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We'll just keep watching video: according to global research into traditional TV and streaming, most consumers won't leave the TV for a while

5 minute read | March 2016

The Dutch stream more than the European average, but still remain faithful to the TVOnly 11% of the Dutch are considering canceling their TV subscription

Diemen – March 16, 2016 – Although the media landscape is changing rapidly and consumers are more than ever able to choose for themselves how they use video entertainment, traditional television is still the platform of choice worldwide. New data from Nielsen shows that just over a quarter of respondents from around the world (26%) say they pay for broadcasts or Video on Demand (VOD) programs through a subscription with an online provider like Hulu, Netflix or Amazon , while 72% say they watch through a traditional TV connection. North America and Asia/Pacific are leading the way. 35% of respondents in North America and 32% in the Asia/Pacific region say they pay an online provider for programs. Self-reported use in Europe at 11% is much lower than the global average, although use in the Netherlands was significantly higher (19%). Just over a fifth of online respondents in South America and the Middle East/Africa say they subscribe to an online provider (21% each).

“The current media landscape is complex, but the growth of VOD services can provide opportunities for all players in the media world,” said Megan Clarken, director of Nielsen Product Leadership. “Viewers as well as advertisers and content providers can benefit from a thorough and detailed understanding of how the dynamics of the viewing consumer are changing, as well as why. However, two things are more true than ever: content remains king, and consumers will continue to demand greater control and ownership over their viewing experience. Anyone who, as a provider, can offer something extra in both areas has an advantage.”

In his global VOD survey, Nielsen surveyed more than 30,000 online respondents in 61 countries to understand global sentiment about VOD viewing and advertising methods. A significant number of people say they watch video on demand. Nearly two-thirds of all respondents (65%) surveyed globally in the survey say they watch some form of VOD programming, including long and short content.

TV SUBSCRIPTION NOT CANCELLED IN MASS

While the majority of respondents in the global online survey (68%) say they have no intention of swapping their existing regular TV service for one that is only available online, nearly a third (32%) say they do. will do. The scores were highest in the Asia/Pacific region, where 44% of respondents want to swap their cable or satellite connection for an online-only service. Less than a quarter of respondents in South America (24%), North America (22%) and Europe (17%) have plans to cancel, and in the Netherlands this is even less (11%). However, a recent study by Nielsen in the US shows that only a small percentage of those who wanted to cancel their cable and satellite TV connections actually did so.

“The increased popularity of online-only video services will continue to put pressure on broadcasters and cable and satellite TV providers, but it’s unlikely there will be massive adoption,” Clarken said. “While some consumers are less likely to watch TV in the traditional way, they are often not ready to switch completely. For most viewers, online and traditional services are not mutually exclusive, but complementary. In addition, online-only services, broadcasters and distributors of multi-channel video services face many of the same challenges, including rapidly evolving consumer preferences, excess choice and rising content costs. and consider smaller packages that better suit their preferences and financial capabilities.”

In today’s media environment, change is the only constant factor. While VOD is one of the more recent entrants in this entire spectrum, it is yet another step in the turbulent developments the industry has been experiencing for more than a decade. And those changes will only follow each other more quickly for the time being. Bringing in viewers has never been such a challenge. While change and uncertainty can be difficult, content providers must remain flexible to meet every new challenge.

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ABOUT NIELSENS METHODOLOGY FOR GLOBAL RESEARCH

The results of this survey are based on respondents with online access in 61 countries (unless otherwise indicated). While online research allows for enormous economies of scale and global reach, it also gives a one-sided picture of the habits of existing internet users, and not of populations as a whole, which is so relevant in research into the use of video on demand. In developing markets with a lower online penetration rate, viewers are often younger and more represented than the general population of that country. In addition, the answers in the survey are based on alleged behavior rather than on actual measured data. Cultural differences are probably an important factor in the picture about several countries when answering. No attempt has been made in the reported results to control or correct these differences. Therefore, some caution should be exercised when comparing countries and regions, especially when making cross-regional comparisons.

Over Nielsen

Nielsen Holdings plc (NYSE: NLSN) is een mondiaal opererend performancemanagementbedrijf dat inzicht biedt in het kijk- en koopgedrag van consumenten. De divisie “Watch” van Nielsen levert kijk- en luistermeetdiensten aan media en adverteerders voor alle devices waarop content – video, audio en tekst – wordt geconsumeerd. De divisie “Buy” biedt fabrikanten en retailers van verpakte consumentengoederen als enige in de sector een mondiale blik op retailperformancemeting. Door informatie van beide segmenten te integreren met andere gegevensbronnen voorziet Nielsen haar klanten van metingen en analyses die helpen de performance van bedrijven te verbeteren. Nielsen, een S&P 500-onderneming , is actief in meer dan 100 landen die samen meer dan 90% van de wereldbevolking beslaan. Voor meer informatie, ga naar www.nielsen.com

CONTACTPERSONEN: Andrew McCaskill +1 347 331 5725 andrew.mccaskill@nielsen.com Stephanie Manning +31 (0)20 398 8328 stephanie.manning@nielsen.com