Nearly 40% have at least 2 OTT services

June 11, 2018
According to Parks Associates, nearly 40% of U.S. broadband households now have at least two over-the-top (OTT) video service ...

According to Parks Associates, nearly 40% of U.S. broadband households now have at least two over-the-top (OTT) video service subscriptions. The research firm says consumers have reached a new stage in connected entertainment where OTT is a standard source of video and viewers are more willing to experiment with multiple OTT services.

"Every product or service has a natural market lifecycle that reflects the state of adoption, competition and market development," said Brett Sappington, Parks' senior director of research. "OTT video is no exception, with services evolving to keep up with a fast-moving market. Netflix, Amazon, Hulu and other players have moved from simple subscription-based services to creators of award-winning original content such as 'House of Cards,' 'Manchester by the Sea' and 'The Handmaid's Tale.' Understanding the lifecycle of OTT video services allows market participants to better position their offerings and market strategy both for today and for the future."

According to Parks Associates research, 50% of U.S. broadband households watch long-form online video content on an Internet-connected TV set. Related findings indicate:

  • 69% of U.S. broadband households have an OTT subscription; 38% have two or more subscriptions.
  • Households that subscribe to three or more Internet video services is one of the fastest growing segments in the U.S. OTT space, increasing from 10% of broadband households in 2016 to 15% in 2017.
  • In the past 30 days, nearly one-half of U.S. broadband households have accessed video content from a subscription OTT service; 31% accessed free content.
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