 4 Roku users having acted following seeing TV ad. TV ads are more interactive and advertisers have the incredible option to build upon their linear video ads by creating an engaging, undisruptive experience to continue their advertising message or reach new audiences with Roku’s action ads.

Fact – Peak frequency for purchase intent is x15-x19

To build brand fame, repeated frequency is necessary. A Kantar study on video campaigns on Roku found that to maximize the impact of advertising efforts, brands should aim for a frequency that exceeds 10+ times. At 10-14 exposures, purchase intent metrics begin, and ad awareness peaks (38%). Beyond that, frequency exposure of 15-19 ad exposures is where purchase intent peaks (51%).

Fact – Creative drives 49% of sales contribution

Creative is still contributing to most incremental sales after exposure to campaigns. Thomas shares that in an NCS study from 2023, creative contributed nearly half of the incremental sales (49%), with other engagement metrics and campaign KPIs falling behind in their ability to influence purchase intent. Branding (21%), reach (14%), and targeting (11%) remain key campaign tactics but are less likely to influence incremental sales behaviour.

Fiction – 20% of all retail sales in Canada is via m-commerce

The overall Canadian retail market in 2023 was over $723bn CAD. However, eMarketer data illustrates that offline shopping dominates the overall retail market. Mobile commerce only contributes to 4% of the total retail sales produced in Canada.

To give context to this data, over 1 in 4 retail dollars is spent on automotive, primarily offline, contributing 24% of the total share of sales.

Fact – Over 50% of all media spend in Canada in 2024 is forecasted to be on Mobile

With more and more Canadians shifting their internet experience on mobile, marketers should continue investment in mobile media. Thomas notes a disparity between ad spending and return on investment for mobile advertising. While eMarketer forecasts 55% of total ad spend will go to mobile, the platform is expected to contribute only 4% to Canadian retail sales, raising concerns about efficiency. As the holiday season approaches, ensuring an omnichannel strategy is important to drive incremental sales during this peak period.

The webinar also highlighted the growing adoption of smart TVs in Canada, with nine out of ten Canadians owning a smart TV and three-quarters being active TV streamers. This shift opens new opportunities for advertisers to reach their audiences through CTV. The power of CTV was underscored by the statistic that the average Canadian spends over four hours daily watching TV, creating a prime environment for advertisers to regain reach lost to subscription paywalls.

Roku has positioned itself as a market leader in this space, offering over 100 live channels and a variety of ad formats. “CTV has to be part of the full media buy now, as more people are streaming during these seasons,” said Thomas, highlighting the importance of integrating CTV into advertising strategies.

It’s never too early to plan for the holidays. Marketers must leverage holiday streamers and the popularity of holiday content to gift their customers a joyous and festive experience. Roku provides bountiful options for marketers to ensure brands shine brightly during the holiday season. Connect with Roku here for more information and to gain a competitive edge in the ever-evolving world of streaming entertainment this holiday season.

Watch the Season’s Streaming with Roku webinar recording here: