The length of time users have owned an OTT video service — as well as its cancellation rates — have remained relatively steady over the last three years, according to Parks Associates, i.e. the average length for a OTT video services is 30 months.
The company says “churn” rate among US OTT subscribers is 18%. The churn rate is the overall number of subscribers cancelling an OTT service as a percentage of current OTT subscriptions. In addition, OTT penetration is “starting to plateau at around 65% adoption among US broadband households.”
The Parks research comes from a first-quarter survey of US broadband households of 5,000+ respondents.
In July, comScore estimated that only eight OTT services reach more than 10% of streaming homes, or more than 5.95 million homes using the service. The top four: Netflix 73% penetration; YouTube, 50%; Hulu, 36%; and Amazon, 28%.
Source: Friedman, W. (2018, September 6). OTT Subscribers Hold Steady. MediaPost.
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