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Analysis: Fragmentation built streaming’s growth and now tests its limits

Parks Associates counted more than 300 streaming services available in the United States, with the average internet household subscribing to 5.3 of them.

For most of television’s history, the limiting factor was supply — channels, time slots, shelf space at the video store. The limiting factor now is attention, and the search bar is where it leaks out.

Parks Associates has a term for the result: fragmentation fatigue.

Pay TV, long treated as the past, is being repositioned as part of the cure. Parks Associates found that 33% of pay TV subscribers stayed because the service offered more content in one place. Bundles follow the same logic.

The trade once thought unthinkable, more ads for less money, has become a routine way to manage a crowded bill.

“Aggregation is now a strategic advantage,” Elizabeth Parks, president and CMO of Parks Associates, said.

From the atricle, "Analysis: Fragmentation built streaming’s growth and now tests its limits" by Dak Dillon

Previously In The News

Mobile Drives Ad Spend & Content Creation, But Hurdles Remain

What's more, Parks Associates found that about seven in 10 Americans watch a short video on their phones each day. Meanwhile, 20% of mobile video viewers spend a half hour or more watching short-form...

New Insights On TV Everywhere, Millennials' OTT Habits

Meanwhile, the latest data from Parks Associates’ OTT Video Market Tracker confirm that while Millennials’ viewing consumption habits do differ somewhat from the broader population’s, they aren’t will...

Apple Reportedly In Talks To Buy Tidal, Jay Z's Music Streaming Service

In a similarly unsettling development for Apple, the tech giant appears to be playing catch-up in an area it has long dominated: mobile hardware. As Amazon’s Echo continues to gain traction -- and Goo...

Advertising Absent From Most OTT Services

At the end of 2015, Parks says about 20% of U.S. broadband homes had cancelled at least one OTT video service during the previous 12 months. Growing levels of password sharing with OTT services is...

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