15581: The Great Migration To Streaming.

 

Advertising Age reported Blacks are increasingly abandoning traditional TV in favor of streaming. Look for White advertising agencies and advertisers to use the trend as an excuse to further marginalize multicultural firms by taking away targeted TV assignments and cutting crumbs.

 

Black Households Increasingly Ditch Linear TV, Study Finds

 

While Black Americans hung on to traditional TV, it now seems they are moving at a faster rate to streaming

 

By Ethan Jakob Craft

 

While Black consumers have traditionally been loyal cable and satellite TV subscribers, these households are increasingly cutting the cord at a faster rate, according to a new study from market research firm Horowitz.

 

Black households had been shedding cable at a slower rate than the overall market, but Horowitz data shows that over the past four years pay-TV penetration among Black households has declined from 88% in 2017 to 61% in 2021. And at least half of all cord-cutter Black households in the U.S. have done so in the past three years. A Pew Research study released earlier this year found that in a cross-section of the general market, an average of 56% of all Americans still watch traditional linear TV.

 

Black audiences “should not be taken for granted,” said Adriana Waterston, Horowitz’s chief revenue officer and insights and strategy lead. “Many companies are late to the game, only now focusing on the Black audience in the context of BLM and new diversity mandates.”

 

One consideration that likely shapes how Black Americans watch content is the availability of culturally relevant programming, with 60% of Black consumers saying they watch content that’s specifically geared to Black audiences at least weekly.

 

“To not be viewed as simply pandering, companies who hope to serve the Black audience must make meaningful and sustained investments, not just in programming and marketing, but in community outreach and support, in order to earn this valuable audience’s trust,” she continued.

 

This year’s study found that just 33% of Black households are considered “content omnivores,” a catch-all describing viewers who watch varied genres across both TV and streaming services. In addition, almost four-in-10 rely on combinations of streaming services, digital antennas, or virtual MVPD services to access TV content, while about 25% rely only on traditional TV providers and do not stream video at all.

 

Income and age also play important roles in Black Americans’ platform choices, with at least 80% of Black cord-cutters believing that abandoning traditional TV is a money-saving move. Older Black viewers are at least eight percentage points more likely to subscribe to MVPD services and to still use antennas than younger viewers.

 

Irrespective of cord-cutting, the majority of Black audiences in the U.S. still place great value on traditional TV mainstays such as local broadcast news and live sports content, the Horowitz study found.