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Research / Insights on current and emerging industry topics

Price Matters in Move from TV to Streaming Video Consumption

May 13, 2015 | By Research Team—DCN

The State of Online Video is Limelight Networks’ latest in a series of annual surveys that explores consumer perceptions and behaviors around digital content. The State of Online Video 2015 report is based on responses that Limelight Networks received from 1,206 consumers ranging in demographics, gender, and education. According to the findings, most people watch 1-2 hours of online video each week, though younger viewers do watch more overall.  When asked under what circumstances respondents would terminate service with their cable or pay-television subscriber, the largest percentage of respondents indicated, by a wide margin, that they would terminate their subscription because of increasing prices. Again, this number is even higher among  young Millennials of which more than 40% indicated that they would terminate for financial reasons.

Key findings from the Limelight’s report include:

  • Young Millennials are driving a gradual transition from broadcast television to online video
  • Consumers are willing to “cut the cord” under the right circumstances
  • Whether it is Over-the-Top (OTT) or cable, consumers want variety
  • Video buffering drives abandonment but only so far
  • For advertising in online video to be successful, it must be personalized and skippable
  • The PC remains the dominant way users watch online video
  • Social media drives video sharing
  • Longer-form content is propelling online video consumption
  • Canada leads in watching online video while Australia lags
  • For young Millennials, watching online video is all about the devices


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