North American, Western European households show interest in TV Everywhere, says Parks Associates
October 12, 2011
Between 15 percent and 30 percent of broadband households in North America and Western Europe are interested in a TV Everywhere system, according to findings from a new consumer study from Parks Associates.
As multiscreen systems and streaming options become available to more consumers, they will be valuable in retaining and acquiring subscribers, but limited in their ability to expand ARPU, the research firm said.
The study "Digital Video: Three Screens and Beyond," found among the countries surveyed, the U.K. has the highest level of interest in a TV Everywhere system, with nearly 30 percent of broadband households interested in a service allowing them to view TV programming on multiple devices, including tablets, smart phones and connected consumer electronic devices.
"In the U.S., Netflix Watch Instantly is having a major impact on TV viewing trends, with 22 percent of all broadband households using this service, more than those who use Blockbuster retail stores," said John Barrett, Director, Research, Parks Associates.
The study found between 15 percent and 30 percent of broadband households are willing to pay additional fees to obtain this service. A third of all broadband households would switch to a provider offering free TV Everywhere, and between 10 percent and 20 percent would consolidate their mobile phone and Internet services with a provider if necessary to obtain TV Everywhere, the study found. As a result, its potential to drive ARPU gains directly is limited.