Video Content

TV Professionals Expect Growth with On-Demand OTT Subscription Services and "Skinny Bundle" Packages

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Netflix started a movement. Now there are so many streaming platforms on the market to watch premium programming.

This movement continues to influence consumers to cut the cord and cancel their traditional cable service. Specifically, 39 million are expected to cut the cord, as reported by Conviva.

Instead, they are investing in a few streaming platforms like Hulu, Netflix, or Amazon Prime Video, etc.

There's a lot of potential in the OTT subscription market. Consumers are willing to invest in premium content they want, so the broad packages are no longer of interest. Instead, they want to be able to pick and choose what programming they pay for.

According to the recent “Industry Survey 2019 by Digital TV Europe, 44 percent of the TV industry professionals surveyed expect subscription video-on-demand services to grow. 40.7 percent think "skinny bundle" combinations paired with on-demand streaming services will also see tremendous growth.

"Once used to describe pared-down cable TV packages, the skinny bundle has since been brought into the digital video sphere and can describe linear OTT services that offer customizable channel packages or a service that combines linear and on-demand content, as defined in the Digital TV Europe study," writes "eMartker."

Sling TV is a subscription service that allows users to select the channels they want access to then they can also upgrade their programming with HBO or Showtime.

Read more at "eMarketer" now.

Users are Watching 8 Billion Hours of Content on Streaming Devices a Month

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As consumers switch from traditional TV services like Satelite Dish and cable, Roku, Google Chromecast, Apple TV, and Amazon Fire TV have quickly emerged as the most popular devices to stream video.

According to data from Nielsen, Americans are watching about 8 billion hours of content on these devices. The majority of the streaming is happening in the living room and users 13 and older using these platforms to stream to their TVs for an average of at least an hour a day.

Bigger screens are still the most popular when it comes to watching content. According to Nielsen's findings, consumers only stream for 36 minutes a day on average on computers and 24 minutes on mobile devices.

Younger audiences aren't watching live TV as much, with only 3 percent of live TV viewers being between the ages of 18 and 24.

"For example, out of total day viewers watching content aired across five networks on live TV, 7% are between the ages of 25 and 34, while 19% of connected device viewers are in the same age bracket," writes Nielsen.

Not to mention, there are multiple programs out their now streaming live TV channels. So how can advertisers reach all viewers watching live TV on multiple platforms?

Nielsen has launched the dynamic ad insertion (DAI) pilot that uses Gracenote Video Automatic Content Recognition technology.

"The tech is used to allow MediaTek-based smart TV platforms to deliver addressable advertising capabilities in live trials across five U.S. markets," writes "Fierce Video."

“Nielsen recognizes the huge opportunity addressable TV presents for our clients,” said Kelly Abcarian, senior vice president of product leadership for Nielsen. “So, we’ve worked hard to create an advanced DAI solution that covers everything from ad targeting to delivery. As the result of our expanded DAI pilot with leading smart TV platforms and manufacturers and some of the largest broadcast and cable networks, marketers will be able to better realize the value of their advertising inventory, achieve maximum return on their ad spend and viewers will see messages that are most relevant to them.”

But will this only push viewers to watch more content on commercial-free streaming apps like Hulu and Netflix?

Read more about Nielsen's Digital Content Ratings now at "Fierce Video."