Parks: Roku No. 1 Streaming Media Device14 Aug, 2013 By: Erik Gruenwedel
SVOD pioneer’s device tops Apple TV, WD TV Play, Chromecast
The number of U.S. broadband households using streaming media players to connect the television to the Internet has doubled to 14% since 2011, according to new data from Parks Associates.
Dallas-based Parks said Roku remains the most-used streaming media device in the U.S. market with 37% usage, compared with 24% usage for Apple TV, according to a survey of 10,000 broadband households.
The data would appear to underscore Roku’s claim that it is the most popular streaming player in the U.S., with more than 5 million devices sold. The Saratoga, Calif.-based company cut its streaming teeth in 2007 with a Netflix-branded subscription video-on-demand player.
Parks predicts the number of connected TV devices sold worldwide will reach 330 million annually by 2017, almost double the number to be sold in 2013. Average product prices will decline over this time, but annual sales revenue will increase almost 100% by 2017 as more households buy smart TVs, gaming consoles, Blu-rayDisc players and streaming video media devices.
"Innovations such as next-gen game consoles and 4K or ultra-HD TVs will boost unit sales for these devices, but overall, consumers are reluctant to replace these big-ticket items solely for smart upgrades," said Barbara Kraus, director, research, with Parks. "As a result, streaming video media devices will have a thriving market because they can offer innovations such as streaming video at low prices.
The research firm said this success creates new challenges in differentiation for streaming video device manufacturers and service providers. Their report contends average device prices will decline by as much as half — underscoring the need for manufacturers and service providers to innovate in order to capture new and recurring revenue streams in advertising and content placement.
"We are delighted that independent research shows that we are the most popular streaming platform measured by usage on a U.S. household basis," Anthony Wood, founder and CEO of Roku, said in a statement.