Streaming Provider Experiences During COVID-19 Pulse Survey - TMT Global Business Intelligence

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Streaming Provider Experiences During COVID-19 Pulse Survey - TMT Global Business Intelligence
Streaming Provider Experiences
During COVID-19 Pulse Survey

TMT Global Business Intelligence
May 4, 2020
Streaming Provider Experiences During COVID-19 Pulse Survey - TMT Global Business Intelligence
Pulse Survey                                                                                             Age                                      Household Size

 Methodology                                                              18-29                            20%                              2.20

                                                                          30-44                                        26%
 Fielded April 24-26, 2020
 1,232 surveys completed                                                  45-60                                              29%
                                                                                                                                                             0.60

                                                                            > 60                                       25%
                                                                                                                                          Adults           Children

                                                                                      Under $25,000                                 14%
                                                                                    $25,000-$39,999                                         16%
                                                                                    $40,000-$59,999                                                 19%
                                                                                    $60,000-$89,999                                                  19%
                                                                                   $90,000-$124,999                                                 19%
                                                                               $125,000 - $149,999                       6%
                                                                                 $150,000-$199,999                       6%        Income
                                                                                   $200,000 or more               4%

                                                                                Prefer not to answer         3%

                                                                     Some percentages add up to 101% due to rounding
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Which streaming services do you subscribe to or have
Netflix has the highest                                                                       access to?
penetration of any                                                                                Netflix                                 85%

streaming service                                                                    Amazon Prime Video                             66%

                                                                                                   Hulu                       48%

                                                                                                Disney +                37%

                                                                                            YouTube TV            17%

                                                                                               HBO Now       13%

                                                                                             Apple TV +     10%
 Amazon Prime Video and Hulu are also
                                                                                          CBS All Access    10%
 widely used streaming services
                                                                                               Showtime     9%

                                                                                                 STARZ      8%

                                                                                                 ESPN+      7%

                                                                                                   Vudu     7%

                                                                                                  Other     5%
 Upstart Disney+ has had a strong launch,
 acquiring the 4th highest market share in                                                      Sling TV     4%

 its five months of operation (launched in                           AT&T TV Now (formerly DIRECTV NOW)      3%
 U.S. on Nov. 12, 2019).                                                                         BritBox    1%

                                                                                           PBS Passport     1%

                                                                                                   Philo    1%

                                                                                                   Quibi    1%

                                                                                                Fubo TV     1%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                              3
35% rate Streaming
                                                                                     Overall, how would you rate your streaming service
Providers as Excellent                                                                                   provider?
or Perfect
                                                                     Unacceptable     0.3%

 Only 1.4% rate Streaming Providers as
 Poor or Unacceptable                                                        Poor      1.1%

 Most respondents (55%) rate Streaming
                                                                         Average                 9%
 Providers as Good or Great.

                                                                            Good                                             26%

                                                                            Great                                                   29%

                                                                         Excellent                                            27%

                                                                          Perfect               8%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                        4
Streaming audio and                                                                                  How would you rate your Streaming Provider
                                                                                                                 (mean rating 7-point scale)
                                                                                  7
video quality rates
highest
                                                                                  6

 Show/content quality also rates high
 from streaming customers                                                         5
                                                                                                                5.07
                                                                                         4.95                                               4.93
                                                                                                                              4.69                                      4.76
                                                                                                                                                          4.66
 Respondents were asked to rate up to                                             4
 three of their streaming providers on five
 attributes and on their overall satisfaction
 with them as a provider of services.
                                                                                  3
 Subscription cost and Ease of finding what
 you wanted to watch are the lowest rated
 attributes.
                                                                                  2

                                                              Rating Scale
                                                              1.   Unacceptable
                                                              2.   Poor           1
                                                              3.   Average              Overall               Audio and       Ease of    Show/content Subscription User interface
                                                              4.   Good
                                                              5.   Great
                                                                                      Satisfaction           video quality finding what     quality      cost
                                                              6.   Excellent                                               you wanted to
                                                              7.   Perfect                                                     watch

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# of Streaming Services you Use
The typical household
subscribes to 3.4                                                                                  22%          22%
streaming services
                                                                                            16%                               16%

 38% of households use 1 or 2                                                                                                                 10%
                                                                                                                                                              8%
 streaming providers                                                                                                                                  6%

                                                                                             1      2            3                4               5   6     7 or more
 24% of households subscribe to 5 or
 more streaming providers
                                                                                                  How much per month are you paying for all your
                                                                                                        streaming services combined?

                                                                                             1             $9

 Consumers estimate they pay about $5.50                                                     2                        $15

                                                                     # Streaming Services
 per streaming service per month, across                                                     3                              $17
 all mixes of streaming subscriptions
 (including those that currently get the                                                     4                                              $23
 subscription at no cost)
                                                                                             5                                        $20

                                                                                             6                                                        $31

                                                                         7 or more                                                                             $37

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People subscribe to see                                                                          Why did you choose to subscribe?
                                                                                                           (joined within past 6 months)
content they want

                                                                                        Had content I wanted to see                                25%
 Free family access oddly rates low on
 cost attribute
                                                                               It works with equipment I already had                         19%
 Many customers joined recently (20%)
 because they now have more free time
 due to COVID-19
                                                                     More free time to watch shows due to COVID-19                           19%

                                                                       Got access from friend/family member for free                   16%

                                                                        Free with other promotion (e.g., with Internet
                                                                                                                                 13%
                                                                                  sign-up, Amazon Prime)

                                                                                                Great promotion/deal        9%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                       7
How much time do you spend streaming now compared to
                                                                                                  before COVID-19?
We are streaming
longer than before                                                                                                              38%

                                                                                                               29%                               29%

 Two-thirds (67%) say they are spending
 more time streaming                                                       1.6%                2.4%

                                                                     Substantially less    Somewhat less   About the same   Somewhat more Substantially more
 The average viewer spent 18 hours                                         time                time                             time            time
 streaming in the past 7 days, or about 2.5
 hours per day.
 10% of viewers streamed more than 5                                            In the past 7 days, how much time have you spent streaming?
 hours per day.
                                                                          Under 5 hours                         12%

                                                                           5 to 10 hours                                                          27%

                                                                          11 to 20 hours                                                 23%

                                                                          21 to 35 hours                                                      25%

                                                                     More than 35 hours                      10%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                             8
Netflix viewers stream                                                                  In the past 7 days, how much time have you spent
                                                                                                     watching content on … ?
longest hours
                                                                                      Netflix                                                               10.2

 YouTube TV and Hulu viewers also
 streamed more than one hour per day                                           YouTube TV                                                             8.5

 Disney+ viewership commanded less than
 one-half the hours compared to Netflix                                                 Hulu                                                    7.9

                                                                     Amazon Prime Video                                                   5.9

                                                                                  All Others                                        5.1

                                                                                   Disney +                                   4.8

                                                                     Among streaming providers with 100 or more completed surveys
© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                                 9
Lower income                                                                    In the past 7 days, how much time have you spent watching?
                                                                                                     (by Age / Income)
households stream
                                                                                          18 to 34                         6.8
longer hours

                                                                     Age
                                                                                          35 to 44                                   7.3

                                                                                          45 to 60                             6.9
 Older views (60+) spend more time
 streaming                                                                                   60 +                                            8.5

                                                                                    Under $25,000                                                  9.4

                                                                                $25,000 to $39,999                                         8.3

                                                                                $40,000 to $59,999                               7.1

                                                                     Income
                                                                                $60,000 to $80,999                       6.5

                                                                               $90,000 to $124,999                 6.2

                                                                              $125,000 to $149,000                              7.0

                                                                              $150,000 to $199,999                 6.1

                                                                                       $200,000 +                 6.1

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                       10
What content have you watched most recently?
Ozark and Tiger King                                                      Please write in your top 3 shows in the last month
are the most-watched                                                                  Ozark                                           8.9%

shows this month                                                                  Tiger King                                   7.1%

                                                                                  The Office              2.8%

                                                                      Little Fires Everywhere            2.7%

 Streaming of syndicated shows such                                             Blue Bloods             2.4%
 as The Office, Blue Bloods, NCIS and
 Greys Anatomy has also been popular                                                   NCIS            2.4%

                                                                             Greys Anatomy        1.9%

                                                                                   Outlander      1.9%

 Ozark (6%), Tiger King (3.1%), and Little                                        Homeland       1.8%
 Fires Everywhere (1.5%) were the most
 recommended shows; however, the top 15                                         All American     1.8%

 most-recommended shows represent less                                          Outer Banks      1.7%
 than than one-quarter (23%) of all shows
 recommended – there is a lot of content                                         Brooklyn 99    1.6%
 out there right now that people love.
                                                                             Better Call Saul   1.5%

                                                                              Criminal Minds    1.5%

                                                                                  Jack Ryan     1.5%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                           11
Smart TV Apps are the
                                                                                How do you normally connect to your streaming services?
most common way to                                                                                           (mark all that apply)

stream
                                                                               App on my Smart TV                                                      36%

 Streaming online using
                                                                       Online using laptop/computer                                              29%
 laptop/computer also is common

                                                                     App on my smartphone or tablet                                        25%
 One-quarter of respondents (25%)
 connect to streaming using an App on
 their smartphone or tablet                                                                   Roku                                         25%

                                                                        Amazon Fire TV Stick/Cube                                    20%

                                                                          App on my cable TV menu                   13%

                                                                                          Apple TV           7%

                                                                                  Chromecast/Ultra      6%

                                                                                   Nvidia Shield TV   0.5%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                           12
Most households (35%)
stream to large TV                                                               What screen do you most frequently stream to?
screens (50”+)

 Streaming to laptops or computers                                    30%
 makes up 14% of screen viewing                                                    27%

 Streaming to smartphones or tablets
 makes up 13% of screen viewing

                                                                                              9%        9%         8%
                                                                                                                               6%         6%
                                                                                                                                                     4%

                                                                     TV 36" to    TV 50"to Smartphone Laptop     TV larger   TV under   Computer    Tablet
                                                                       48"          60"               (without   than 60"      36"      or laptop
                                                                                                      monitor)                            (with
                                                                                                                                         monitor)

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                           13
Most people (78%) have
                                                                                              How would you rate Audio and Video Quality?
had no quality problems                                                                                   (mean rating 7-point scale)

streaming                                                                          7

                                                                                   6
 However, experiencing even one
 problem degrades the experience
 substantially                                                                     5   5.18
                                                                                                           4.81
                                                                                                                                  4.68        4.63
                                                                                   4

                                                                                   3

                                                                                   2

                                                                                       78%                 12%                    5%           4%
                                                               Rating Scale        1
                                                               1.   Unacceptable       None               1 or 2                 3 or 4     5 or more
                                                               2.   Poor
                                                               3.   Average
                                                               4.   Good
                                                               5.   Great              How many problems have you had streaming content in
                                                               6.   Excellent                           the last 7 days?
                                                               7.   Perfect

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Netflix provides the
                                                                                                Streaming problems per hour watched
most trouble-free
streaming                                                                             Netflix                            0.07

 Based on the total number of problems
 experience in the past 7 days and the                                                  Hulu                                        0.11
 total number of hours watched in the
 past 7 days
                                                                     Amazon Prime Video                                               0.11

 Streaming providers outside of the big 5
 have more of a challenge delivering
 trouble-free streaming                                                            Disney +                                                0.12

                                                                               YouTube TV                                                    0.13

                                                                                  All Others                                                        0.17

                                                                     Among streaming providers with 100 or more completed surveys
© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                         15
Compared to before COVID-19 started, do you expect
Despite financial woes,                                                         your financial situation in two months to be…
few consumers will drop
Streaming Providers                                                                                         43%

                                                                                                33%

 4 out of 10 consumers expect their
 financial situation to be worse in two
 months                                                                                                                    14%
                                                                                                                                              2%
                                                                          7%

 However, very few customers (5%) expect                              Much worse         Somewhat worse   No change   Somewhat better    Much better
 to drop any of their streaming services in
 the next 30 days. In fact, while most
                                                                            Do you expect you will change the streaming services
 customers do not expect to change
 anything (84%), more customers plan to                                            you subscribe to in the next 30 days?
 add a new service (11%) than drop a
 service.                                                            Add a new service      11%

                                                                          No changes                                                    84%

                                                                        Drop a service     5%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                                                     16
Netflix is the one brand
                                                                      If you were only able to use one streaming service,
above all                                                                          which would you choose?

                                                                                 Netflix                               54%
 More customers would choose Netflix
 than all the other brands combined
                                                                     Amazon Prime Video               17%

                                                                                   Hulu         13%

                                                                               Disney +    4%

                                                                            YouTube TV     4%

                                                                        All Other Brands   5%

© 2020 J.D. Power. All Rights Reserved. CONFIDENTIAL & PROPRIETARY                                                           17
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