VOD Usage Grows, Ups 18-49 Viewing

TV networks continue to seek video-on-demand alternatives to extend their live programming and other video assets -- and for good reason. Nielsen now says on average, VOD contributes 4% to 5% to overall 18-49 TV viewership.

Nielsen says some individual shows have seen upwards of 15% to 20% improvement in viewership from VOD, according to its latest Cross Platform Report. Nielsen says VOD programming is now available in 60% of U.S. TV homes.

TV networks put high value in VOD because unlike DVR time-shifted programming, viewers can’t fast-forward through commercials. Better still, younger viewers -- as well as Asian Americans -- are heavy VOD users.

Nielsen says VOD viewers watch more TV -- an hour and five minutes of live prime-time viewing per day and 14 minutes of time-shifting viewing versus those non-VOD users, who logged in 54 minutes of live prime-time viewing and nine minutes of time-shifted viewing.

In other research, Nielsen says close to 40% of U.S. TV home currently subscribe to at least one subscription-based Video-On-Demand (SVOD) service, such as Netflix and Hulu Plus. Nielsen says SVOD subscribers are more likely to have children, are better educated and have a higher income.

Nielsen says overall time-shifted viewing continues to grow -- gaining five minutes to 34 minutes per day in the first quarter of 2014 from the first quarter of 2013, when it was 29 minutes.

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