Virtual multichannel video providers (vMVPDs) are now in 19% of U.S. broadband households--nearly double the saturation level as recently as 2019, according to Parks Associates data.
Reason? Growing numbers of consumers are supplementing video-on-demand services with online pay-TV services that offer bundles of live channels through third-party connected devices.
Many households that cut the traditional pay-TV cord or never subscribed in the first place “are looking for a live and more linear video viewing experience via online options, which is driving vMVPD service uptake,” confirms Parks Associates Senior Analyst Paul Erickson.
“These services also promise less costly investment and more content flexibility, which increases the appeal among today’s video viewers, who are accustomed to the benefits of OTT solutions.”
The data is from Parks’ Video Services Dashboard, which tracks consumer adoption of over-the-top video and traditional and online pay-TV services.
On the perennial question of how many over-the-top streaming subscriptions, a Parks survey of 10,000 broadband households in this year’s third quarter found 49% reporting four or more services — up 3% from first-quarter 2021.
Another recent survey — conducted by tvScientific in September among 1,000 consumers and representative of the U.S. population between the ages of 16 and 54 — found a combined 39% reporting that they have four or more streaming services, and 27% reporting three services.
This survey also found 38% reporting that they have one ad-supported streaming service, 27% reporting two, and 16% reporting three.