The findings show how far-reaching streaming video services have become. About 63% of U.S. home subscribe to broadband services, and nearly half of those homes are also customers of at least one OTT service, Parks said. In addition, about 31% of broadband homes subscribe to more than one OTT service, opting to take a range of combinations of services like Netlfix, Hulu and Amazon.
Parks Associates reported these results in its OTT Video Market Tracker study. The most common combo of services is Netflix plus Amazon video, with about 12% of U.S. broadband homes choosing that mix of services.
These so-called “service stackers” are key to the continued growth of the OTT business since they’re driving revenue growth, Parks said. Of course, consumer willingness to shell out is usually rooted in content, and Parks noted the release of “Gilmore Girls: A Year in the Life” on Netflix and “The Grand Tour” on Amazon as tentpole shows that boosted growth for the sector. On average, U.S. consumers pony up about $29 a month for video services above and beyond pay TV. That number has risen in the last four years.
In related news, Pivotal Research said that most TV networks lost subscribers last year. Only 35 of 118 TV networks saw traditional pay-TV growth.