Experian: online video increases cord-cutting

April 21, 2014 08.17 Europe/London By Robert Briel

Research among more than 24,000 US adults found that households with a Netflix or Hulu subscription were nearly three times as likely not to have a cable subscription than the average household.

Experian Marketing Services said that 6.5% of the surveyed households did not subscribe to cable in 2013, up from 4.5% in 2010. Cord-cutters became 18.1% of Netflix subscribers, up from 12.7%.

“We had looked at cord-cutting as a trend in years past, but we hadn’t really seen significant movement in the space because it was more a small group of people who were actually cutting the cord,” Experian Marketing Services senior marketing manager John Fetto said.

“It’s become something people are actually doing from something that was just being talked about in New York Times trend pieces.

“cord-cutting likelihoodAccording to the report, people who watched streaming video on the big screens of their televisions were more than three times as likely not to subscribe to cable. People who said they stream video to their smartphones and tablets were only 1.5 times as likely not to have cable.

“We would have thought that you can basically watch video on any device, but it really appears that the tipping point is whether they’re actually streaming content to their televisions,” Fetto added. ”

Having access to on-demand video when they want it without sacrificing screen size seems to be the real thing that makes a difference for them.”