So far Chicken Little was wrong
Alexandria, VA (Vocus) November 15, 2010
A myth-busting study released today uncovers the real 21st century TV-viewing habits of consumers who are watching shows or movies from the Internet on their TV sets. Specifically, it reveals that 84 percent of these viewers report that they are watching the same, or more, regularly scheduled TV since they started streaming or downloading programs or movies to watch on the TV set. Furthermore, 92 percent of these entertainment enthusiasts subscribe to a pay TV service, with only three percent reporting future plans to transition from their cable subscription models.
“So far Chicken Little was wrong,” said CTAM President and CEO Char Beales. “It’s critical to our business that we deeply understand these evolving behaviors. We’ve learned that new technologies are providing additional opportunities for viewers to access TV shows and movies, at their convenience. But it’s supplementing viewing of regularly-scheduled TV, not replacing it.”
The “Life Is a Stream” research, conducted by The Nielsen Company and commissioned by the Cable & Telecommunications Association for Marketing (CTAM), is the first to take an in-depth look at the behaviors of this viewing segment. The findings run contrary to the behavior heavily reported in recent news stories and blog postings that suggest Internet-to-TV content consumers (11% of the U.S. population) are “cord-cutters” when, in reality, most are loyal “cord-keepers.”
Todd Cunningham, senior vice president, strategic insights and research, MTV Networks, and one of the volunteer leaders overseeing this study added, “These consumers are feeding their insatiable entertainment appetites by viewing more and more content from the Internet on their TV sets and they’re often viewing shows they might have otherwise missed. So we’re keenly interested in learning more about the ‘more than half’ of respondents who say they discovered shows by viewing them on the TV via the Internet first, and then sought them out on regularly-scheduled TV.”
The Nielsen Company conducted the “Life is a Stream” quantitative research from Aug. 24 through Aug. 31, 2010 and qualitative from July 19 through July 22, 2010. It used Survey Sampling International’s online panel, and included males and females ages 18-49 that watched at least five hours of TV per week and included a mix of cable, satellite, telco and former pay TV subscribers. All respondents had high-speed Internet connections and, at least once in the past month, personally watched full-length TV shows or movies from the Internet on the TV set. It has a margin of error of +/-2%.
CTAM is a non-profit professional association, which provides consumer research, virtual resources, educational opportunities to 5,000 individual members. On behalf of its 90 corporate members, CTAM leads the Advanced Cable Solutions Consortium and facilitates national cooperative marketing efforts, including the Cable Mover Hotline®, Movies On Demand® and Solutions for Small Business. For more information, visit http://www.ctam.com.