Despite predictions that live streaming television was going to be one of the hottest features in 2017, interest in this service has fallen flat in the US. StreamOn, a Cogent Reports study by Market Strategies International (MSI), has found that only 11% of all streamers pay for live streaming television. The report is based on a survey of 3,260 consumers in August of this year in the US.
Nearly a dozen new name-brands entered the video streaming market in 2016, and virtually all of them offer and highlight live video streaming. With the exception of sports and news, the research shows that viewing live content is not in high demand, as it is currently offered.
This customer experience research shows that nearly three-quarters (73%) of the population use streaming services and nearly one-third (29%) of those who stream have either cancelled or downgraded their traditional TV services. According to MSI, this signals a dramatic change in how television is sold. The most successful streaming companies are the ones that have gone outside the components of the traditional pay-TV format: broadcast channels, scheduled live programming, and programming guides, with Netflix currently the leader in the video streaming industry, setting the bar for other streaming providers.
“While Netflix has the highest use rate and share of wallet by a long shot and is the provider to beat—there is not a clear winner yet. None of the current providers has cracked the code on what consumers want,” continued Mishkin. “However, the research clearly shows that the strength of the leaders is due to their ability to break free from the old rules of TV.”
Analyst Comment
Well, no big surprise there. News and sport are clearly time dependent services, but relatively little other content is. Reality shows that have a live voting element may be another segment. (BR)
