More TV Homes Sign Onto Multiple SVOD Services

by Wayne Friedman , October 12, 2016

Increasingly, TV homes are signing onto multiple subscription video-on-demand services, “self-bundling” their own TV network services.

GfK, the consumer/market researcher, says 16% of TV homes have multiple SVOD services. So-called “self-bundlers” are paying for combinations of Netflix, Amazon Prime and Hulu, as well as other streaming services.

The survey says 49% of the TV viewers subscribe to at least one of these services. Some 17% have Netflix and Amazon Prime, while 9% having Netflix and Hulu. Some 5% have all three of the major services: Netflix, Amazon Prime and Hulu.

Self-bundlers have higher incomes -- $90,000, versus $76,000 for all TV viewers. They are also more likely (50%) to have kids/teens under 18 in their homes, versus 41% for any TV viewer.

Research also says TV homes with Netflix and Hulu (59%) are less likely to have traditional pay TV service -- cable, satellite, or telco -- than those with Netflix and Amazon Prime (67%).

GfK measured those consumers paying for two or more SVOD services to be considered “self-bundling.”

GfK examined 16 over-the-top (OTT) streaming video services. The company's report is based on interviews with 1,054 consumers.

media measurement, ott, streaming, svod, tv

3 comments about "More TV Homes Sign Onto Multiple SVOD Services ".

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Ed Papazian from Media Dynamics Inc, October 12, 2016 at 4:30 p.m.
Not surprising but noteworthy all the same. As more and more SVOD services surface, including those with really appealing content and a lot of it, "churn" factors will increase rapidly as many people will want to sample the newbies. Often, this will be at the expense of the "oldies"---especially when the latter raise prices to compensate for declining subscriber growth and the heightened costs of obtaining new content. In other words subscriber fragmentation is already here for SVOD and it can only accelerate.
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Leonard Zachary from T___n__, October 12, 2016 at 5:39 p.m.

Yes Ed pay-TV bundles fragmenting is here & it will only get worse.

Ed Papazian from Media Dynamics Inc, October 12, 2016 at 6:37 p.m.

Yep, things are sure fragmenting. But none of this has much to do with the value of a particular medium. In the case of TV, if you need a certain level of reach, and ratings are finely split among many channels, the solution---in large part ---is to spread out your buys on more channels. The only time that fragmenting audiences is a problem is when the sum total of available eyeballs shrinks dramatically---as happened with radio when TV came along many years ago. But this is not what's happening with TV, and all of this blather about unbundling, cord cutting, etc. which is meant to create the impression that "traditional TV" is dead or about to die, and will soon morph into a digital medium, is mainly propaganda---or very wishful thinking. Actually, if unbundling were to come about and the average consumer could buy only those 17 channels that he/she supposedly wants, the actual result would be many fewer channels offering worthwhile content and a rating upsurge by the broadcast TV networks---reverse fragmentation----making them a more appealing option for most advertisers.