Published August 28th, 2017
The number of homes where Roku devices are used is increasing as it becomes a more popular way to consume TV programming as per a new report from Parks Associates.
New consumer research from Parks Associates (http://www.parksassociates.com/) reveals Roku (www.roku.com) is increasing its lead in the streaming media player landscape. As of Q1 2017, 37% of streaming media players owned by U.S. broadband households are Roku devices, up from one-third in Q1 2016. The firm’s latest industry report Reinventing CE: Transforming Devices to Service Platforms shows this increase in share of installed base puts Roku further ahead of its main competitors Amazon, Google, and Apple.
“Roku emerged early as a U.S. market leader for streaming media players, and the company has held firmly to that position,” said Glenn Hower (http://www.parksassociates.com/staff/glenn-hower), Senior Analyst, Parks Associates. “Higher-priced devices, such as the Apple TV, have not been able to keep up with low-priced and readily available Roku devices, which can be found at Walmart for as low as $29.99.”
According to Parks Associates (http://www.parksassociates.com/), of the other major players in this market, only Amazon’s Fire TV had an increase in its share of installed base during the same timeframe. Amazon increased its share from 16% to 24% of streaming media players owned by U.S. broadband households, which moved the e-tailer ahead of Google for second place in streaming media player adoption. Google’s Chromecast now holds an 18% share of installed base, while Apple’s share fell to 15%.
“One-third of U.S. broadband households own a streaming media player,” Hower said. “The growth of the U.S. OTT market provided consumers with unprecedented ease of access to video content. These streaming media devices make for quick and easy access to the top OTT libraries.”
Reinventing CE: Transforming Devices to Service Platforms (http://www.parksassociates.com/report/reinventing-ce) examines how the CE industry has migrated from producing and distributing hardware to distributing OTT content and leveraging advertising models. It discusses the impact of the shift on the industry as well as industry progress in benefiting from the new business models. It also assesses the transition from hardware to software as more content is streamed from the cloud and the impact on CE devices such as streaming media players and gaming consoles.
Roku to speak at Nordic TV Summit in Copenhagen, September 28th 2017
Mark Hollett, Director, Business Development EMEA, Pay TV at Roku will be speaking at the annual Nordic TV Summit in Copenhagen on September 28th sharing his insight in the world of streaming devices and the future of devices in the multiscreen battleground.
Nordic TV Summit offers a unique opportunity for high- and mid-level TV executives to efficiently tackle big issues facing this industry—all while sharing information and learning from each others’ real world experiences as the OTT and TV business transforms before our eyes.
Join us (https://www.nordictvsummit.com/sign-up) for this must-attend event that brings together TV distributors, programmers and vendors to discuss the latest trends and challenges surrounding the TV business. More information on www.nordictvsummit.com
Additional research the report (http://www.parksassociates.com/report/reinventing-ce) shows:
Source: Parks Associate
May 17, 2017
More than half of all Americans, or 56 percent, have the ability to watch internet video on their TVs — but they’re still watching regular TV most of the time.
Since 2015, there has been a 20 percentage-point increase in the share of adults who can get internet video on their TV, either through the TV itself or by using a device like a Chromecast, according to a new report from ad trade agency Interactive Advertising Bureau.
But a large portion of the time (39 percent), people are using these TVs to watch old-fashioned live TV. As for internet video, they’re streaming Netflix or YouTube or Hulu about 24 percent of the time.
Fortunately for subscription streaming services like Amazon and Netflix that offer TV-on-the-internet packages, that share is going up.
People who do use their TVs to watch Netflix or Hulu are doing so more often. About half (46 percent) of people with streaming-enabled TVs watch streaming video daily, up from 32 percent in 2015.
What are they streaming? Seventy-nine percent watch TV shows (either currently airing, or shows that have aired in the past), whereas a close 70 percent watch subscription originals like Netflix’s “Stranger Things” or Hulu’s “Handmaid’s Tale.”
Jan 22, 2019
There will be more than 777 million global SVOD subscriptions by 2023, more than double from 2017 according to Ooyala’s new State of the Broadcast Industry 2019 report, which also found that the momentum only stands to increase.
The report – which draws on Ooyala’s own data and analysis as well as research conducted by other organizations – also underscores that viewers of all ages are increasingly adopting streaming services as their primary source of TV content. While Boomers and the Silent Generation (those born before World War II) remain the lifeblood of traditional broadcasters, they too are increasingly adopting over-the-top (OTT) and video on demand (VOD) platforms.
2018 was a year of significant change in the broadcast industry. There was a surge in M&A activity, an increase in the amount of time consumers spent with SVOD and AVOD content and a significant decline in pay-TV subscribers in North America as viewers changed how they watch TV… OTT jumped into the mainstream. There’s even more change in the cards for 2019.
Among US adults 50-64, OTT viewing increased 45% between 2016 and 2017; among US adults 65+, viewing was up 36%.
The report also postulated that mobile platforms will be a significant factor in OTT consumption in the future, given that estimates say video could make up as much as 90% of all 5G traffic.
“For OTT, that means faster and smoother delivery of video, no buffering, higher resolution, and a better, more engaging experience for users; for AVOD companies specifically, it will foster the collection of better, deeper data that could be used to better personalize advertising,” said the report.
The lesson for traditional broadcasters, the report noted, is to adopt the mindset of a diversified media company – as more programmers and distributors are joining, rather than fighting, the push into OTT.
“Subscription and ad-supported OTT services are steadily replacing traditional content delivery, and there’s no end to the opportunity to create connections with a global audience,” said Ooyala principal analyst Jim O'Neill. “OTT is not traditional TV. It thrives upon consumer choice, often random interaction, and the convenience of viewing when, where and on what device a consumer chooses. It thrives upon its own ability to iterate in order to respond to the changing conditions of the new TV environment.”
Meanwhile, as mobile viewing soars, it turns out that screen size still matters to the majority of consumers. A full 40% of US consumers who replaced a TV between October 2016 and October 2018 said they wanted to purchase a bigger screen, per The NPD Group. And consumers are going all-in on 4K UHD, driven largely by SVOD services, like Netflix, and the promise of 4K and UHD content from major sporting events, like the Winter Olympics and the FIFA World Cup.
“Content owners have seen a massive increase in the demand for their products,” continued O'Neill. “That will continue as OTT services push out across the globe and original content maintains — and grows — its value. It’s becoming increasingly important for media companies – both big and small – to closely monitor and control the content supply chain.”
New OTT Services Aren’t Saturating the Market, they ARE the Market
Is the influx of new OTT services creating saturation in the market? Not by a long shot. While there’s likely a limit as to how many SVOD services users really are ready to pay for, that upper limit hasn’t yet been reached. And, as we see more channels become available a la carte, that limit may continue to rise, especially as younger consumers — who see streaming as the norm — grow older.
May 08, 2017