'Bundle' Is Much More Than Premium Video, Study Finds


The so-called "bundle" -- a term media analysts have been using in recent years is no longer dominated by premium video, according to Hub Entertainment Research, in terms of consumer's entertainment and media needs.

A March survey of 3,000 people 18-74 shows the average number of non-premium TV/video services in a “bundle”  -- social video, music, gaming, podcasts, news, for example -- are 6.6 platforms/services.  

Premium video averages 6.3 -- consisting of traditional pay TV providers, virtual pay TV providers, subscription video-on-demand platforms (SVODs), FAST channels (free advertising-supported TV) and premium cable. 

“Consumers in general use just as many non-video entertainment providers as they do premium video,” according to authors of the study.

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And for young consumers ages 18-34, non-video service yields much higher results -- 9.1 on average, with 7.4 being the average for premium video.

When asked what should be selected for an "ideal bundle," 71% cited high-speed home internet, while 65% said Netflix; 52%, a mobile phone plan; 43%, a streaming music/audio service; and 40%, a network bundle with live TV. 

Of 19 brands listed by Hub, respondents said the five "brands" for a bundle were Netflix at 15%, followed by Amazon with 12%, AT&T (10%), Verizon (9%), and Xfinity (9%). The next five were YouTube at 7%, followed by Apple, 7%; Spectrum, 6%; Google, 4%; and Walt Disney, 4%.

Jon Giegengack, principal/founder of Hub Entertainment Research, says: “This research underscores the opportunity for established aggregators like Amazon or AT&T to attract subs with bundles that cross content categories.

But the research also shows that "consumers would readily accept Netflix as an aggregator based entirely on the strength of its brand.”

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