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451 Research has revealed the latest trends in consumer use of streaming services in its quarterly Voice of the Connected User Landscape (VoCUL) survey. Key findings include the increasing popularity of original content and a growing trend of paying for multiple video services.

According to 451 Research’s survey, 19% of streaming subscribers are paying for three or more services – up 4 points over the previous year. These streaming enthusiasts are creating their own bundles of video services, starting with Netflix (95%) and Amazon Video (82%) then adding a combination of subscription and a-la-carte platforms including Hulu, HBO Now and iTunes.

Among all respondents who pay for a streaming service, 79% say they subscribe to Netflix and 53% to Amazon Video. Amazon Video continues to be the growth story, up 5 points over the past year.

Highlights

• Netflix and Amazon Video’s investments in original content is paying off with increasing numbers of users saying it is a reason for subscribing
• 19% of streaming subscribers now pay for three or more services
• Amazon Video seeing the fastest growth, up 5 points over the past year

Access to movies (50%) remains the top reason why consumers pay for streaming video services; viewing complete seasons of TV shows (45%) is a close second and has increased 6 points in just six months.

Importantly, 33% of streaming subscribers chose their service for its original content, up 8 points year over year. Original content has always been a major differentiator for HBO and Showtime, but the VoCUL survey highlights a growing importance of original content among Netflix users (36%; up 9 points over a year) and Amazon Video users (36%; up 14 points over a year).

While both Netflix and Amazon Video users in the VoCUL survey have shifted towards watching more original content over the past two years, there is an even faster increase among Amazon Video users (from 7% to 31%) who say original content is their most watched type of video content, compared to Netflix users (from 20 to 32%). 

“Netflix and Amazon have spent billions creating exclusive original content to differentiate themselves within a competitive streaming TV market, and our latest surveys show that it’s resonating with customers. Viewing original content has become a much more important factor over the past year in choosing streaming services, and the data shows consumers are simply watching more of it.” said Andy Golub, managing director of 451 Research's Voice of the Connected User Landscape end-user surveys and research.

The 451 Research VoCUL survey also looked at the streaming media device market, which continues to be ruled by Roku, Apple, Google and Amazon. Among respondents who own a streaming media device, Roku leads with 31% owning a Roku streaming player and 10%, a Roku Streaming Stick/Express. Apple TV (35%) is second, followed by Google Chromecast (26%). Although they represent a smaller share of the overall market, Amazon’s Fire TV devices are seeing the most momentum with Fire TV Stick (13%) up 2 points and Amazon Fire TV (10%) is up 1 point.

About the survey
451 Research’s VoCUL TV and Alternative TV Trends survey took place in December 2016. 1,270 North American respondents from 451 Research’s Leading Indicator panel were surveyed about paid video services, streaming media devices and smart TVs, and cord-cutting trends.

VoCUL answers key questions for service providers, vendors and investors trying to understand trends and disruptions in how consumer and corporate users buy and use technology. It identifies and tracks the market impact of changes in technology end-user buying behavior and preferences through quarterly monitoring from multiple survey groups.

Subscribers can access the complete report here.

About 451 Research
451 Research is a preeminent information technology research and advisory company. With a core focus on technology innovation and market disruption, we provide essential insight for leaders of the digital economy. More than 100 analysts and consultants deliver that insight via syndicated research, advisory services and live events to more than 1,000 client organizations in North America, Europe and around the world. Founded in 2000 and headquartered in New York, 451 Research is a division of The 451 Group. Learn more.