NPD Report Says Pay TV Subscribers Turn to TV Everywhere

According to NPD Group’s latest “TV Everywhere Report,” cord cutters are not the only ones turning to OTT services. NPD indicates that 21 percent of today’s pay TV subscribers are using TV Everywhere services at least once a month. The report found that three out of four subscription video-on-demand households also have a pay TV subscription. And about 30 percent of SVOD users turn to TV Everywhere weekly, compared to 20 percent of TV Everywhere users who choose not to subscribe to SVOD.

“The statistics should allay fears that over-the-top, subscription video-on-demand (SVOD) opportunities will lead subscribers to cut or at least trim their cable cords,” suggests FierceCable. “To the contrary, the NPD report said, SVOD subscribers are ‘actually among the most active TV Everywhere users.'”

“Though some SVOD subscribers may be cutting the cord, the evidence is that the overwhelming majority are not only keeping the cord, they are lengthening it through aggressive use of TV Everywhere,” said Russ Crupnick, senior vice president, industry analyst. “This speaks to the level of engagement they have with programming and a comfort in using the Internet to both access and interact with that programming”

According to the NPD press release: “9 out of 10 SVOD subscribers reported being satisfied with their TV Everywhere experience. Today those dual users say they most appreciate the ability to watch anywhere in the home, and 46 percent want the ability to actually download the shows in order to watch them outside their home.”

However, FierceCable notes that NPD’s research did not address “the recent moves by some providers — Grande Communications, RCN, Suddenlink and Atlantic Broadband — to make OTT SVOD from Netflix more accessible to their consumers via TiVo-enabled set-top boxes.”

“Customers, especially subscription streamers, are becoming accustomed to over-the-top options where the location and device are no longer barriers, and they crave a similar experience with TV Everywhere,” said Crupnick. “The way to keep SVOD subscribers using TV Everywhere platforms is to make the experience even more portable.”