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Research: OTT usage linked to churn tendency

Research from The Diffusion Group suggests that those likely to downgrade their pay-TV service in the next six months are more dependent than others on over-the-top (OTT) streaming services such as Netflix and Hulu.

According to the business intelligence firm, among those moderately or highly likely to downgrade their pay-TV service in the next six months, 29 per cent of their TV time is spent watching streaming sources, significantly more than those neutral or unlikely to downgrade. The use of OTT TV increases in line with the proclivity to downgrade, suggests TDG.

“The variety, reach, and personalisation of OTT TV services continues to grow,” says Michael Greeson, TDG Director of Research. “While not yet a mainstream replacement threat, OTT TV is most certainly a key factor in downgrade considerations.”

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