Published May 3rd, 2017
Nearly one out of three people who try out a video-streaming service during a limited free period end up subscribing, according to new research by Parks Associates.
While spending on transactional services has declined, average monthly spending on subscription OTT video has increased, reaching $7.95 per U.S. broadband household in 2016.
Most households build their services around at least one of the top three services, Netflix, Amazon, and Hulu, which also show among the most effective trial conversion rates.
“Free OTT trials are effective in converting a sizeable portion of trial users into subscribers,” Glenn Hower, Senior Analyst, Parks Associate said. “There is a potential for free trial abuse, but only roughly 1% of consumers are ‘serial trialers’ who abuse free trials to avoid paying for services. Most consumers use trials for their intended purpose of trying out a service before deciding whether or not to continue as a paid subscriber.”
According to Parks, more than a fourth of US broadband households tried out at least one online video service in the last six months with a free trial. Of these, 47 percent subscribed to at least one trial service after the free period expired.
Source: Parks Associate
Apr 21, 2017
Jan 18, 2018
Nov 14, 2017
It may be no surprise to see Netflix, Amazon and Hulu maintain their position as the top guns in the US over-the-top (OTT) market, but research from Parks Associates has revealed that bubbling under the crucial three are now a number of interesting players.
Based on subscriber numbers, the researcher found that the top ten comprised Netflix, Amazon Video (Amazon Prime), Hulu (SVOD), MLB.TV, HBO Now, Starz, YouTube Red, Showtime, CBS All Access and Sling TV. Of most note is the velocity that the skinny bundles have gained in a short space of time. In addition, the HBO Now service has made particular progress.
Source: Rapid TV News