As new digital devices are becoming ‘must-haves’, consumers are showing interest in alternate video platforms. Should traditional TV broadcasters be worried? Nielsen analysts say that, overall, most consumers are not cutting the cord to traditional TV, yet.
Currently, the average consumer logs 33 hours of screen time a week. And, to access their favorite content they are paying for connectivity:
- Paid TV subscription through cable, telephone or satellite – 90.4%
- Paid broadband Internet access 75.3%
But the business base for providers is hardly stable. Only 5% of TV households have broadcast only TV along with broadband Internet. As might be expected, these consumers watch less than half of the ‘average’ amount of TV but more than double the amount of 'average' streaming video. Nielsen analysts note that this consumer group is growing quickly, perhaps because this strategy is seen as a good way to save money.
The percentages of consumers accessing video content through various formats has changed in the past year as these numbers show and indicate a general trend that industry operators should be watching:
- Satellite +2.1%
- Telco +21.1%
- Wired cable ‑4.1%
- Cable and no broadband ‑17.1%
- Broadcast only and broadband +22.8%
- Mobile video users +36.9%
- Internet video time spent +7.1%
- Timeshifting Time among all TV homes +13.8%
One top-level finding of the Nielsen Cross-Platform report is that consumers overall are watching less TV in the home. Consumers who watch the most traditional TV are over age 65 and the same holds true for African Americans. However, online video and mobile video stats are higher for Asian-Americans than all other groups.
Marketers attempting to reach specific ethnic groups and age demographics must carefully consider how their target audiences are consuming video content.[Source: Report: Home Americans are Spending their Media Time and Money. NielsenWire.com. 9 Feb. 2012. Web. 22 Feb. 2012]