76% OF USA'S BROADBAND HOUSEHOLDS OBTAINED AN OTT SUBSCRIPTION IN Q1

New findings from OTT video research conducted by Parks Associates’ indicates that 76% of US broadband households subscribed to an OTT video service in Q1 2020, while the rate for streaming services was 41%. Over half of US broadband households subscribed to a traditional pay-TV service, at 62%. "With movie theaters closed and cinematic productions and live events canceled or postponed, services are lacking some high-dollar content at the same time overall video consumption is accelerating," said Steve Nason, Research Director, Parks Associates."OTT services responded by adding new releases and extended free trials. As a result, OTT subscriptions have increased, while the churn has declined slightly since last year."

During the company’s webinar,  “Streaming in the 2020s – An Industry Comes of Age,” Nason will examine the future of streaming services. The event will be co-hosted with Comcast on Tuesday, 9th June, at noon ET.  It will also cover speakers contributing their thoughts about the current circumstances to develop new strategies and innovations, ensuring continuous growth and viewer engagement. "We will see, as lockdowns ease, if these strategies lead to sustainable growth or if the OTT industry needs to adjust again to new viewing patterns,” Nason said.

According to Nason, out of, 41% of households that trialed at least one OTT service, 69% adopted at least one paid subscription. He believes that despite new trial offers to be successful at attracting customers, providers must explore innovative service models as competition increases and household budgets shrink, such as making a portion of content free or offering discounts to longer-commitment subscriptions.

Parks Associates’ report, Consumer Perception of OTT Video examines the pros and cons of the top OTT video services and their libraries and features from the consumer’s perspective. The firm’s OTT Video Market Tracker features monthly updates on trends and market activities in the OTT video space, with comprehensive tracking of the OTT video services industry, identification and analysis of new OTT video service players, and insights into industry trends and disruption.