In a study of consumer video habits, research firm Altman Vilandrie & Co found that less than 5% of consumers watch online video regularly instead of subscribing to TV, a finding that perhaps underscores the “myth” of cord-cutting. Live programming is still a big draw for pay TV viewers, the firm said.
But service providers shouldn’t rest on their incumbent laurels, because TV viewers are indeed leaning on online viewing. In fact, cord-cutting may not be happening en masse, but since 2010 “cord-shaving” has doubled to 26% of consumers who have cut back on services like VOD.
Multiscreen viewing is broadening. The report found that 80% of consumers under 35 watch TV shows and movies online weekly, with more than a quarter of the under-45 crowd watching weekly on tablets. The percent of consumers watching TV and movies weekly on a smartphone has nearly tripled since 2011, from 5% to 14% this year.
These new habits are vital for service providers to keep in mind because they point to the direction in which consumers are headed: viewing on any screen.
Awareness of TV Everywhere is also an issue. While all of the major multichannel providers offer some form of TV Everywhere, only 32% of consumers said they were aware that their cable TV subscription included access to it, the report said.
Meanwhile, over-the-top usage in general is rising. Parks Associates recently reported that 44% of US broadband homes have a subscription to an online video service such as Netflix, Hulu Plus, or Amazon._____________________________________________________________________________________________________________________