Nearly 1 in 5 Americans abandoning rentals and disc/digital purchases in favour of SVOD
A sizable group of Americans now consume all their home video content via SVOD, a new report by research firm NPD has found.
17 percent of consumers are now no longer buying movies on discs, renting them or buying digital content, and instead, rely solely on SVOD services like Netflix for their video viewing needs, according to the NPD's "Entertainment Trends in America" report. This was up from 11% just a year ago.
For now, traditional ways to source video content remains more popular, with 24% of consumers relying solely on transactional methods, buying movies and TVs shows on discs or on digital format. 32% use a combination of transactional and SVOD to fulfill their viewing needs.
The report also found that 40% of SVOD subscribers only subscribe to one service (most likely Netflix), while 37% subscribed to two, and 24% subscribed to three or more services.
While Millennial consumers (ages 25 to 34) were the most likely to subscribe to three or more services, the age group 35 to 55 (Generation X) saw the biggest growth in terms of 3 or more subscriptions.