OTT: Perception, Use, and Business Models

Description

SYNOPSIS:

OTT video services across business models continually adapt their offerings and experience to remain relevant in a fast-changing market. Consumer perception affects both potential uptake and engagement/retention. This consumer-focused report quantifies consumer usage and perception of OTT video services across various business models, their libraries, and features.

Key questions addressed:

Have the foundational services reached saturation in the United States?

Do consumers consider price or content the most important factor when subscribing to a service?

Is churn leveling off?

Do free trials drive subscriptions?

Can co-viewing experiences drive engagement and subscriptions?

ANALYST INSIGHT:

"In 2022, the streaming market is maturing, though by no means settled. Expect more acquisitions and bundles of smaller services to reach a larger audience and continued experimentation with hybrid business models to capture market share and expand their user and revenue bases." - Eric Sorensen, Sr. Contributing Analyst, Parks Associates.

Survey Methodology and Definitions

Pay TV Definitions and Categorization

Defining Pay-TV Service
Categories of Pay-TV Adoption (Q1/22)
Entertainment Service Ecosystem
Key Terms and Definitions

Executive Summary

Changes in US Pay-TV Market
Overall vMVPD Service Adoption
Penetration of Traditional vs. OTT Video Services
OTT Service Use by Business Model
Number of OTT Service Subscriptions - 8 Year Trend
Method of Subscribing to OTT Service
OTT Subscriber Churn
Top 2 OTT Churn Triggers

Video Service Adoption: OTT vs Pay-TV

Penetration of Traditional vs. Subscription OTT Video Services
Pay-TV & OTT Service Subscription Trend
Pay-TV* and OTT Service Subscription Mix
Pay-TV Adoption by Service Type
Intention to Make Changes to Pay-TV Service

OTT Business Models: SVOD, Ad-Supported, TVOD, vMVPDs

OTT Service Use by Business Model
Number of OTT Service Subscriptions
Overall vMVPD Service Adoption
vMVPD Service Adoption
Use of Ad-Based OTT Video Services
Use of Transactional OTT Services
Preferred Method of Watching New Movies

SVOD Market Leaders: Adoption & User Base

Major OTT Subscription Service Adoption
OTT Service Subscription: Big 3 OTT vs. Non Big 3 OTT
Exclusive Subscribers of Individual OTT Service
OTT Video Service Use by Parent Companies
Other OTT Service Subscriptions
Other OTT Service Subscriptions, Cont.
Sports OTT Service Penetration
Premium Network OTT Subscriptions
Fitness OTT Service Penetration
Major OTT Service Penetration by Age
Major OTT Service Penetration by Gender
Major OTT Service Penetration by Children at Home
Major OTT Service Penetration by Income

OTT Subscriber and User Journey

Method of Subscribing by Service Type Q3 2021
Method of Subscribing to OTT Services
Method of Subscribing to Top 10 OTT Services
Triggers for Subscribing to OTT Services
Triggers for Subscribing to Select OTT Service
OTT Service Trials
OTT Trials and Conversion in the Past Six Months Among All US BB HHs
Subscription Rate by Number of Trials
Attitudes Towards OTT Service Trials
% Highly Agree: I'm More Likely to Subscribe with Longer Trial
Average Subscription Duration of Major OTT Services
Average Subscription Duration of Premium Network OTT Services
Average Subscription Duration of Other OTT Services
Average Subscription Duration of Sports OTT Services
Average Subscription Duration of Fitness OTT Services
Drivers for Using Ad-Based OTT Services

Perceptions of OTT Services

Net Promoter Score of OTT Services
Traditional Pay-TV Service Provider NPS
vMVPD Service NPS
Reasons for Recommending OTT Services*
Reasons for Recommending Select OTT Services*
Reasons for Not Recommending a Service, but Continuing to Subscribe*
Reasons for Not Recommending a Service, but Continuing to Subscribe, by Service
User Experience of Online Video Service Subscriptions
User Experience of Transactional OTT Services

OTT Churn

OTT Subscriber Churn
Subscribers Cancelling Service as a % of Current Subscriber Base
OTT Churn Triggers
OTT Service Retention Options

Social Viewing

Methods of Social Viewing
Likelihood of Using Co-viewing Feature
Use of Dedicated Co-Viewing App among Subscriber and Demographic Segments