Research: 25% of Video Watching Occurs Away From the TV11 Apr, 2012 By: Erik Gruenwedel
More than 25% of video consumption in broadband-connected homes in the United States occurs on consumer electronics devices other than the television, according to a new report.
The surge in watching movies and repurposed TV programs on “over-the-top” subscription video-on-demand platforms such as Netflix, Amazon Prime and Hulu Plus is being driven in part by the availability of the services on PCs, smartphones and tablet minicomputers, in addition to the TV.
Dallas-based Parks Associates said the average broadband user watches 36 minutes of video on a tablet each week, with another 25% of video consumption occurring on a mobile phone.
“One-third of U.S. broadband households streamed a TV show in the past 30 days, and these consumer viewing habits are raising expectations for new service offerings,” said Brett Sappington, director of research with Parks Associates.
Sappington said proliferation of connected CE is both an opportunity for and a potential threat to traditional pay-TV services as new companies enter offering alternative services and business models that are attractive to consumers.
Parks Associates at a conference June 5-7 in Dallas will discuss how emerging OTT services must offer quick access to engaging content, attractive business models and access on multiple screens, and not require purchase of a new, stand-alone device.
“To keep their edge, service providers have to address consumption on these platforms with a clear value proposition,” Sappington said.