eMarketer projects strong ad gains for Hulu and Roku

Hulu and Roku will both experience strong US advertising revenue growth over the next two years, according to eMarketer projections.

The research company expects Hulu’s US ad revenues to climb from US$1.12 billion in 2018 to US$1.26 billion in 2019 and US$1.41 billion in 2020.

“This represents double-digit annual growth throughout our forecast period, and the figures include advertising both on Hulu’s on-demand platform and on its live TV service,” according to the report.

Roku is expected to experience a higher rate of growth from a smaller starting point. Its ad inventory includes home-screen ads, sponsorships and in-stream ads.

The streaming device maker’s US ad revenues are tipped to climb from US$293 million in 2018 to US$476 million in 2019 and US$702 million om 2020.

“These are promising indicators for the long-term prospects of connected TV advertising, which marketers see as a space to leverage the massive reach and familiarity of TV and the targetability and measurability of digital video,” according to the eMarketer report.

“That potential puts connected TV at the convergence point between TV and video—two of the most successful formats in the history of advertising.”

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