23% of Millennials are OTT-only broadband households
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23% of Millennials are OTT-only broadband households

New data from Parks Associates (www.parksassociates.com) finds that 23% of Millennial heads of household are OTT-only households, higher than the national average of 15% among all U.S broadband households.

The firm's analysts also note that 61% of Millennials subscribe to both pay-TV and OTT services, also higher than the national average of 52%. Other key points from the Parks Associates OTT research:

° Nearly 60% of OTT video services in the North American market are subscription-based.

° 64% of U.S. broadband households subscribe to an OTT video service, up from 59% in 2015.

° Average monthly spending on Internet-based subscription video-on-demand (SVOD) services among U.S. broadband households increased from $3.71 per month in 2012 to $6.19 per month in 2015.

° Approximately 20% of U.S. broadband households cancelled at least one OTT video service in 2015.

° 5% of U.S. broadband households cancelled Netflix in 2015, up from 4% of households reporting in 2Q 2015 that they cancelled the service in the past 12 months.

° 14% of U.S. broadband households subscribe to Hulu, and 7% of U.S. broadband households cancelled the service in 2015, roughly the same churn rate from Q2 2015.

° 24% of U.S. broadband households report having a subscription to Amazon so that they can stream video. The churn rate for Amazon's video service declined slightly from Q2 2015 to the end of the year. 

"Younger consumers are willing to subscribe to pay-TV service, provided the offerings align with their expectations," said Ruby-Ren Bond, research analyst, Parks Associates. "In particular, Millennials show higher-than-average affinity for popular culture and premium movie channels as well as programming for younger children."

 

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