The news: US connected TV (CTV) viewers fall back on YouTube when they can’t find anything else to watch, per Hub Entertainment Research.
- 90% of 16- to 34-year-olds turn to YouTube at least sometimes when other streaming services don’t meet their viewing needs. More than one-third (41%) of consumers in that age group do so frequently.
- 73% of viewers age 35 and older make that switch at least sometimes.
The problem: Poorly performing search and recommendation tools may be partially to blame. Recommendations that aren’t personalized risk an endless scroll that users will ultimately abandon.
CTV viewers disagree on the primary function of recommendation engines.
- 54% believe streaming services promote their own content, whether the viewer is interested or not.
- 46% think recommendations are shows that they like, whether the content is new or owned by the streamer.
Streaming services need to address this issue. If more than half of viewers believe the recommendations aren’t actually “top picks for you,” as the name suggests, streaming’s attempt at personalization is falling flat.
Where to begin: Discovery starts the second users turn on their televisions. Nearly half of viewers don’t have a plan for what to watch when they power on, according to TiVo data cited by Digiday. Home screens offer prime real estate for streaming services beyond app icons.
Tivo offers guidelines for the best home-screen ad experience: The placements understand the viewer’s goal of finding a show, they offer value, they’re in harmony with the CTV platform itself, and they offer options for action without requiring it.
What streaming services should do: Boost brand presence from the moment viewers turn on their smart TVs. We expect CTV ad spending to reach $37.26 billion in 2026, a 14% increase YoY, and home screens offer a great start.
Beyond the home screen, personalization is paramount. Streamers should target demographics and viewer interests and behaviors via platform analytics and interactive or live polls to capture attention, earn trust, and boost stickiness. Otherwise, that lack of relevance might be another push for consumers to switch over to YouTube.