5 Comments

Summary:

A quarter of people in countries with access to high-speed broadband are streaming their television, although more than 80 percent are also still watching broadcast television as well. According to data from Ericsson, fewer people are watching broadcast TV while Internet-options are on the rise.

networkcables

A quarter of people in countries with access to high-speed broadband are streaming video to their TV, although more than 80 percent still watch broadcast television as well. But that’s slowly beginning to change: According to survey data from Ericsson, there’s been a slight decrease from 2010 to 2011 in the percentage of folks watching broadcast TV, while Internet-enabled options, such as long-form streaming sites like Netflix, short-form videos aggregators like YouTube and downloaded content are all on the rise.

The survey, which was conducted in Australia, Austria, Brazil, China, Germany, the Netherlands, Russia, Spain, Sweden, Taiwan, the UK, the U.S. and South Korea, consisted of 22 qualitative and 13,000 quantitative interviews, and represented almost 400 million consumers. The conclusion is that the Internet has changed the way we watch TV, but hasn’t cut down much on demand for broadcast television. However, it’s not the demand that’s an issue, but figuring out monetization strategies for what is essentially a new and fragmented delivery platform that’s leading to high drama and various strategies that make finding content a crapshoot for consumers.

Perhaps some help on the monetization side will come from figuring out ways to make money from social engagement. The Ericsson survey found that people tend to like their television content more when they can comment on it with friends. And people are certainly watching their TV while engaging on Twitter, Facebook and other networks as the following chart shows.

So for all those thinking the Internet is killing television, it’s killing TV like it killed all other media — as in, it’s not. But much like the print media, content owners, television distributors and broadcasters will have to find ways of giving the audience content in the format they want and engaging with their audience while still making money.

  1. Robert Franklin Friday, September 2, 2011

    “A quarter of people in countries with access to high-speed broadband are streaming video to their TV” — that just seems really, really high to me.

    Share
    1. Most times high-speed broadband is bundled with TV streaming offers. So the people get it for low cost in exchange for 2 years contract.

      Share
  2. Good piece, Stacey, but the real disruption in the pipe has everything to do with advertising, not media or content. You can measure viewing all you want, but the well-known secret that nobody watches the commercials is going to bite everybody in the ass sooner than later.

    Share
  3. Charles Boudville Tuesday, September 6, 2011

    Stacey, while the account may be quite correct in recent times that streaming videos is on the rise, this is likely due to the “Eat all you can packages for a fixed cost” by the operators. However, we also see that most operators are pulling back on these offers and are charging higher rates after the initial quota s reached. This being the case, subscribers appetite to continue streaming on line will decrease. Especially in these tough economic times.

    Share
  4. Very helpful cheers, I reckon your trusty subscribers would likely want way more blog posts of this nature continue the good work.

    Share

Comments have been disabled for this post