cageymaru
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- Joined
- Apr 10, 2003
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During a recent survey, Juniper Research has found evidence of increased consumer churn in various video streaming services. It is important to note that most consumers in the US and China are paying for 3 subscription video on demand services (SVOD) because no one service satisfies them. But because these SVOD services are adding more curated content to satiate their customers; the cost of SVOD services is increasing. Thus owning 3 SVOD services suddenly becomes a burden and the consumer has to choose which SVOD services has the most value to keep. Amazon Prime (-2.9%), HBO (-19.2%), and Now TV are facing subscriber retention issues while Netflix (6.3%), which is set to spend 13 billion on content this year, has grown its customer base.
Research author Lauren Foye noted: "The use of multiple subscriptions suggests that no one provider offers enough to currently satisfy consumers. Juniper finds a growing danger in users reducing, or switching SVOD subscriptions, as monthly fees inevitably rise as a result of ever-increasing content spend; Netflix alone is set to spend $13 billion this year." The research also found that the curation of content is set to become a growing issue, with the need to engage consumers as critical, lest SVOD providers see unsatisfactory services cancelled.
Research author Lauren Foye noted: "The use of multiple subscriptions suggests that no one provider offers enough to currently satisfy consumers. Juniper finds a growing danger in users reducing, or switching SVOD subscriptions, as monthly fees inevitably rise as a result of ever-increasing content spend; Netflix alone is set to spend $13 billion this year." The research also found that the curation of content is set to become a growing issue, with the need to engage consumers as critical, lest SVOD providers see unsatisfactory services cancelled.