Analyst addresses OTT video market at BroadbandTV this week with NeoNova Networks and SkitterTV

Parks Associates will share its OTT and cord-cutting research, including the latest from its industry-leading OTT Video Market Tracker, this week at BroadbandTV at FTTH Connect. This research firm finds that 23% of Millennial heads of household are OTT-only households, higher than the national average of 15% among all U.S broadband households. The firm’s analysts also note that 61% of Millennials subscribe to bothpay-TV and OTT services, also higher than the national average of 52%.

“Younger consumers are willing to subscribe to pay-TV service, provided the offerings align with their expectations," said Ruby-Ren Bond, Research Analyst, Parks Associates. "In particular, Millennials show higher-than-average affinity for popular culture and premium movie channels as well as programming for younger children.”

U.S. Pay-TV and OTT Penetration

Bond will moderate the session "Evolution of OTT" on June 15 from 3:45-4:45 p.m. at the Gaylord Opryland Resort and Convention Center in Nashville. Confirmed panelists include Chris Beatson, CTO, NeoNova Networks, and Robert Saunders, President & Co-Founder, SkitterTV.

In addition to the monthly OTT Video Market Tracker, Parks Associates recently released two OTT research products:

 

"OTT services are experimenting with a variety of models in order to differentiate and find their niche within the crowded North American market, which has over 130 active OTT video services," Bond said. "Start-ups and incumbents alike are experimenting in balancing content offerings, content costs, revenue generation, and consumer appeal."

 

Parks Associates OTT data show:

  • Nearly 60% of OTT video services in the North American market are subscription-based.
  • 64% of U.S. broadband households subscribe to an OTT video service, up from 59% in 2015.
  • Average monthly spending on Internet-based subscription video-on-demand (SVOD) services among U.S. broadband households increased from $3.71 per month in 2012 to $6.19 per month in 2015.
  • Approximately 20% of U.S. broadband households cancelled at least one OTT video service in 2015.
    • 5% of U.S. broadband households cancelled Netflix in 2015, up from 4% of households reporting in 2Q 2015 that they cancelled the service in the past 12 months.
    • 14% of U.S. broadband households subscribe to Hulu, and 7% of U.S. broadband households cancelled the service in 2015, roughly the same churn rate from Q2 2015.
    • 24% of U.S. broadband households report having a subscription to Amazon so that they can stream video. The churn rate for Amazon’s video service declined slightly from Q2 2015 to the end of the year.

 

Parks Associates is supporting BroadbandTV. For more information about Parks Associates research, contact sales@parksassociates.com. To schedule an interview with an analyst, contact Holly Sprague at hsprague@gmail.com.

 

About Parks Associates

Parks Associates is a global research, consulting, and marketing firm with 40 years of experience delivering proprietary consumer data and industry insights for businesses. The firm produces market research reports, forecasts, surveys, and competitive business intelligence on connected consumer, small business, and commercial technologies and related business solutions. Parks Associates provides custom research, strategic consulting, and forward-looking analysis across connected home, small business, and commercial markets, including security, smart home, broadband, entertainment, energy, multifamily, smart buildings, connected health, and emerging AI-driven technologies.

Parks Associates supports industry growth through proprietary research, consulting, and executive networking and convenes thousands of leaders each year through its flagship conferences, including CONNECTIONS™, Connected Health Summit, Smart Energy Summit, Smart Spaces, and Future of Video. Learn more at https://www.parksassociates.com.

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