Report: Americans Moving to On-demand Video

written by: Richard Kastelein

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New consumer research from American-based Leichtman Research Group has found that 40 per cent of TV households in the United States have at least one Digital Video Recorder (DVR) which is a leap from a mere 8 per cent five years ago.

In the USA, 64 per cent of all digital cable subscribers have ever used Video on-Demand (VOD), with 83 per cent of this group having watched an on-Demand program or movie in the past month. Overall, 52 per cent of digital cable subscribers used on-Demand in the past month. Five years ago, 50 per cent of digital cable subscribers had ever used VOD.

Other related findings include:

  • 34 per cent of DVR users have more than one DVR
  • The mean household income of DVR users is 34 per cent above non-DVR users
  • The mean household income of cable VOD users is 10 per cent above average
  • Netflix subscribers have a mean annual household income 24 per cent above average
  • 87 per cent of Netflix households subscribe to a multi-channel video service, and 34 per cent subscribe to a premium service -- similar to all households in the sample, and similar to Netflix households last year
  • 60 per cent of Netflix subscribers used the Watch Instantly feature in the past month
  • 2 per cent of all households use Netflix's Watch Instantly feature daily, and an additional 6 per cent use it weekly

These findings are based on a telephone survey of 1,300 households from throughout the United States and are part of LRG's study, On-Demand TV 2010: A Nationwide Study on VOD and DVRs. This is LRG's ninth annual study on this topic.

"DVR and VOD users have significantly increased over the past five years, yet over 90 per cent of all TV viewing in the US is still of live TV," said Bruce Leichtman, president and principal analyst for Leichtman Research Group, Inc. "LRG forecasts that DVR and VOD's share of total TV viewing time in the US will increase from less than 10 per cent today to about 22 per cent by the end of 2015."

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