Have U.S. televised programming consumers reached a tipping point when it comes to their preference of streaming video platforms versus linear, traditional platforms?
With one trade publication noting how NBC won Premiere Week with “an infinitesimal 1.1 demo rating,” new research from Horowitz Research illustrates just how dominant SVOD, AVOD, OTT and Connected TV already are in the 50 states and its territories.
Horowitz Research’s State of Viewing and Streaming 2022 report finds that viewers now spend just one in three hours using traditional platforms, with the majority of their viewing time spent streaming.
Horowitz’s data also show that streamers use an average of 7.1 services — around 4.3 subscription and 2.8 free services — in a given month to stream full-length TV content.
In particular, advertising-based video on demand (AVOD) and FAST services have increased “substantially” since last year, with YouTube remaining the top free service used for TV content, closely followed by Pluto TV and Fox Corporation’s Tubi.
Overall, Netflix still commands the largest share of viewing with 22% of streaming reportedly done through the platform. However, Netflix’s share has dropped dramatically — from about 39% in 2018 — as more services vie for consumers’ eyeballs and engagement.
Needed: Universal Search
With so many new services to keep track of, consumers are demanding managed and consolidated services to improve the streaming experience. The Horowitz study finds that 66% of streamers would like universal search capabilities across all their streaming services to be able to manage all their streaming subscriptions in one place.
Additionally, 58% would like to see consolidation of the myriad streaming services to mitigate the confusion they are experiencing.
Meanwhile, many Horowitz respondents appear to be excited about potential enhancements to streaming platforms that would enable more interactive experiences such as accessing content beyond TV shows or movies (57%), being able to shop for products seen in shows directly through their phone or remote (48%), and being able to virtually socialize with friends/family while viewing content together (41%).
“As the streaming space evolves, platforms that will dominate will offer the best user experience,” say Adriana Waterston, Chief Revenue Officer and Insights & Strategy Lead for Horowitz Research. “That will help consumers be more efficient at finding great content to watch, that will help them manage skyrocketing costs, and that will deliver benefits beyond viewing, whether that’s shopping, socializing, or other new ways of interacting with content, brands, and other viewers.”
The survey was published in May 2022 in English among 2,200 adults. Data have been weighted to ensure results are representative of the overall TV universe. The report is available in total market, FOCUS Latinx, FOCUS Black, and FOCUS Asian editions.
