Online TV soars but cord-cutting fails to find edge
Joseph O'Halloran ©RapidTVNews | 11-11-2011 Despite the undisputed monumental growth of online TV viewership, the effects of cord-cutting have so far been minimal new research from entertainment, media and technology market research firm Interpret has found.
The report, "Online TV: Competitor or Complement to Traditional TV?" explored the quarterly evolution of online television and what drives consumers to access this content online and discovered that over the last 2 years, just over three-fifths (61%) of people aged 12-65 watch at least one hour of online video per week, a staggering 50% increase compared with the figure from 2009. At the same time, there was a huge decline in the number of households watching at least one hour of television; an 11% fall for network TV and 13% for cable network.
Yet before anyone joins the wrong dots together, Interpret noted that despite these trends 77% of TV streamers still subscribe to pay TV services.
"The findings from our analysis suggest that consumers aren't migrating away from television as much as they are looking for a broader mix of options to consume television content," said Stephanie Sutton, Interpret analyst and author of the report. "Convenience factors -- especially catching up on missed episodes and being able to watch whenever, wherever -- are cited as the most important reasons to choose online options."