nScreenMedia OTT multiscreen media analysis

nScreenNoise – SVOD friend or foe of pay TV?

nScreenMedia Video Podcast

Pay TV is still trying to convince itself that SVOD is its friend. But new data shows just the opposite.

Chapter 1: Pay TV cozying up to SVOD (0:30)

Liberty Global is pleased with its integration of Netflix on the set-top box. It sees the relationship as good for both. The company would like to also add Amazon Video, and Amazon is keen to do it.

Chapter 2: Online and pay TV see equivalent usage (2:00)

New CTA data shows that pay TV and free/pay online subscriptions are about equivalent. As well, the company says television video consumption and connected device viewing are about equivalent.

TiVo says pay TV subs with a streaming device are almost 3X more likely to say they plan to cut-the-cord than those without a streaming device. As well, 98.5% of SVOD subs use their service daily. 70% watch at least an hour a day, 39% watch at least 2 hours per day.

Chapter 3: Pay TV partners launch SVOD (3:50)

Pay TV partners continue to launch standalone SVOD services. The BBC, in partnership with the UK commercial broadcaster ITV, launched the $6.99 a month BritBox service this week. Turner and Warner Bros will be launching an SVOD service dedicated to cartoons, with Loony Tunes leading the way.

Chapter 4: SVOD friend or foe? (5:00)

The data strongly suggests that SVOD is far from being a friend of pay TV. It is much more likely to be its replacement.

Why it matters

Pay TV operators are still trying to convince themselves that SVOD does not represent a threat.

They are putting SVOD services on pay TV set-top boxes.

New data shows that SVOD is increasingly replacing the functions traditionally provided by pay TV operators.



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