Ericsson: 35% of Video Viewing Now VOD

According to Ericsson's (NASDAQ:ERIC) annual "ConsumerLab TV & Media Report," VOD in various forms is changing consumers' viewing ...

Ericsson Intros SDN/NFV Orchestration
Ericsson Intros SDN/NFV Orchestration
According to Ericsson's (NASDAQ:ERIC) annual "ConsumerLab TV & Media Report," VOD in various forms is changing consumers' viewing habits. Consumers now spend six hours per week watching streamed on-demand TV series, programs, and movies, more than double the number in 2011. With recorded and downloaded content added to the equation, today 35% of all TV and video viewing is spent watching VOD, Ericsson says.

Other findings indicate considerable growth in consumers watching video on a mobile device: 61% watch on their smartphones today, an increase of 71% since 2012. When taking tablets, laptops, and smartphones into consideration, nearly two-thirds of time spent by teenagers’ watching TV and video is on a mobile device.

At the same time, user-generated content (UGC) platforms account for a growing share of consumers’ TV and video viewing. Close to 1 in 10 consumers watch YouTube for more than 3 hours per day, and one in three now consider it very important to be able to watch UGC on their TV at home. In addition, the study indicates that the increasing prominence of UGC-rich platforms, like YouTube, has resulted in a popularity boost for educational and instructional videos, with consumers watching an average 73 minutes of such videos per week.

Other findings indicate:

  • Bingeing is changing the game: Watching multiple TV episodes in a row has rapidly become a key part of the TV and video experience. The habit is prominent among subscription VOD users of services such as Netflix, Amazon Prime, and HBO, of whom 87% binge-view at least once a week.
  • The difficulty of finding content: Half of consumers watching linear TV say they can’t find anything to watch on a daily basis. Consumers feel that recommendation features are not smart or personal enough.
  • Different bundles, different attitudes: 22% of consumers who have never had a pay TV subscription are already paying for over-the-top (OTT) content services.
  • Linear TV remains key: The popularity of linear TV remains high, mainly due to the access it gives to premium viewing and live content, like sports, as well as its social value. In this respect, linear TV often acts as a "household campfire."
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