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

Previously In The News

Wolk’s Week in Review: Is anyone paying for Flixes, vMVPDs get hot (for now)

A new study from Parks Associates reveals that a whopping 43% of households are planning to switch to vMVPDs this year, a category I’m willing to bet few of them were even aware of a year or two ago,...

Hey, Apple, Just Make a TV Already

According to Parks Associates, Apple TV made up just 13% of streaming players owned by U.S. households with broadband internet as of last fall. By comparison, Roku and Amazon Fire TV players have U.S....

What's behind Netflix releasing viewing data? Flexing its muscles.

“Really it’s a chance for Netflix to set the standards and dialogue before the industry does or their competitors do,” said Paul Erickson, an analyst at Parks Associates. From the article "What's b...

Streaming is heading toward a breaking point with consumers

However, while work on that puzzle continues and multiple companies look for a way to get streaming subscribers to stay in one place, customer churn is still high. Or, as Parks Associates describes it...

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