The average time U.S. residents spend watching OTT video content will surpass 52 minutes per day this year, a significant 23% increase from 2019, according to Emarketer. The acceleration resulted in a 15% increase year over year. The launch of new streaming platforms has contributed to the increase in consumption, along with its premium selection of content libraries. Other platforms, such as Apple TV+ and Quibi have invested in original content, and stay-at-home restrictions amid the pandemic further increased the growth of existing streaming platforms.
The research firm’s survey was conducted on 31st March and reflects the US population in terms of gender, age, income, and living area. Most of the consumers are likely to replace traditional TV with digital video, leading to more time-consuming subscription OTT content. The average time spent with Netflix will surpass 30 minutes per day in the US this year, an increase of more than 16% from last year. Amazon Prime Video, the third-most-popular streaming platform after Netflix and Hulu, is projected to receive a 19.1% increase this year to nearly 9 minutes per day.
As cord-cutting continues to accelerate, video consumption will also shift to subscription OTT content. The cancellation of live sports, as well as growing unemployment, will cause some consumers to cancel their cable subscriptions: In fact, 9.2% of respondents to the Business Insider Intelligence Coronavirus Consumer Survey said they had already canceled or were planning to cancel their pay-TV subscription due to the pandemic.
Subscription streaming will remain the most popular way of consuming digital video in the near, predictable future. By the end of our forecast period, the time spent will reach 70 minutes a day, whuch is nearly 54% of daily time spent with digital video, which will average 130 minutes per day in total. While there's room for incremental growth after 2022, daily time spent with digital video will eventually approach its limit. Any new-to-market subscription OTT services are unlikely to boost time spent.
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