SAN JOSE, Calif.—Consumers are rapidly embracing streaming services, with the average person having 8.8 video services in Q2 2021, up from 5 in 2017, but churn rates are also high, according to the Q2, 2021 "Video Trends Report from TiVo."
The report found that respondents used an average of 8.8 video services, up 27% just since the end of 2020. People with higher incomes of more than $100K averaged 12.12 compared to 6.35 for those earning less than $50k. Younger viewers aged 18 to 30 were also heavily stacking streaming services, using on average 11.3 services.
But the survey also found that SVOD churn was high, with just under 25% reporting they had cancelled a SVOD service in the last six months. This was a much higher rate than pay TV, with 11% of the respondents reported dropping their pay TV provider in the last year.
Money was the top reason for cutting both pay TV and SVOD services, with 73% of the cord cutters saying they dropped pay TV because of price, while 37% of respondents said they dropped an SVOD service because it raised prices. Another 30% said they dropped the SVOD subscription because they weren’t using it enough.
The importance of money in making these decisions reflects the fact that the average respondent reported paying $142.20 a month for internet and video services. Despite these hefty outlays, 60% reported that it was hard to find good TV series or movies to watch and another 55% said they were spending too much on video entertainment.
Interestingly, pay TV subscribers spent the most on SVOD services ($32.70 a month compared to $28.10 for broadband only customers.)
The survey also found that local content was a must for pay TV subs, with 85% of pay TV subs saying local content was important compared to about 65% for broadband only.
In terms of streaming media players, the survey found Amazon Fire, which was used by 30% of respondents, slightly more popular than Roku (29%), followed by Apple TV (21%) and Chromecast (18%.)
The full report with more data can be accessed here.
