Providing Market Intelligence for 40 Years

In The News

Americans Are Spending Less on Streaming in 2023 As Cord Cutters Cut Back

Over 350 streaming services have been tracked in North America alone, according to data from research firm Parks Associates – a vastly different market from digital video’s origins in 2007.

“The sheer number of services and [business] models is really staggering to keep up with,” Elizabeth Parks, president of Parks Associates, said during Wednesday’s webinar. 

In its State of the Market: Streaming Video Services report, Parks Associates said in the past month, 31% of U.S. households reported watching an ad-supported video on demand or a free ad-supported streaming service – a 13% increase from 2018. In addition, 41 million U.S. households are expected to watch ad-based over-the-top (OTT) video services like Tubi, Freevee, and Pluto TV.

“As an industry, we are now entering a new phase of streaming characterized by evolving business models aimed at enhancing profitability,” Parks said. 

Churn, or the rate of cancellations, has risen across the board, but according to Parks, churn is natural with a 47% annualized rate. 

The amount of time someone spends trying to find something to watch is correlated to churn rates, according to Eric Sorensen, Parks Associates streaming video editor. 

“Services have to look at ‘how do I make the discovery process a lot easier, a lot simpler’ and provide [viewers] a reason to stick around,” Sorensen said during the presentation. “If I’m going to spend 20 minutes looking for something [to watch], that’s the 20 minutes I had to watch.” 

Parks Associates aren’t the only ones pointing towards consolidation as a potential solution for companies, viewers and advertisers. In its Video Trends report, TiVo said a blend of the different types of services is the best option.

“This new [subscription video on demand services and ad-supported video on demand] hybrid structure allows users to consolidate their subscriptions, cut costs and still watch the same or more amount of content,” the report said.

From the article, "Americans Are Spending Less on Streaming in 2023 As Cord Cutters Cut Back" by Shelby Brown

Previously In The News

To Invade Homes, Tech Is Trying to Get in Your Kitchen

Yet the so-called smart kitchen remains a tough sell. With the kitchen often a hub for families and friends, habits there can be hard to change. And many people see the kitchen and mealtimes as a have...

91% of viewers like streaming aggregation, survey says

Not only are consumers saying video aggregators are simple to navigate across, but they also value having a single bill for all their apps. OTT bundling is a key source of revenue for pay TV and other...

Forget Twitter. This Musk Is Into ‘Toe Curling Yumminess.’

More than 300 streaming services are available in the United States, according to Parks Associates, a consulting firm. From the article, "Forget Twitter. This Musk Is Into ‘Toe Curling Yumminess.’"...

Walmart seeks to unload Vudu: report

Brett Sappington, senior research director and principal analyst at Parks Associates, added that the transactional market for video, Vudu’s core business, has begun eroding as movie studios no longer...

Phone:
972-490-1113
Mailing Address:
2301 West Plano Parkway, Suite 210, Plano, TX 75075
Expertise
Smart Home: Management and Safety Consumer Electronics Connected Health and Wellness Connectivity and Mobility Small-to-medium Business (SMB) MDU
Services
Research Memberships Visibility Memberships Streaming Video Tracker Smart Home and Security Tracker Broadband Market Tracker Channel Analytics
Events
CONNECTIONS™ CONNECTIONS™ Summit/CES Smart Energy Summit Connected Health Summit Future Of Video Smart Spaces
Resources
Press Releases Analyst Blog Parks in the News
About Us
Overview Team Contact Us
Store
View Your Cart

Follow:

© 2023-2026 Parks Associates. All Rights Reserved. Privacy Policy

Design & Developed By Agency Partner Interactive