Ad supply is outstripping demand, say JWP Connatix

“We are entering an era of excess supply [of ad inventory] on streaming,” declares Brian Rifkin, co-founder and SVP of Global Partnerships at video tech and monetization platform JWP Connatix. "

In the U.S, FAST channels have taken off. People are buying new TVs that are equipped with digital technology that is naturally driving people into streaming combined with the additional downward pressure from the high cost of cable. Those two effects are creating a boom in streaming and a tremendous amount of supply outweighing demand. We're seeing the same trend begin in Europe, in the UK with [broadcaster-backed] Freely, but adoption there has definitely been slower.”

For all the noise about streaming eclipsing linear, Rifkin reckons the balance is still about 50/50 but the direction of travel is one way. “Over the next years the supply of ad inventory to streaming is only going to increase. The market has already been flooded this last year as a result of Netflix and Amazon Prime opening up a lot more of their inventory.”