Over 40% of U.S. broadband households subscribe to an online video service
Park Associates (www.parksassociates.com) has announced results of a 2013 survey of 10,000 U.S. broadband households, which shows 44% currently have a subscription to some kind of online video service, such as Netflix, Hulu Plus, or Amazon. Younger consumers are more likely to subscribe to OTT (over-the-top) video services, and 8% of consumers 18-24 have never subscribed to a pay-TV service.
"Consumers have a variety of viewing options now thanks to OTT content, which is dismantling the traditional TV business models," said Heather Way, Senior Analyst, Parks Associates. "Online video is now a common source of video viewing in U.S. households, while transactional VOD (TVOD) is near the bottom. However, industry players, from service providers to retailers, have many new options in monetization models, including advertising, t-commerce, transactions, and subscriptions."