By: Taylor Fondren, Media
Individuals from every age group are using streaming services.
According to AdAge, over 2/3 of TV and video watched by Millennials and GenXers is accounted for by non-traditional methods, meaning smartphones and streaming devices (Roku, Apple TV, etc). So yes, younger audiences are primarily streaming. But, they’re not alone. In a study by CNBC, 57% of Americans use some form of streaming service, and some use streaming even in conjunction with their cable subscription. “[This] doesn’t mean they aren’t watching TV content or even that they aren’t seeing ads. They’re just consuming it in places where ad models vary, audiences are fragmented, and measurement is harder” (AdAge).
Every age group is starting to stream their media, mainly as a cost-saving measure. Consulting firm Deloitte found, “Among millennials, those aged 22 to 35, 88% subscribe to internet video services while just 51% subscribe to cable or satellite. Among Generation Z, those aged 14 to 21, only 80% subscribe to internet video services and 57% pay for traditional pay TV.”
At this point in time, overall video viewership is at an all-time high due to most households still having cable as well as using one if not multiple streaming services. With more inventory than ever before consider adding video to your media mix.
Is Everyone Cutting the Cord? Yes, but no.
Google defines cord cutters as individuals who switch from cable to internet streaming.
In 2018, PwC reported more than 33 million cord cutters, with numbers expected to increase in 2019 with the 29-35 age group leading in cord cutting. Additionally, PRNewswire expects a 26% decrease in cable tv subscribers by 2030. This trend is also illustrated in the chart below by eMarketer.
Incorporating digital video including streaming services to supplement your TV buy is becoming increasingly important. The good news is many of these streaming services, like Hulu and YouTube, allow ad-supported streaming options for much content and users. This trend is expected to continue, with more networks branching out and starting their own streaming services. If the streaming services continue to fragment, consumers may look to consolidate subscriptions in the future as the combined price of several subscriptions and internet will outweigh the benefit.
