Who's Watching What?

According to the latest edition of The Nielsen Company's Three Screen Report, over the last two years, ownership of HDTVs, DVRs and smartphones have increased at double and triple digit rates. More than half of US TV households now have HDTV, up 189% from the first quarter of 2008, and more than one-third now have DVRs, up 51%.  High-speed broadband Internet access, now in 63.5% of homes, has created a better user experience for watching online videos.

Nearly a quarter of households have smartphones, enabling consumers to "place shift" and watch video wherever they are.  Despite the common perception that viewers of videos on mobile phones are predominantly teens, more than half are adults aged 25-49. While mobile online video viewing is still fairly limited, year over year growth is notable at 51.2%

A Week in the Viewing Life Spent in Hours:Minutes (Q1 2010)

Watching

K2-11

T12-17

 A18-24

A25-34

A35-49

A50-64

A65+

Avg. P2+

On Traditional TV

25:48

24:28

26:45

32:03

36:35

44:20

48:54

35:34

Watching Timeshifted TV

1:32

1:20

1:31

3:00

2:50

2:30

1:17

 2:09

Using the Internet on a PC

0:24

0:59

2:57

5:21

6:28

5:00

2:35

3:52

Watching Video on Internet

0:04

0:10

0:30

0:36

0:31

0:18

0:07

 0:20

Mobile Subscribers Watching

Video on a Mobile Phone

n/a

0:18

0:10

 0:07

 0:03

0:01

<0:01

 0:04

Source: The Nielsen Company. Based on Total Population in the U.S.: 294 million Americans over age 2

Matt O'Grady, Executive Vice President, Audience Measurement, says "Consumers are driven by the convenience and quality that today's technology now enables... "

TV still remains the preferred screen of choice: viewers watched 2 more hours of TV per month in the first quarter of 2010 compared to the same period a year prior. They are also continuing to simultaneously use the Internet while watching TV, with the average time spent doing both activities up 9.8% to 3 hours and 41 minutes.

Monthly Time Spent in Hours:Minutes Per User 2+ (Based on total users of each medium).

Use

Q1 2010

Q4 2009

Q1 2009

% Diff Yr to Yr

Hrs:Min Diff Yr to Yr

Watching TV in the home

158:25

153:47

156:24

+ 1.3%

+ 2:01

Watching Timeshifted TV

9:36

9:13

8:22

+ 14.7%

+ 1:14

Using the Internet on a PC

25:26

26:32

29:15

-13.1%

- 3:49

Watching Video on Internet

3:10

3:22

3:00

+ 5.9%

+ 0:11

Mobile Subscribers Watching Video on a Mobile Phone

3:37

3:37

3:37

Flat

0:00

Source: The Nielsen Company.(seasonal usage may skew quarterly data)

Video viewing across all major media platforms continues to be fueled in part by the adoption of technologies that improve the consumer experience whether it be quality or convenience. Penetration of HDTVs, DVRs, broadband and smartphones increased at double- or even triple-digit rates during the last two years.

• HDTV: More than half of US TV households now have a high-definition television and receive HD signals; between Q1 2008 and Q1 2010, HDTV penetration grew 189%

HDTV's rapid growth is important for a number of reasons. First, high-definition raises the bar for programmers and advertisers and increases consumer experience expectations on other platforms. Second, HD sets still tend to be found disproportionately in high-income, highly educated households that are often characterized by lower viewing. HD-capable households actually watch 3% more primetime TV than  HD-non-capable households, which may help drive viewing among segments of audiences marketers find most important.

• DVR: More than a third of homes have a digital video recorder, up 51% from Q1 2008 to Q1 2010, making it possible for more viewers to watch TV programs on their own schedule

Timeshifting, including DVR and Video-On-Demand, is another technology which appears to be bolstering consumption. The timeshifting audience increased by 14%, to more than nine and a half hours per month. As timeshifting increases, the rate of commercial viewing during playback remains steady. On average, viewers watched 45% of commercials during timeshifted playback in Q1 2010 compared with 43% in Q1 2009. At the same time, the continued growth of timeshifting is creating more opportunities for viewers to catch missed programs or try new ones.

• Broadband: 63.5% of homes now have broadband Internet access, with high-speed connections that improve online video delivery

Beyond the TV, technology is helping drive video use on the "second" and "third" screens. The proliferation of broadband access is bolstering online video, creating an alternative mass outlet for distributing television content and "timeshifting" long-form TV.

• Smartphones: Nearly a quarter of households (up 38% year-over-year) have smartphones (mobile phones with advanced operating systems), making it easier for consumers to "place shift" and watch video wherever they are

Similarly, the increased popularity of smartphones has created yet another opportunity for distributing video of all kinds outside of traditional broadcast and cable TV airing times and places, concludes the report.

Trended US Penetration by Technology

 

May 23 2010

Q1 2010

Q1 2009

Q1 2008

% Dif Q1 2008-Q1 2010

HDTV

  

  

  

  

  

   Penetration of capability receivability within TV households

52.7%

47.9%

32.0%

16.6%

+ 189%

DVR

  

  

  

  

  

   Penetration within TV households

36.6%

36.2%

30.9%

24.0%

+51%

Broadband

  

  

  

  

  

   Penetration amongst individuals 2+

n/a

63.5%

60.7%

51.3%

+24%

Smartphones

  

  

  

  

  

   Penetration amongst mobile subscribers 13+

  n/a

22%

16%

10%

+120%

Sources: HDTV/DVR penetration estimates derived from Install counts in National People Meter Sample. Broadband penetration derived from Nielsen's RDD/

In an era when many feel the quality and diversity of video content is at an all-time high, it's clear that there's more at work than programming alone. Technology enhancements also contribute significantly to the quality of the consumer experience-yet another reason today's consumers watch more video, across time and place, than ever before, concludes the report.

For additional information, please visit Nielsen here.

  

 

 

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1 comment about "Who's Watching What?".
  1. Chris Stinson from Non-Given , June 22, 2010 at 8:24 a.m.

    Watching Video on Internet or on a Mobile Phone.

    What does that mean?
    Watching user generated videos?
    Watching family videos in Facebook?
    Watching music videos?
    Watching clips from News, TV & Movies?
    Or just watching TV shows 'on demand'.

    The what is as important as the how.