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BizReport : Research : February 28, 2007


Online TV viewers show sponsors the love

Viewers of online television shows aren't impatiently waiting for those sponsorships ads to end. According to a new study, sponsors have a stronger tie with online TV viewers than traditional TV viewers.

by Kristina Knight

According to a new study from Knowledge Networks, 49% of online network television viewers are more likely to consider buying products from the advertisers sponsoring their favorite programs than ordinary Internet users.

"If a network can get a sponsoring company to fund the streaming or the downloading of their video, then the advertiser's getting a good deal and the network is getting a good deal by the fact that that's going to build involvement with that program," said David Tice, director of Knowledge Networks/SRI's Home Technology Monitor (via TVWeek).

It isn't just sponsors that are reaping the benefits of online television. According to the study 78% of online viewers say being able to watch online increases their involvement with that show's brand. 25% of viewers say they watch their favorite shows much more regularly because the programs are streamed online.

A recent study from Informa Telecoms & Media, online television is expected to show incredible growth over the next five years. In 2006, online television and video brought in about $63 million. By 2012, online television is expected to be a $6.3 billion industry.

Tags: online television advertising, streaming video

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