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CEA Study: OTT Video Enhancing, Not Replacing, Traditional TV

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Should cable and satellite providers be afraid of online video? A study from the Consumer Electronics Association gives an emphatic no. Traditional TV providers, such as cable, satellite, and fiber, serve 79 percent of U.S. adults with online access, and digital video is a supplement to that content, not a replacement. The study, Video Content Discovery and Purchasing Trends, surveyed 1,001 U.S. adults through an online form, and was conducted by CEA Market Research.

Physical discs are still far more popular than streamed content, the study says: 66 percent of those surveyed view DVDs or Blu-ray Discs, while only 47 percent use free video streaming services and 37 percent use paid video streaming services. Online video is more popular with people 18- to 34-years-old, while traditional TV is consistently popular across all age groups. Of those who prefer physical discs to downloads, 52 percent say they like owning a product, while 50 percent like using their DVD or Blu-ray player. Also, 74 percent of those who watch movies at home do so by buying or renting DVDs or Blu-ray Discs, while only 24 percent download or stream them.

The study found that traditional TV is an important tool for discovering new shows and movies to watch: channel-surfing is the most important way to discover new content, followed by on-screen program guides and commercials.

The full study is available free for CEA member companies or for $699 to non-members.

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