Single IP channels, those channels that show the same TV series, franchise or character playing non-stop 24/7, have been a boon to the FAST industry by providing recognizable content for consumers to binge and for brands to feel good putting their budgets behind. The growth rate and emergence of new single IP channels indicates it’s not just a passing fad but a sustainable model within the streaming ecosystem.
The dedicated nature of these channels fosters a loyal viewership, which in turn provides a reliable audience for advertisers.”On a one-month attrition basis, there’s little difference between [single IP and fully curated channels], but go to six or twelve-month bases and a cavernous gulf emerges that suggests single IP channels have greater stability,” notes Gavin Bridge of the FASTMaster newsletter.
This long-term stability suggests the single IP channel format is here to stay and, possibly more importantly, it’s working well for all players involved in streaming content: rights holders, distributors, streamers, advertisers and the fans.
The Appeal of Single IP Channels
For viewers, single IP channels offer a unique and immersive experience. They provide a continuous stream of familiar, beloved content that fans can easily access, enjoy at any time, and binge like crazy. It’s the ultimate binge-worthy content packaged in the most convenient format possible. While the single IP format has worked with all kinds of content and genres, it has a particular impact on older content by breathing new life into content that might otherwise be hung up to collect dust.
One particular show that has worked as a single IP channel is The Red Green Show, a popular show from the late 90s that ran for 15 seasons and is distributed by SPACEMOB to VOD and as a single IP channel on many platforms. The show gets all kinds of fan mail expressing appreciation for keeping the show alive and how it’s now been introduced to, and binged with, sons and grandsons.
Streamers are delivering on this appeal. According to Bridge’s FASTMaster, there were forty-seven more single IP channels in June 2024 than in June 2023, growth of 16%. It’s something advertisers should pay close attention to.
Advertising Opportunities and Challenges
From an advertising perspective, single IP channels present a golden opportunity. Similar to how brands get pitched the latest and greatest shows for an upcoming season at the Upfronts, with single IP, they can take advantage of the historical success and popularity of a show – not to mention price flexibility that comes with older content – rather than betting that a brand new season or newly created series will become a hit. The challenge is that so much transacts through the programmatic pipes in FAST and it’s not clear buyers in programmatic even pay attention to channels, content and fan engagement let alone use it for buying decisions. While the level of scale and name recognition that tend to narrow down the request flow of the programmatic firehose for buyers may not be there with content targeting, it’s an approach to take seriously to hone in on the dedicated audience and consistent content theme of single IP channels.
Other compelling reasons brands may want to target their advertising to a single IP channel:
- Audience Alignment: The channel’s dedicated content attracts a specific, well-defined audience. This allows brands to reach viewers with known interests, increasing the likelihood of engagement.
- Contextual Relevance: Ads can be tailored to fit the theme of the channel, creating a more seamless viewing experience and potentially increasing ad effectiveness.
- Brand Safety: The consistent, predictable content reduces the risk of ads appearing alongside inappropriate or controversial material.
- Emotional Connection: Viewers often have a strong emotional attachment to the content, which can transfer positively to the advertised brands.
- Higher Engagement: Fans of the specific content are likely to be more attentive viewers, potentially leading to better ad recall and impact.
- Frequency and Repetition: Regular viewers of the channel will see the ads multiple times, reinforcing the brand message.
- Niche Marketing: For specialized products or services, these channels offer access to large groupings of niche audiences that might be hard to reach efficiently through broader platforms.
- Cost-Effective Reach: Depending on the popularity of the content, brands might reach a dedicated audience more efficiently than on general entertainment channels.
- Cross-Promotional Opportunities: Brands can create custom content or promotions that tie directly into the channel’s theme or characters.
- Long-Term Association: Consistent advertising on a Single IP channel can help a brand become closely associated with popular content or characters over time.
As an exclusive distributor of several Single IP channels, SPACEMOB understands the value of this simple yet innovative packaging of content in the streaming world and how it’s become an offering that is a win-win-win situation for content providers, viewers, and advertisers alike.