Younger consumers are more tolerant of online ads but don't trust them much

New research results just released by Forrester suggest that consumers are becoming more tolerant of digital ads, led by Gen Z and Millennials, 34% of whom said in a survey that they are willing to tolerate ads while streaming video via smartphone vs. only 19% of older consumers.

Similarly, nearly half of younger consumers surveyed said that sponsored digital content holds their attention, vs 18% of older survey respondents.

But on the other hand, 34% of Gen Z and Millennials said they plan to upgrade their streaming subscriptions to ad-free levels, vs. 18% of older consumers.

Another variable in the mix is social media consumption, which averages 7.3 hours a week for Gen Z and Millennials vs. 4.6 hours for older consumers. That makes younger consumers the better market.

TikTok's algorithmic For You feed - which makes it difficult to distinguish sponsored content from genuine user-generated content - is credited with making users more tolerant of ongoing exposure to ads. Facebook, Instagram and YouTube have all now adopted similar formats based on short-form videos.

Ongoing exposure to ads is enhancing tolerance: increasingly, consumers of all ages - 56% of Gen Z and Millennials, 35% of older consumers - say today that they find online content from brands to be "interesting" .

Marketers like the results they're getting from paid digital media: 2/3 of decisionmakers surveyed said they plan to increase ad spend there.

However: although 90% of consumers say they are viewing ads on social media, only 37% say they pay attention to the messages received. And the level of trust is even lower: only 22% of Gen Z and Millennials and 12% of older consumers surveyed said they trust social media advertising. Figures for trust in sponsored posts aren't a lot better: 33% and 18% respectively.

Will Gen Z and Millennials retain their receptiveness to digital ads as they grow older, or will they become less liberal, more cynical? Watch this space.