Parks Associates Survey Charts Rise of Subscription VOD
While subscription video-on-demand (SVOD) services, such as those offered by Netflix, Hulu, and Amazon, are obviously popular, they're growing at a surprisingly fast rate. Parks Associates released the results of a survey conducted in the first quarter of 2013 of 10,000 broadband-enabled U.S. households and found that 44 percent currently have an SVOD subscription.
The survey found that younger adults were more likely to subscribe to a streaming service. In fact, 8 percent of those between the ages of 18 and 24 have never had a pay TV subscription.
The complete survey includes detailed information on Netflix's growth in the last year, looks at the reason people cancel Netflix subscriptions, and analyzes the use of pay TV services. It also covers pay TV subscription trends, mobile device viewing, and the motives that make viewers choose VOD services.
"Consumers have a variety of viewing options now thanks to OTT content, which is dismantling the traditional TV business models," says Heather Way, senior analyst for Parks Associates. "Online video is now a common source of video viewing in U.S. households, while transactional VOD (TVOD) is near the bottom. However, industry players, from service providers to retailers, have many new options in monetization models, including advertising, t-commerce, transactions, and subscriptions."
Parks Associates is selling the full research report, Video-on-Demand: The Road to Revenues, for $15,000.
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