A Parks Associates survey of 10,000 US broadband households shows that 44 per cent have a subscription to some kind of online video service (SVoD), such as Netflix, Hulu Plus, or Amazon. Younger consumers are more likely to subscribe to OTT video services, and 8 per cent of consumers 18-24 have never subscribed to a pay-TV service.
“Consumers have a variety of viewing options now thanks to OTT content, which is dismantling the traditional TV business models,” said Heather Way, Senior Analyst, Parks Associates. “Online video is now a common source of video viewing in US households, while transactional VoD (TVoD) is near the bottom. However, industry players, from service providers to retailers, have many new options in monetisation models, including advertising, t-commerce, transactions, and subscriptions.”