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Motorola Mobility’s Global 2010 Media Engagement Barometer – an independent global study of video-consumption habits among 7,500 consumers in 13 markets by research agency Vanson Bourne – shows that while free-to-air services are available to 67 percent of global viewers, compared to 57 percent for paid-for services, the most preferred TV services are subscription only.
The research also shows that social media is changing viewing experiences. Forty two percent of viewers globally have had an email conversation, engaged in an instant message chat or used a social network to discuss a program or video while they were watching it. Of this group, 22 percent said that social-media multi-tasking is a regular part of their viewing experience and 61 percent would be prepared to pay more for a service that offered these capabilities.
The future looks bright for high-definition television products and services worldwide. Of viewers surveyed, 75 percent either own or plan to own an HD television in the next 18 months and 25 percent are expected to upgrade their TVs to include 3D in the same timeframe.
“The research clearly shows a changing television landscape, one where subscription services are becoming mainstream, augmented by social activities revolving around Internet chat and networking channels,” said Bill Ogle, chief marketing officer, Motorola Mobility. “As we advance further into the Internet Era of TV, the ability for service providers to differentiate their offers will become even more crucial as consumers look for extra value from their subscriptions. The good news is that, based on these findings, consumers are willing to pay for the services providing the value.”
Though the TV is still central in most homes, viewing habits have evolved alongside consumer expectations of where content is consumed. Just over two-thirds of the sample said it was either quite or very important to be able to access free content on devices other than the main television set in the home; that compared to only 39 percent when asked a similar question for subscription content. This suggests the majority of paid-for content is consumed on one device (the TV) and will remain so for the foreseeable future.
A quarter of respondents said it is important to be able to access free content when out and about; this is even truer in China where 49 percent of respondents said this sort of access is very important.
“The findings suggest that the huge increase in the availability of video content is leading to viewers tiering their viewing habits in terms of preference, notionally based around payment,” Ogle said. “Yes, they’re watching content on laptops and other devices, but they are still staying loyal to the television set. This is a powerful message for the service providers. Stickiness does exist, providing all parts of the offering are attractive to subscribers.”
China, the United Arab Emirates and Russia are the most enthusiastic when it comes to integrating social media into their viewing habits. The Japanese, Germans and viewers in the Nordics are the least likely to chat, use instant messaging or a platform like Twitter or Facebook® to discuss a program or video while they are watching it. According to the study, 84 percent of Japanese viewers have never undertaken such an activity. Globally, however, 58 percent of people who have used social media during a TV program would change their service provider if this was offered as an integrated service.
Shopping via television is of interest to 42 percent of viewers globally, followed by chat (30 percent) and updating a social media site (27 percent). Being able to use micro-blogging platform Twitter came in lowest with only 17 percent.
One in five respondents would be interested in a recommendation engine that tracked viewing habits and suggested content based on viewer preference in addition to popular content their friends are watching. There is also interest in a device and service that would allow users to channel all of their digital media (films, photos, music, etc.) through the television set. Viewers also want to troubleshoot issues, giving service providers an opportunity to offer enhanced services.
The content diet
The average amount of hours spent watching television and video content per week is 17. North America and Japanese viewers watch the most (21 hours each). South Koreans watch the least (13 hours). The average daily video diet consists primarily of scheduled broadcast content (both free and subscription), although 34 percent watch an equal mix of scheduled content, Internet and on-demand services, and pre-recorded content.
“The research clearly shows a diverse market. While there are definite trends emerging, each region has its own challenges and opportunities thanks to cultural, technological and economic factors,” Ogle said. “Service providers need to develop a keen understanding of their customers’ needs in each market and be agile enough to roll out services that meet specific requirements and desires. This means having the content and delivery platforms in place to react to customer demand, rather than taking a one-size-fits-all approach.”
About Motorola Mobility’s Media Engagement Barometer
The Media Engagement Barometer is a research project looking into video-consumption habits among 7,500 consumers across 13 markets: Australia, China, France, Germany, Japan, Nordics, Russia, Singapore, South Korea, Turkey, United Arab Emirates, the U.K. and the U.S. The research was conducted on behalf of Motorola by an independent agency, Vanson Bourne.
As the second major study from Motorola into media-consumption habits of consumers in the home, this research focused on television and video content. The aim of the study was to develop both a global and regional understanding of what video content was delivered into homes, how it was consumed, how viewing habits were evolving with the advent of new technologies such as social media, and the trends service providers should seek to support.