NEW YORK--(BUSINESS WIRE)--Almost one-third of all US consumers – over 70 million people – are thinking of making changes to their paid TV service, with pay-TV “Defectors“ more than twice as common as “Desirers” of more TV service.
These are among the findings of a new GfK MRI report, “Cord Evolution,” that details consumers’ use of both traditional and streaming TV services. The study also includes in-depth profiles of 10 groups on the “cord spectrum” – from Cord Nevers and Cord Cutting Regretters to Cord Loyalists and Cord Returners.
Four of the cord groups fall into the category of “Defectors” – those who have reduced their paid (cable or satellite) TV service or are thinking of doing so, Another four are “Desirers,” who are generally loyal to traditional paid TV and/or are thinking of adding services.
The Defector groups account for almost 50 million people (21% of the US population), while there are about 22 million Desirers (9% of the population). Counter to frequent assumptions about cord cutters, Defectors have slightly higher incomes than Desirers ($62,000 per year, versus $60,000) and stream less – 62% of Defectors streamed video in the past month, versus 72% of Desirers.
Defectors are also older than Desirers, less likely to have children in their households, and slightly more likely to be male.
The Desirer groups, on the other hand, have higher levels for
- receptivity to advertising
- binge viewing TV shows (watching three or more episodes in one sitting),
- passion and engagement with TV content, and
- feeling that watching “live TV” is important to them.
“Today’s TV landscape has transformed into one big ‘trade-off’ ecosystem,” said Christie Kawada, EVP of Product Management and Innovation at GfK MRI. “Unless you are willing to pay for it all, you have to choose which services are within budget, and take which shows you get with them, sacrificing others in return. The good news for content providers is that content still drives most viewing behavior; so regardless of where content is offered, viewers will find a way to get it. What that means for content providers and distributors is that, first, viewers have not hit their threshold yet for ‘enough’ content. And, second, it is up to the experts in the TV space to figure out how to monetize and upsell on an ever-cannibalizing business model.”
The new report also includes extensive research on
- identifiers and predictors of cord behaviors
- TV streaming behavior by type of content, platform, and service;
- adoption and motivators to binge viewing, and its impact on live TV;
- use of pirated and “borrowed” content; and
- styles of time-shifted viewing – traditional versus “next-gen.”
About GfK
GfK is the trusted source of relevant market and consumer information that enables its clients to make smarter decisions. More than 13,000 market research experts combine their passion with GfK’s long-standing data science experience. This allows GfK to deliver vital global insights matched with local market intelligence from more than 100 countries. By using innovative technologies and data sciences, GfK turns big data into smart data, enabling its clients to improve their competitive edge and enrich consumers’ experiences and choices.
For more information, please visit http://www.gfk.com or follow GfK on Twitter.
