Published January 5th, 2018
Viewing was done on more than 2.4 billion devices, up 9%, said Conviva, which provides measurement and analytics for seven of the top 10 U.S. subscription video-on-demand providers, according to the company.
The U.S. accounts for 58% of OTT viewing, followed by Europe with 21%, Asia with 19% and the rest of the world with 2%.
“Conviva has seen the viewing hour growth rate accelerate over the past several years as more consumers move their TV-watching from traditional linear pay TV services to a very wide variety of OTT services offered by both pure-play OTT publishers and MVPDs as well as pay TV providers diversifying their service offerings,” the company said in its Streaming Market Year in Review. “Conviva expects to see continued accelerated growth over the course of 2018 across both existing and new customers.”
The number of view plays initiated in 2017 rose 74% to 38.8 billion, with 54% of those coming in the U.S.
By December, the 64% of traffic on Conviva’s platform came through video apps, compared to 36% from watching video through browsers. That’s the opposite of a year ago. Video app activity grew 160%, while browser video rose 23%.
In the U.S. there are 1.04 billion unique streaming apps on devices, with 2.2 apps per devices and 2.9 devices per person.
Conviva said the peak in concurrent video connections was 9.75 million. There were spikes in both live sports and original content.
In-home devices, such as Xbox and Roku, showed the highest completion rate for video programming at 46%, with a 71% growth in viewing time per device, Conviva said. Streaming video programming was more likely to be interrupted when viewed on a mobile device.
In terms of quality of OTT video, Conviva said that of the 47.1 billion attempts to start watching a video, 38.8 billion were successful. It took on average 4.84 seconds for a video to start, a 23% improvement from the previous year.
Buffering issues improved slightly. While watching a half-hour show, the average viewer spent 0.95% of their time, or less than 18 seconds, waiting for a video to rebuffer.
“The OTT market continues to see explosive growth not only in the number of viewers, but the amount of time spent viewing as well,” Conviva said.
While the data in the report is based only on Conviva customers, Conviva says its customer base covers close to 60% of the internet population and measures seven out of the top 10 SVOD providers in the US, as well as many other OTT providers globally.
Source: Broadcasting cable
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Over the past few years, online video services in Europe have experienced rapid growth, particularly those that follow the subscription revenue model. Global players such as Netflix, Amazon and HBO went direct-to-consumer, disrupting the previous long-term relationship between subscribers and multichannel operators.
Soon after Netflix began showing signs of success in North America and Western Europe, pan-European satellite operator Sky launched its own stand-alone online video service in the UK, combining on-demand content with live streaming TV networks in 2012. Others followed, such as Canal+ with Canalplay in France and Telecom Italia with TIMVision in Italy.
Currently, five services accounted for 89 per cent of the $6 billion in consumer spending attributed to subscription online video services, according to a report published by Kagan, a media research group within S&P Global Market Intelligence.
More proof of just how dominant Netflix is in Europe comes from new data by analysts at S&P Kagan. According to new research from Kagan, Netflix accounted for 52% of all subscription VOD revenues in Europe at the end of 2018.
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