Parks Associates: More Than 50% of U.S. Broadband Households Subscribe to Pay TV and at Least One OTT Video Service
DALLAS(26 Oct 2017)
New consumer research from Parks Associates shows 53% of U.S. broadband households subscribe to both a pay TV service and at least one OTT video service. OTT Video & TV Everywhere: Partners, Alternatives, and Competition reports more than 200 OTT video services are active in the U.S. market as of Q3 2017, with more than 100 active in the Canadian market. The report notes that 60 players introduced OTT video services during 2016 and 2017, while only seven services closed during that same period.
"Many OTT services are evolving to be complementary to the market's largest players, instead of trying to compete directly against Netflix, Amazon, and Hulu," said Brett Sappington, Senior Director of Research, Parks Associates. "Also, consumers are increasingly self-aggregating their OTT and entertainment services—they are adopting primary entertainment content sources and supplementing those sources with complementary video options."
In this report, Parks Associates analyzes the evolution of OTT video services, including changes in market competition, new partnerships, and the changing priorities by consumers.
"Several factors are driving an increase in partnerships with and among OTT video services, including fragmentation of content, the success of bundling, polarization in the OTT subscription market, a low threshold for OTT service survival, and low awareness of many OTT service brands," Sappington said.
OTT Video & TV Everywhere: Partners, Alternatives, and Competition includes insights into the new era of competition in OTT video and pay TV and assesses trends that affect the video ecosystem across global markets, including churn and retention. The report also includes global forecasts for OTT video and pay TV subscribers. Additional research the report shows:
- Over 87% of OTT video services in the U.S. and 86% in Canada offer some type of subscription options today, including freemium, ad-free premium tiers, and other blended business models.
- Awareness and use of TV Everywhere features have slowly increased over the past few years, reaching 34% by late 2016.
More information about this report is available at www.parksassociates.com. To schedule an interview with an analyst or to request specific data, contact Julia Homier at julia.homier@parksassociates.com, 972-996-0214.
About Parks Associates
Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.
The company's expertise includes digital media and platforms, entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, support services, consumer apps, advanced advertising, consumer electronics, energy management, and home control systems and security.
Each year, Parks Associates hosts industry webcasts, the CONNECTIONS Conference Series, Connected Health Summit: Engaging Consumers, and Smart Energy Summit: Engaging the Consumer. http://www.parksassociates.com