More US Customers Paying for 3 or More Streaming Services, Survey Finds
According to a new survey by Ampere Analysis, more U.S. customers are paying for three or more streaming services. The Wrap points out that 39 percent of people in the survey paid for at least three services in 2019, a six percent hike from 2018.
Ampere also found that the adding of streaming services is increasing internationally. In Europe, the number of households went from 16 percent to 22 percent with at least three subscriptions between 2018 and 2019. Ampere expects consumers will continue adding on as streaming services continue flooding the market.
“While cord-cutting is a major issue in the USA, it has been a less significant challenge for the industry in many international markets,” Ampere analyst Minal Modha said. “However, our research shows that consumers in many global markets are increasingly combining SVoD products with a free broadcast TV service, placing future a growth obstacle in the path of incumbent pay TV service providers.”
Ampere Analysis’ findings are consistent with those from a study by the Digital Entertainment Group. DEG found that consumer spending on home entertainment rose to a record 8.4 percent to $25.2 billion in 2019. The streaming industry made up approximately $15.9 billion of that number, and now accounts for 63 percent of the whole home entertainment market, a 23.7 percent climb from 2018.
The study also found that digital movie sales went up 5.1 percent to roughly $2.6 billion and digital movie rentals through services such as FandangoNow, Redbox On Demand, Vudu and Google Play were up 9 percent, Variety noted.